Stock futures were little changed Wednesday morning. Investors are cautiously waiting for Nvidia’s (NVDA) earnings report. The results are a key test for the market’s recent tech-driven rally.
As of early Wednesday, futures for the Dow Jones, S&P 500, and Nasdaq 100 all hovered near the flat line. This follows a session of small gains for the major indexes on Tuesday. The market is tracking for a winning month despite August’s reputation for weak performance.
Wall Street Braces for Pivotal AI Earnings
The main event today is Nvidia’s quarterly report. It will be released after the market closes. Hopes are extremely high for the AI chipmaker. Analysts expect record revenue and profit. However, investors also want to see the impact of chip sale curbs to China.
Nvidia’s results are a bellwether for the entire AI sector. The report could either boost or damage the current bull market. Options traders are pricing in a potential stock swing of about 6% after the release.
Premarket Stocks to Watch
Several other tech companies made big moves in premarket trading. Their strong results may signal good news for the AI industry.
- MongoDB (MDB): The software company’s stock soared about 30%. It posted strong quarterly results driven by its cloud database service.
- Okta (OKTA): Shares rose more than 5%. The identity software firm beat earnings estimates and raised its full-year revenue outlook.
- PVH Corp. (PVH): The owner of Tommy Hilfiger and Calvin Klein saw its stock jump over 6% after a significant earnings beat.
Global Trade and Market Outlook
Investors are also watching global trade developments. The European Union may fast-track the removal of tariffs on U.S. industrial goods. Meanwhile, new 50% U.S. tariffs on Indian products have just taken effect. This is in response to India’s trade with Russia.
Overall, the market is in a holding pattern. The direction for the rest of the week will likely depend on Nvidia’s performance and its forecast for the coming months.