Nvidia Beats Earnings Forecasts Amid Global AI Demand Surge

Stocks ended lower on Wednesday, with the Dow Jones Industrial Average down 0.58%, the S&P 500 down 0.56%, and the Nasdaq Composite Index down 0.51%. Nvidia reported adjusted earnings of 96 cents per share on $44.06 billion in revenue, beating estimates. The company's data center revenue surged 73% from a year ago to $39.1 billion. Shares of Nvidia were up 3.7% in after-hours trading.

The U.S. stock market ended lower on Wednesday, with the Dow Jones Industrial Average (DJIA) down 0.58%, the S&P 500 down 0.56%, and the Nasdaq Composite Index down 0.51%. Investors were digesting minutes from the last Federal Reserve meeting and eagerly awaiting the earnings report from Nvidia, a key player in the tech sector [1].

Nvidia reported adjusted earnings of 96 cents per share on $44.06 billion in revenue, surpassing analysts' expectations. The company's data center revenue surged 73% from a year ago to $39.1 billion. This strong performance led to a 3.7% increase in Nvidia's stock price in after-hours trading [2].

While the overall market was cautious due to ongoing trade policy uncertainty, particularly concerning President Trump's tariffs, Nvidia's positive earnings report provided a boost to the tech sector. The company's performance was seen as a sign that Big Tech can navigate the challenges posed by the current trade environment.

However, the broader market remained cautious due to the uncertainty surrounding the tariffs. The Commerce Department reported that the U.S. economy shrank at an annualized pace of 0.2% in the first quarter, adding to the economic concerns [2].

The S&P 500, which had fallen as much as 18.9% below its record high reached on February 19, closed at 5,889.95 points, while the Nasdaq Composite ended at 19,107.89 points, and the DJIA closed at 42,106.41 points [1].

Investors will continue to monitor the economic data and trade policy developments as they impact the market. The focus will remain on Nvidia and other tech companies, which are key drivers of the U.S. stock market.

References:
[1] https://economictimes.indiatimes.com/news/international/us/us-stock-market-today-sp-500-nasdaq-dow-jones-end-in-red-all-eyes-on-nvidia-earnings-results/articleshow/121474000.cms
[2] https://finance.yahoo.com/news/live/stock-market-today-nvidia-earnings-boost-nasdaq-and-sp-500-dow-retreats-on-tariff-uncertainty-133026513.html