Nvidia Earnings Push Dow Futures Higher, S&P 500 Tries to Maintain Record High

US stock futures are little changed as investors digest Nvidia's earnings report and economic data. The S&P 500 closed at a record high on Wednesday, while the Dow and Nasdaq come into the day just shy of record highs. Nvidia shares are down 0.3% despite reporting revenue and profit that topped estimates. Other mega-cap tech stocks are mostly higher, with chipmaker Broadcom rising over 1%. Bitcoin is at $113,300, up from an overnight low of $110,900.

US stock futures remained largely unchanged as investors continue to digest Nvidia's earnings report and key economic data. The S&P 500 closed at an all-time high on Wednesday, while the Dow and Nasdaq indices were just shy of their respective record highs [1].

Nvidia Corporation (NVDA) shares fell by 0.3% despite reporting revenue and profit that exceeded analyst estimates. The chipmaker's earnings report, released after the close of regular trading, highlighted strong demand for its AI-focused products. Nvidia's CEO Jensen Huang emphasized the company's robust growth in AI chip sales, particularly in China, where he sees a $50 billion opportunity [2].

The market's focus also shifted to economic data released on Thursday. The US gross domestic product (GDP) rose by 3.3% in the second quarter, marking a rebound from the first quarter's 0.5% dip. This growth was driven by a decrease in imports following a surge in the first quarter to "front-run" tariffs. Additionally, jobless claims fell, indicating that layoffs remained low [1].

Another key piece of data expected to influence markets is the July reading on PCE consumer inflation, closely watched by the Federal Reserve. The Personal Consumption Expenditures (PCE) index is scheduled to be released on Friday and is expected to show inflation remained at about 2.6% in July compared to a year ago [3].

Other mega-cap tech stocks showed mixed performance. Chipmaker Broadcom Inc. (AVGO) rose over 1% in pre-market trading, trading near the top of its 52-week range and above its 200-day simple moving average. The stock has seen a significant increase in its market capitalization, placing it in the mega-cap category [4].

Bitcoin, on the other hand, is trading at $113,300, up from an overnight low of $110,900. The cryptocurrency's price has been volatile but has shown resilience in recent weeks.

The market remains cautious but optimistic, with investors closely monitoring the Federal Reserve's next policy meeting in September. The central bank is expected to trim its benchmark interest rate by a quarter of a percentage point, with a 87% chance according to data from CME Group [3].

References:
[1] https://finance.yahoo.com/news/live/stock-market-today-dow-sp-500-nasdaq-futures-waver-after-nvidia-earnings-gdp-jobs-data-232614041.html
[2] https://www.ainvest.com/news/nvidia-stock-surges-1-earnings-report-2508/
[3] https://coloradobiz.com/wall-street-nears-record-highs-fed-rate-cuts/
[4] https://www.cnn.com/markets/stocks/AVGO