S&P 500 futures slipped slightly early Thursday as investors weighed whether NVIDIA Corporation’s latest earnings results were strong enough to justify the elevated expectations surrounding the AI giant.
Futures linked to the broad market index eased 0.1%, while NASDAQ-100 futures were little changed. Futures tied to the Dow Jones Industrial Average fell around 50 points, or 0.1%.
Nvidia surpassed Wall Street estimates for both earnings and guidance and also announced an increase in its quarterly cash dividend to 25 cents per share. However, investors have become accustomed to the chipmaker consistently outperforming expectations during the ongoing AI-driven rally.
The company’s stock fluctuated in after-hours trading and was last trading about 1% lower.
Meanwhile, Intuit Inc. plunged 13% after reporting weaker-than-expected revenue and revealing plans to cut nearly 17% of its workforce, affecting around 3,000 employees. In contrast, e.l.f. Beauty gained 4% after delivering stronger-than-expected quarterly results and announcing plans to ease some tariff-related price hikes.
On Wednesday, stocks rebounded after three consecutive sessions of losses, helped by declining oil prices and easing Treasury yields. Market sentiment also improved after President Donald Trump said the administration was nearing the final phase of negotiations with Iran.
Investors are now turning their attention to upcoming earnings reports from Walmart before the opening bell and Workday after the market closes. Traders will also watch key economic data releases, including jobless claims, housing figures, and manufacturing reports scheduled for Thursday morning.
Frequently Asked Questions
Why are investors closely watching NVIDIA Corporation earnings?
Because Nvidia is seen as a key leader in the AI boom, and its results often influence sentiment across tech and semiconductor stocks.
Why did S&P 500 futures move lower despite strong Nvidia earnings?
Investors had extremely high expectations, and markets were assessing whether the company’s results were strong enough to justify recent stock gains.
What economic data are traders focusing on this week?
Markets are monitoring jobless claims, housing data, and manufacturing reports for clues about the strength of the U.S. economy and future interest rate decisions.
How do bond yields and oil prices impact stock markets?
Lower bond yields can support growth stocks by reducing borrowing costs, while easing oil prices can improve investor sentiment by lowering inflation concerns.
