NEW YORK / RankWire.AI / – Wall Street’s resurgence in technology stocks gained renewed significance after Nvidia released its quarterly earnings following the close of trading on Wednesday. Prior to this, U.S. equities had already climbed on Tuesday as chipmakers and other major tech firms recovered from previous session losses. The S&P 500 finished up 0.31% at 7,676.62. The Nasdaq Composite increased by 0.64% to 26,145.47. Meanwhile, the Dow Jones Industrial Average rose by 0.29%, ending at 53,572.91, pushing the broader market rebound further.
Technology stocks fueled much of Tuesday’s momentum. Nvidia rose 2.2% ahead of its earnings report, and AMD climbed 4.9%. Meta Platforms gained nearly 2%, with the Philadelphia semiconductor index climbing 1.4%. During the session, Treasury yields declined, and oil prices also dropped. These movements coincided with gains across several growth-oriented sectors. Investors began the next trading day focused on corporate earnings and U.S. economic data, both of which are key events influencing major equity indexes.
Wednesday’s session concluded with a notably quieter tone for Wall Street. The Dow dipped 0.21%, the S&P 500 declined 0.02%, and the Nasdaq Composite finished 0.08% lower. Economic reports indicated that the personal consumption expenditures price index increased by 3.7% in July compared to the previous year. Core PCE inflation was up 3.3% over the same period. Personal spending saw a 0.2% rise, while personal income increased by 0.4%. These figures provided additional economic context amid a market already centered on corporate earnings results.
Nvidia’s Earnings Shape the Market Outlook
Nvidia announced fiscal second-quarter revenue of $96.22 billion for the period ending July 26, representing an 18% increase from the previous quarter and a 106% jump year-over-year. Data Center revenue hit $89.0 billion, soaring 117% annually. The company posted GAAP net income of $59.69 billion, with diluted earnings per share at $2.46. Its GAAP gross margin improved to 75.0%, compared to 72.4% in the same quarter last year.
For the upcoming quarter, Nvidia forecasted revenue of $108.0 billion, plus or minus 2%, assuming no Data Center compute revenue from China. The company expects GAAP and non-GAAP gross margins to hover around 74.0%, with a variance of 50 basis points. During the second quarter, Nvidia returned approximately $26.0 billion to shareholders via share buybacks and dividends, with about $99.0 billion still available under its authorized repurchase program at the end of the period.
Tech Stocks Continue to Drive Global Trading Dynamics
Following earnings and a conference call, Nvidia’s shares jumped 4.7% in after-hours trading. U.S. futures also moved upward during Asian trading on Thursday. In several Asian markets, technology and semiconductor stocks advanced after the results became available. This reaction followed two contrasting Wall Street sessions: Tuesday’s strong technology-led rebound and Wednesday’s narrow declines across the three major U.S. indexes. Earnings reports and inflation data remain pivotal in shaping recent trading activity.
These latest results offered new context for Tuesday’s rebound on Wall Street, which occurred prior to the earnings release. Both quarterly revenue and Data Center sales more than doubled from a year earlier, with the third-quarter revenue forecast about $12 billion higher than the second quarter’s midpoint. U.S. stocks moved into Thursday after a near-flat close on Wednesday and a broader advance on Tuesday. The interplay of semiconductor earnings, inflation figures, and major index movements defined the latest phase of trading in U.S. and global markets.