Traders work on the floor of the New York Stock Exchange (NYSE) on November 12, 2024 in New York City.
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Stock futures rose on Wednesday as investors focused on tech giant Nvidia's important earnings report.
futures tied to Dow Jones Industrial Average It increased by 70 points (0.1%). S&P500 futures 0.1% is ahead; Nasdaq 100 futures.
All eyes are on Nvidia, which is scheduled to make an announcement after the market close. Given the company's $3.6 trillion market capitalization, this result carries more weight than some major economic reports and will determine the course of the S&P 500 and Nasdaq Composite for the rest of the week and into the end of the year. There is a possibility. Investors will be watching for details on demand for the company's Blackwell AI chip, which CEO Jensen Huang characterized as “insane” last month.
Investors will be watching the report as a potential catalyst to reaccelerate the market for the rest of the year, after the massive post-election bull market that pushed benchmarks to new highs subsides. are. Stocks slumped last week after Federal Reserve Chairman Jerome Powell suggested the central bank was in no hurry to cut interest rates. Rising geopolitical tensions between Russia and Ukraine also spooked markets on Tuesday.
“Like most investors, we will be closely watching today's NVIDIA earnings report for clues as to how AI spending will come in,” Wolfe Research's Chris Senyek said in a note Wednesday. I intend to,” he wrote. “We see negative news and disappointing spending trends as one of the key risks that could slow or reverse the decline towards the end of the year.”
In other news, retailer Target missed its biggest profit in two years and cut its full-year outlook, sending its stock price down 20%. Citi downgraded the stock to neutral due to the risk of equity loss.
comcast Shares rose 2.5% after the company announced plans to spin off cable networks including MSNBC and CNBC. The separation is expected to take about a year. Comcast first hinted at the possibility of a split during its October earnings conference.
Investors will also hear commentary from Federal Reserve Board Directors Lisa Cook and Michelle Bowman and Boston Fed President Susan Collins.
— Disclosure: Comcast owns NBCUniversal, the parent company of CNBC.
