Nvidia’s upcoming results drive gains in tech stocks, supporting broader equity markets despite fading post-earnings reactions in recent quarters.
Nvidia’s earnings have emerged as a key macro catalyst, with its latest rally pushing the S&P 500 up 0.32% and the Nasdaq 0.66% ahead of results. The Philly Semiconductor Index rose 1.44%, recovering from a 20.8% drop since its June peak but remaining up 63.6% year-to-date.
The impact of Nvidia’s positive surprises has diminished in recent quarters, with shares falling the day after each of the last four earnings reports. Despite this, the AI trade’s volatility has not derailed broader sentiment, as lower oil prices and bond yields support risk assets globally.
Asian markets advanced, led by the KOSPI, while European equities firmed. US equity futures showed little change, reflecting cautious optimism ahead of Nvidia’s release.