Nvidia's 70% Revenue Forecast Reignites AI Trade as Tech Stocks Surge on Unabated Demand

Nasdaq futures take lead after Nvidia forecast refuels AI trade

Aug 27 (Reuters) - Futures tied to the tech-heavy Nasdaq outperformed peers on Thursday after AI bellwether Nvidia's blockbuster forecast renewed investor confidence in the AI trade and boosted technology stocks globally. The chip giant (NVDA.O), opens new tab rose 7.4% in premarket trading after it forecast a 70% jump in revenue next fiscal year, underscoring unabated demand for AI computing, while warning that shortages of memory components could curb how fast the demand expands. The report bolstered the view that the AI rally is far from over, with companies at the heart of AI buildout continuing to post strong growth as Big Tech ramps up spending. "The biggest positive was management effectively telling investors that AI ⁠demand remains supply-constrained even at this scale... That is a powerful counter to the narrative that the AI capex cycle is already peaking," said Charu Chanana, chief investment strategist at Saxo Markets. "Nvidia's results validate the AI infrastructure trade, but they are not a signal to indiscriminately chase everything labeled AI." Global tech stocks saw renewed investor interest, with South Korea's KOSPI (.KS11), opens new tab closing 1.5% higher. U.S. chipmakers such as Micron Technology (MU.O), opens new tab gained 4.2% in premarket trading, while Marvell Technology (MRVL.O), opens new tab rose 5.2% and Broadcom (AVGO.O), opens new tab added 1.6%. Data storage firms Sandisk (SNDK.O), opens new tab and Western Digital (WDC.O), opens new tab gained 4.9% and 3.4%, respectively. Salesforce (CRM.N), opens new tab jumped 11.8% after raising annual revenue and profit forecasts, and rolling out a new plug-in combining its capabilities with Anthropic's Claude AI models. CrowdStrike (CRWD.O), opens new tab climbed 8.8% after the cybersecurity software provider raised its annual revenue forecast and topped second-quarter ⁠earnings estimates. Both these reports calmed worries that advanced AI tools could upend the traditional software industry, boosting investor appetite for beaten-down software stocks and narrowing the gap with semiconductors, which are seen as the primary beneficiaries of the AI boom. Other software firms such as ServiceNow and Oracle added 2% each. At 05:05 a.m. ET, Dow E-minis were down 34 points, or 0.06%, S&P 500 E-minis were up 32 points, or 0.42%, ⁠and Nasdaq 100 E-minis were up 300.25 points, or 1.03%. Wall Street's main indexes closed largely subdued on Wednesday ahead of Nvidia's results and after slightly hotter-than-expected Personal Consumption Expenditures data bolstered bets on an interest rate hike from the Federal Reserve next month. A benign consumer inflation report earlier this ⁠month had lowered the bets on an imminent hike, but traders now see a 36% chance of a September increase, according to CME' FedWatch Tool. A weekly reading of jobless claims is due before markets open on Thursday. Concerns over rising government debt and ⁠inflation stemming from the U.S.-Iran conflict had pushed up Treasury yields to multi-year highs last week, before the Treasury Department announced support measures. The uncertain macro backdrop and the Treasury's intervention have sharpened focus on Fed Chair Kevin Warsh's first Jackson Hole address on Friday for hints on the central bank's stance. Reporting by Purvi Agarwal in Bengaluru; Editing by Shilpi Majumdar Our Standards: The Thomson Reuters Trust Principles., opens new tab

Asian technology shares ride high on AI optimism after Nvidia's 'stunning' results - business live

Good morning, and welcome to our rolling coverage of the global economy, the financial markets, the eurozone and business. Asian technology shares rose after bumper results from the US chipmaker Nvidia last night. There was a sigh of relief after AI bellwether Nvidia reported a doubling in quarterly revenue to nearly $100bn and forecast third-quarter revenue above Wall Street forecasts. The chipmaker, the most valuable company in the world with a $5tn market cap, made revenues of $96bn in the second quarter which is set to rise to $108bn in the third. Jensen Huang, the Californian company's founder and chief executive, jubilantly declared that demand is accelerating as the AI industry had reached a "golden age". The results showed no signs of slowing demand for chips and revived confidence in the AI trade after a recent sell-off in tech shares on Wall Street and Asia, leading to a massive drop in the South Korean stock market in July. Kathleen Brooks, research director at XTB, described the figures as "nothing short of stunning". Nvidia shares rose 4.7% in post-market trading to $219.53 and if the rally continues into Thursday, as Brooks expects, it could break through the $220 barrier, heading towards the $235 highs seen in May. Susannah Streeter, chief investment strategist at the Wealth Club, said: The AI juggernaut is rumbling on with Nvidia smashing through expectations, amid voracious demand for the tech backbone of the AI revolution. The results solidified high expectations for the company's mega revenues going forward, and shares firmed up, leaving behind the post-results wobbles seen after previous updates. Given the might of Nvidia, which carries the largest weight of any company in the S&P 500, the results are closely watched as a gauge of sentiment towards AI adoption, and the prospects for the index, which so many portfolios track. Demand for its Blackwell chips has been particularly significant, showing that customers are continuing to spend heavily on Nvidia's newest generation of AI accelerators rather than simply filling existing capacity. With demand still running ahead of supply, Blackwell is helping to power the next leg of the AI infrastructure build-out. However, once the initial excitement settles, questions are likely to resurface about the durability of this boom in revenues. It's becoming less about whether Nvidia can keep climbing the AI mountain, and more about how long it can sustain this extraordinary pace of ascent and whether the vast sums being poured into AI infrastructure will ultimately deliver the returns needed to justify the colossal investment. South Korea's Kospi rose 1.3%, with shares in the memory chipmaker Samsung Electronics up 3%. The Shanghai and Shenzhen exchanges climbed 0.95% and 1.37% respectively while the Singapore market added 0.4% and Taiwan was 0.3% ahead. However, other major Asian markets were in the red, with Japan's Nikkei edging 0.2% lower and the Australian exchange falling nearly 1%. In Hong Kong, the online fashion retailer Shein plans to price its stock market flotation at $26.5bn, raising $1.7bn, Reuters reported, citing two sources. In the US, the Jackson Hole economic policy symposium kicks off today, and markets are on tenterhooks for a keynote speech from US Federal Reserve chair Kevin Warsh on Friday.

Asian chip firms lifted by Nvidia forecast but broader markets struggle

Hong Kong (AFP) - Asian chip firms rallied Thursday following more blockbuster earnings from Nvidia that eased worries over the AI investment boom, though the euphoria was tempered by US data showing stubbornly high inflation. In a highly anticipated report, the world's most valuable company shattered forecasts by unveiling revenues more than doubled on-year in the second quarter and said it expected another blowout in July-September. Nvidia is considered the bellwether for the AI spending frenzy, with its results largely determined by mega purchases from AI giants such as OpenAI, Amazon, Microsoft and xAI. The firm has led an eye-watering rally by tech firms over the past year and in October became the first to hit a market capitalisation of $5 trillion owing to scorching demand for its chips. However, the investors have been growing increasingly worried about when the vast sums of cash being pumped into the AI sector will see a meaningful return, if ever. That saw a painful selloff in July that wiped trillions off valuations. While firms have enjoyed a slight recovery this month, traders remain uncertain. Nvidia's report helped soothe some of those fears, with CEO Jensen Huang saying: "The AI infrastructure buildout is at full steam." Charu Chanana ay Saxo Markets wrote: "This was another beat-and-raise quarter from Nvidia, but the biggest positive was not the quarterly beat itself. "It was management effectively telling investors that AI demand remains supply-constrained even at this scale, and guiding to around 70 percent revenue growth in fiscal 2028. "That is a powerful counter to the narrative that the AI capex cycle is already peaking." Shares in Nvidia, which reported as Wall Street closed, rose around five percent in after-hours trade. Asian firms followed suit, with South Korea's SK hynix and Samsung up from two to three percent with Japan's Kioxia more than four percent higher. Taiwan's TSMC also advanced. However, broader markets struggled. Seoul and Taipei rose with Shanghai, but there were losses in Tokyo, Hong Kong, Sydney, Singapore, Wellington and Manila. The tepid performance came after figures showed the Federal Reserve's preferred gauge of inflation remained stuck at a three-year high of 3.7 percent in July. Another report showed GDP growth for the second quarter came in at 1.5 percent, in line with estimates. The personal consumption expenditure reading has been above the central bank's two percent target for more than five years, with upward pressure mostly coming from surging oil prices caused by the Iran war. It comes as central bankers and other economic policy makers prepared to kick off their annual Jackson Hole symposium in Wyoming, where investors will be keeping a close eye on Fed boss Kevin Warsh's speech hoping for clues about his plans for interest rates. The latest figures "are hardly recessionary signals and provide little reason to expect any hint of dovishness from Kevin Warsh", wrote Matt Simpson, a market analyst at City Index. Still, hopes for an easing of inflation down the line have been helped by oil continuing to fall this week as Iran and Oman edge towards a deal to open a temporary shipping corridor in the Strait of Hormuz. Both main contracts have dropped more than eight percent since Friday. However, analysts have noted that the details have remained sketchy, including whether there will be a fee to access the waterway. Key figures at around 0200 GMT Tokyo - Nikkei 225: DOWN 0.1 percent at 66,228.61 Hong Kong - Hang Seng Index: DOWN 0.3 percent at 25,582.13 Shanghai - Composite: UP 0.1 percent at 3,914.65 West Texas Intermediate: DOWN 0.6 percent at $81.78 per barrel Brent North Sea Crude: DOWN 0.5 percent at $87.43 per barrel Dollar/yen: DOWN at 159.25 yen from 159.37 yen on Wednesday Euro/dollar: UP at $1.1657 from $1.1651 Pound/dollar: UP at $1.3592 from $1.3591 Euro/pound: UP at 85.77 pence from 85.72 pence New York - DOW: DOWN 0.2 percent at 53,463.88 (close) London - FTSE 100: DOWN 0.1 percent at 10,878.12 (close)

Tech stocks lead Wall Street after strong Nvidia, Salesforce forecasts driven by AI demand

Technology stocks are leading Wall Street on Thursday after Nvidia, Salesforce and others reported even fatter profits for the spring than analysts expected. The S&P 500 added 0.7% and pulled closer to its all-time high set earlier this month. The Dow Jones Industrial Average was up 172 points, or 0.3%, as of 12:32 p.m. ET, and the Nasdaq composite was 1.4% higher. Nvidia was the strongest force pulling the market higher, even though more stocks fell within the S&P 500 than rose. The chip giant climbed 9% after once again delivering much stronger profit and revenue for the latest quarter than analysts expected. More importantly for Wall Street, it also gave forecasts for upcoming revenue growth that topped analysts' estimates, suggesting demand remains strong for chips to power artificial intelligence projects. "AI has reached its inflection point," Nvidia's CEO, Jensen Huang said. "It's doing useful work. Its tokens are productive and profitable." That helped calm some of the worries that have built around AI stocks generally, which have been under pressure recently. After rocketing higher for years in the frenzy around AI, stocks in the industry are confronting skepticism that they shot too high and that booming demand for AI chips may fade if the AI revolution does not produce as much profit as promised. Another big tech company, Salesforce, jumped 20.9% after it said that AI helped it deliver one of its best quarters in history. It reported stronger profit than analysts expected, and the CEO, Marc Benioff, said it's "seeing incredible demand for our AI and data products" and is "turning AI into customer success at unprecedented scale." Salesforce, which helps companies manage their customer data, also raised its forecast for revenue over the full year and announced an expanded partnership to pair Anthropic's Claude chatbot with its platform. It's notable because Salesforce's stock struggled earlier on worries that competitors powered by AI could ultimately steal away customers from Salesforce and other software companies. Salesforce's stock is potentially heading for its best day in six years.

5 Things to Know Before the Stock Market Opens on Thursday

Aaron McDade is a breaking news reporter for Investopedia. He is an experienced journalist who has covered everything from the latest in business and tech news to sports and international news like the war in Ukraine for respected outlets like Business Insider and Newsweek. Stock futures are rising this morning as Nvidia's blockbuster results power the AI trade; Nvidia shares are surging after the chipmaker's quarterly report topped Wall Street estimates; Salesforce stock is rallying after its own strong report and the announcement of an expanded partnership with Anthropic; CrowdStrike shares are also on the rise thanks to a record quarter; and AI chip designer Marvell Technology is set to deliver its results after the closing bell today. Here's what you need to know. Stock Futures Rise as Nvidia Results Power AI Trade Stock futures are pointing to a higher open after AI chipmaker Nvidia blew past Wall Street estimates with its latest quarterly report. Futures tied to the tech-heavy Nasdaq and the benchmark S&P 500 were recently up 0.8% and 0.4%, respectively, while Dow Jones Industrial Average futures hovered near unchanged. Each of the major indexes inched lower yesterday, with the Dow snapping a three-day winning streak, as inflation data came in higher than expected and markets looked ahead to several big-name tech earnings reports after the closing bell. WTI crude oil futures were slightly higher this morning at $82.50 a barrel as the Iran war approaches the end of its sixth month with little progress in U.S.-Iran talks. Gold futures were holding steady at $4,650 an ounce, while bitcoin traded at $79,500 after once again topping $80,000 this morning. The yield on the 10-year Treasury was little-changed at 4.66%. Nvidia Stock Jumps as Results Blow Past Estimates Shares of Nvidia (NVDA) are rallying this morning after the AI chip giant late yesterday reported second-quarter sales and revenue that came in higher than Wall Street expected. The company posted revenue of $96.22 billion and adjusted earnings of $2.22 per share; it also forecast $108 billion in third-quarter revenue, which was also ahead of the Street's consensus. CEO Jensen Huang said the AI buildout remains at "full steam," and during a conference call expressed further confidence in the AI industry by saying he regrets not investing more money in OpenAI and Anthropic. CFO Colette Kress, meanwhile, on the call tackled concerns about the company's financing agreements with customers, saying that "some will call this circular financing. We see it differently." Worries about the sustainability of spending in the AI sector have pressured stocks recently, with some noting that Nvidia and other chipmakers are relying on a few large companies for much of their revenue. Nvidia shares were up 6% in recent premarket trading. Salesforce Stock Pops on Earnings, Anthropic Deal Salesforce (CRM) shares are also surging after the enterprise software maker reported better-than-expected results and announced a major AI deal. Salesforce reported revenue of $11.35 billion, narrowly topping estimates, while adjusted earnings per share of $5.90 doubled year-over-year. The company also lifted its full-year sales and profit forecasts. Alongside last night's earnings report, Salesforce announced an expanded deal with Anthropic to bring "Claudeforce" to its customers, combining Anthropic's advanced AI models with Salesforce's established software and customer base. Salesforce shares were up is 10% ahead of the opening bell, on track to hit their highest level since January. CrowdStrike Surges on Strong Results, Outlook CrowdStrike (CRWD) shares are soaring after the cybersecurity software firm posted what CEO George Kurtz called "the best quarter in CrowdStrike's history." The company said yesterday it generated $1.47 billion in revenue, up about 26% year-over-year, along with adjusted earnings of 31 cents per share in the quarter, each topping what analysts had expected. The software maker also lifted its full-year forecasts. Worries about the company's business being disrupted by AI have recently faded as developments to some of the major AI models have led many analysts to forecast a bump in cybersecurity spending. CrowdStrike shares were up 9% recently. Marvell Earnings Set to Be Released Later Today Chip designer Marvell Technology (MRVL) is set to release its results after markets close today. Analysts expect the company to report revenue of $2.71 billion, a 35% year-over-year jump, while adjusted earnings are seen climbing to 93 cents per share. Marvell shares have pulled back from the all-time high they set back in June, but are still up nearly 200% from where they started the year, boosted bt strong demand for AI hardware and recent deals including a new partnership with Google parent Alphabet (GOOGL). Marvell shares were up 4% in premarket trading, tracking the broader move higher for chip stocks.

Stock Market Today: Nasdaq, S&P 500 Futures Surge After Blockbuster Nvidia Earnings Report; Salesforce, CrowdStrike Also Power Tech Gains

A former Senior Publishing Editor on the Dow Jones Newswires team at The Wall Street Journal, Aaron earned a Bachelor's degree in Economics from the University of Michigan and a Master's in Journalism from Columbia University. Nasdaq 100 and S&P 500 futures jumped Thursday as AI-tied shares surged following a blowout earnings report from chipmaking giant Nvidia. Nasdaq 100 and S&P 500 futures gained a respective 1% and 0.4% in recent trading. Dow Jones Industrial Average futures ticked 0.1% lower. After the bell yesterday, Nvidia (NVDA) reported better-than-expected second-quarter results, and its $108 billion Q3 revenue guidance was higher than Visible Alpha's analyst consensus. "The AI infrastructure buildout is at full steam," CEO Jensen Huang said in prepared comments. Nvidia shares jumped 7% in premarket trading Thursday, and its results appeared to calm investors' anxiety about the AI trade. The iShares Semiconductor ETF (SOXX) was up 3% before the bell as components Micron Technology (MU), Intel (INTC), Advanced Micro Devices (AMD), Applied Materials (AMAT), and Marvell Technology (MRVL) -- which is set to issue its earnings report after the bell today -- gained. The Roundhill Memory ETF (DRAM) advanced 3.5%, led by Sandisk (SNDK), Western Digital (WDC), SK Hynix (SKHY), and Seagate Technology (STX). Aside from Nvidia, however, Tesla (TSLA) was the only other Magnificent Seven mega-cap tech stock to rise before the bell. In other post-earnings moves, Salesforce (CRM) surged 11% and CrowdStrike Holdings (CRWD) jumped 9%. Dollar General (DG), Dollar Tree (DLTR), Burlington Stores (BURL), Best Buy (BBY), and Hormel (HRL) were among the notable names reporting results before the bell Thursday. Crude oil prices ticked higher as investors assessed the latest diplomatic efforts to fully reopen the Strait of Hormuz to shipping. West Texas Intermediate futures, the U.S. benchmark, were near flat at around $82.25 a barrel in recent trading, while Brent crude futures, the global benchmark, were 0.5% higher at $88.25. The yield on the 10-year Treasury, which influences interest rates on a variety of consumer loans including mortgages, was below 4.68%, up two basis points from Wednesday's close. Bitcoin topped the $80,000 threshold for the second time this week early Thursday. The world's largest cryptocurrency recently was at $79,700, up from overnight lows near $78,200. The U.S. dollar index, which tracks the value of the greenback against a basket of foreign currencies, was little changed at 99.20. Gold futures slipped 0.4% to $4,635 an ounce.

Asia Open: Nvidia Fires Up the Chip Complex, but Jackson Hole Splits the Screen

Nvidia (NASDAQ:NVDA) extended the AI runway into 2028, but sticky inflation and Kevin Warsh are stopping the broader market from going full throttle. Nvidia Fires Up the Chip Complex Asia is not tepid this morning. It is bifurcated. Nvidia has fired a flare directly over the semiconductor complex, lifting the KOSPI by around 1% and putting SK Hynix, Samsung Electronics and Kioxia at the front of the pack. Yet the broader MSCI Asia-Pacific index is only modestly higher, while Nasdaq 100 futures have surrendered part of an initial 1.3% jump. The Nvidia halo is working. It simply is not illuminating the entire market. And the numbers were hardly short of spectacular. Revenue reached $96.2 billion, more than double last year's level and roughly $4 billion above expectations. Data-centre sales hit $89 billion, while current-quarter guidance of $108 billion comfortably cleared the Street. Nvidia's official results But the real rocket fuel came from further down the runway. Nvidia forecast approximately 70% revenue growth for the fiscal year ending January 2028, compared with Wall Street expectations closer to 44%. That is not moving the goalposts. It is loading them onto a truck and driving them across the state line. Vera Rubin is already shipping and could represent one-fifth of data-centre revenue this quarter. AI laboratories may account for one-quarter of Nvidia's total business next year, while AWS plans to deploy another two million Nvidia GPUs during 2027 and 2028. Demand is apparently accelerating even at Nvidia's current scale, with supply still struggling to keep pace. That explains the heat under Asian memory shares. Nvidia expects higher memory and component costs to push gross margins down toward 71%-72% in the fourth quarter. Nvidia's margin pressure is SK Hynix and Samsung's pricing power. High-bandwidth memory has become the toll booth on the AI superhighway, and every new GPU convoy has to pay. But Jackson Hole is keeping the champagne bottle raised rather than smashed across the hull, preventing Nvidia's lift from becoming a full all-boats launch. July PCE inflation held at 3.7%, core inflation remained at 3.3%, and the 2-year Treasury yield has climbed toward 4.22%. Markets are now pricing another Fed hike by December. Nvidia controls the earnings numerator, but Kevin Warsh is about to weigh in on the discount-rate denominator. Few traders are likely to push every engine to maximum thrust before Warsh delivers his first Jackson Hole address as Fed chair. If he signals that persistent inflation requires another turn of the screw, the AI earnings runway may remain long, but the financing cost attached to it will be steeper.. Falling oil offers some relief, with Brent near $87/bbl as diplomacy around the Strait of Hormuz improves. But flows through the strait remain disrupted, diesel inventories are historically tight, and the squeeze is being compounded by another Ukrainian strike on Russia's refining system. The overnight attack set Lukoil's NORSI refinery ablaze -- Russia's fourth-largest refinery and second-largest gasoline producer. Crude is shedding a little geopolitical fear; the products market is still accumulating it So this is a real Nvidia rally, but a selective one. The chipmakers and memory suppliers are already airborne. The broader market is still circling the runway, waiting for Warsh to clear the macro airspace.

Nasdaq, S&P 500 lifted by Nvidia's forecast; investors eye speech by Fed's Warsh

NEW YORK, Aug 27 (Reuters) - The technology-heavy Nasdaq outperformed peers at close of trade on Thursday after chip-maker Nvidia's bumper revenue forecast reaffirmed the strength of the AI boom and fueled gains in technology stocks. Nvidia shares jumped after the chip company's robust forecast met lofty investor expectations, bolstering the view that the tech rally still has room to run as companies at the heart of AI buildout continue to deliver impressive growth. "Nvidia's results show that the AI boom is not running out of demand ... while delivering that growth is becoming more expensive and capital-intensive," said Lale Akoner, global market strategist at eToro. Morgan Stanley said in a note on Thursday that Nvidia's forecast for revenue growth of 70% next year is well above Morgan Stanley's estimate for a 52% rise and that the consensus estimate is closer to 40%. "We would expect Nvidia to continue to knock down barriers to higher growth," said analyst Joseph Moore in the note. Nvidia has warned that shortages of memory components could curb the pace of the industry's growth. According to preliminary data, the S&P 500 gained 55.03 points, or 0.72%, to end at 7,730.73 points, while the Nasdaq Composite gained 411.16 points, or 1.57%, to 26,540.78. The Dow Jones Industrial Average rose 100.33 points, or 0.19%, to 53,564.21. U.S. chip-linked stocks broadly rose, with the semiconductor index notching strong gains. The S&P 500 Information Technology sector rose, making it the best gainer among the S&P 500's 11 constituents, which were mostly in the red. "While Nvidia's earnings beat and strong guidance restarted the party, it's apparent that not all sectors of the market were invited," said Charlie Ripley, senior investment strategist at Allianz Investment Management. "Market headwinds continue to be a factor as higher interest rates, geopolitical tensions and global trade, among other things, are playing a role in the weakness seen across other sectors." Brent crude prices jumped by more than $2 a barrel on Thursday, after a Wall Street Journal report that said U.S. President Donald Trump is not interested in returning to terms of a memorandum of understanding reached with Iran in June. Salesforce surged after raising annual revenue and profit forecasts, and rolling out a new plug-in integrated with Anthropic's Claude AI models. The stock was the biggest boost to the blue-chip Dow, and was set for its best one-day jump in six years. CrowdStrike climbed after the cybersecurity software provider raised its annual revenue forecast and topped second-quarter earnings estimates. The Salesforce and CrowdStrike reports calmed worries that advanced AI tools could upend the traditional software industry, boosting investor appetite for beaten-down software stocks and narrowing the gap with semiconductors, which are seen as the primary beneficiaries of the AI boom. Shares of other software firms, including ServiceNow and Palo Alto Networks, also rose. Moderna dropped after unveiling a $2 billion convertible bond sale, while HP was lower after shipments and margins of its PC unit declined in the third quarter. FOCUS SHIFTS BACK TO MACRO With Nvidia results out, investor attention turns to Federal Reserve Chair Kevin Warsh's first Jackson Hole address on Friday for hints on the central bank's stance on the latest inflation data and the U.S. Treasury's efforts to tame yields. "A common theme from Warsh has been his focus on the supply side of the economy and we expect that to remain the focus," said Christopher Hodge, chief U.S. economist for Natixis. "I highly doubt that Warsh will be too declarative in his assessments of what's to come, but it would not be surprising if he expressed some skepticism about previous policy assumptions and generally struck an anti-doctrinaire approach." A hotter-than-expected Personal Consumption Expenditures reading on Wednesday muddied the policy outlook, dampening some of the optimism generated by a benign consumer inflation report earlier this month. Two Fed officials shared their ongoing concerns about the inflation outlook on Thursday, reiterating their stance on rate hikes to combat price pressures. Meanwhile, the number of Americans seeking unemployment benefits for the first time fell for a second week, while the overall number slid to the lowest in a month, signaling a stable labor market. (Reporting by Saeed Azhar in New York and Purvi Agarwal, Niket Nishant and Arasu Kannagi Basil in Bengaluru; Editing by Shilpi Majumdar and Matthew Lewis) By Saeed Azhar, Purvi Agarwal and Niket Nishant

Nasdaq Futures Buoyed by Nvidia Earnings, Software as Oil Turns Positive -- Update

U.S. technology futures jumped in European afternoon trade after Nvidia's bumper earnings forecast renewed optimism around artificial-intelligence stocks, while software earnings quieted investor pessimism on the sector. The world's most valuable company raised its revenue outlook, signaling greater optimism on the durability of AI demand and lifting sentiment in AI-linked stocks across the globe. U.S. Treasury yields rose as investors wait for Federal Reserve Chair Kevin Warsh's hotly anticipated appearance at the Jackson Hole symposium Friday. Oil prices swung into the green over the course of European trade. After falling at the open, contracts rose as investors weighed apparent progress in talks between Oman and Iran against near-term supply shortages. Brent crude for October delivery rose 0.8% to $88.57 a barrel, while WTI contracts edged 0.3% higher to $82.52 a barrel. Nasdaq futures rose 0.9%, while the S&P 500 futures rose 0.4%. Futures for the Dow Jones Industrial Average were flat. Companies making the picks and shovels of the AI rush benefited most from Nvidia's earnings, with chip maker Micron Technology jumping 4% premarket while Nvidia leapt 6.1%. Software stocks also surged premarket--led by an 11% gain for Salesforce--after a sweep of bullish earnings presentations lifted the sector and eased fears around competition from AI. In Asia, South Korea's Kospi rose 1.5% on gains for memory chip makers. Samsung Electronics rose 1.7%, while SK Hynix added 2.5%. European AI-related stocks also jumped, with ASML gaining 1.2%. Stocks on the continent slipped more broadly, as weakness in oil majors and luxury stocks dragged. Treasury investors' focus is on Warsh's Friday appearance at Jackson Hole. Wednesday's PCE data showed inflation stubbornly above the Fed's 2% target, adding to pressure on Warsh to signal openness to raising rates, Danske Bank analyst Jesper Fjarstedt wrote in a note to clients. Yields on 10-year Treasurys traded up 0.6 basis points at 4.669%, while 30-year yields rose 1 basis point to 5.183%. In the eurozone, German Bund yields rose 0.7 basis points to 3.229% as higher natural gas prices drive inflation concerns. In currency markets, the U.S. dollar was steady. The Japanese yen was little moved after the Bank of Japan's deputy governor, Ryozo Himino, vowed to remain alert to inflation risks. Markets are increasingly confident the bank will hike rates in September. Gold remained elevated at $4,647.60 a troy ounce, while Bitcoin continued to find resistance at the $80,000 mark, rising 0.6% to $79,490.96.

Nasdaq Futures Buoyed by Nvidia Earnings, Software as Oil Falls

U.S. technology futures jumped in early European trade after Nvidia's bumper earnings forecast renewed optimism around artificial-intelligence stocks, while software earnings quieted investor pessimism on the sector. The world's most valuable company raised its revenue outlook, signaling greater optimism on the durability of AI demand and lifting sentiment in AI-linked stocks across the globe. U.S. Treasurys were little moved as investors wait for Federal Reserve Chair Kevin Warsh's hotly anticipated appearance at the Jackson Hole symposium Friday. Oil prices pulled back as analysts cautiously welcomed progress in talks between Oman and Iran. Brent crude for October delivery fell 1.4% to $86.66 a barrel, while WTI contracts slipped 1.6% to $80.94 a barrel. Nasdaq futures rose 1.1%, while futures for the Dow Jones Industrial Average and the S&P 500 rose 0.1% and 0.5%, respectively. Companies making the picks and shovels of the AI rush benefited most from Nvidia's earnings, with chip maker Micron Technology jumping 4.6% premarket while Nvidia leapt 7.5%. Software stocks also surged premarket--led by a 11.5% gain for Salesforce--after a sweep of bullish earnings presentations lifted the sector and eased fears around competition from AI. In Asia, South Korea's Kospi rose 1.5%. Memory chip makers led the gains with Samsung Electronics rising 1.7% and SK Hynix up 2.5%. European AI-related stocks also jumped, with ASML gaining 1.3%. Stocks in the continent drifted more broadly, as weakness in oil majors and luxury stocks dragged. Treasury investors' focus is on Warsh's Friday appearance at Jackson Hole. Wednesday's PCE data showed inflation stubbornly above the Fed's 2% target, adding to pressure on Warsh to signal openness to raising rates, Danske Bank analysts Jesper Fjarstedt wrote in a note to clients. Yields on 10-year Treasurys slipped 1.2 basis points to 4.652%, while 30-year yields fell 1.3 basis points at 5.171%. In the eurozone, German Bund yields rose 0.7 basis points to 3.229% as higher natural gas prices drive inflation concerns. In currency markets, the dollar was steady. The Japanese yen was little moved after the Bank of Japan's Deputy Governor Ryozo Himino vowed to remain alert to inflation risks. Markets are increasingly confident the bank will hike rates in September. Gold remained elevated at $4,654.70 a troy ounce, while Bitcoin continued to find resistance at the $80,000 mark, rising 0.6% to $79,503.28.

US stock futures subdued in run-up to Nvidia results, inflation print

Aug 26 (Reuters) - U.S. stock index futures were little changed on Wednesday as investors stayed cautious ahead of AI bellwether Nvidia's earnings and a closely watched inflation report that could influence interest-rate expectations. The Personal Consumption Expenditures report, the Federal Reserve's preferred inflation gauge, is expected to show price pressures climbed to 3.6% in July. A second estimate of economic growth is also due later in the day. Traders have priced in one 25-basis-point hike in interest rates in 2026, according to LSEG data, though an in-line consumer inflation reading has lowered the odds of a September increase. Another key focus for markets is the quarterly results from AI chip leader Nvidia, widely seen as the next major test of the AI-fueled rally. Any sign of slowing growth could rekindle doubts over the boom's sustainability and set the tone for markets for the rest of the week. Its shares were up 0.2% in premarket trading. "Nvidia has long become the bellwether for AI-related stocks, and its recent underperformance relative to other U.S. semiconductors (is) a clear signal of market concerns about the AI investment related boom," said Marc Ostwald, chief economist and global strategist at ADM Investor Services. A cutback on cyclical spending and concentration of Nvidia's revenue streams could overshadow robust results, Ostwald said. Bumper results could also deepen the divide between software stocks that have taken a beating this year, and semiconductors, which have been capitalized heavily on the AI euphoria. Shares of Intuit dropped 11.7% after the TurboTax maker forecast annual revenue below Wall Street expectations. Other software stocks also came under pressure, with Adobe down, ServiceNow and Atlassian falling more than 2% each. At 05:26 a.m. ET, Dow E-minis were up 31 points, or 0.06%, S&P 500 E-minis were down 7.5 points, or 0.10%, and Nasdaq 100 E-minis were down 76.25 points, or 0.26%. Earnings from a slew of consumer companies, too, will be parsed. Meanwhile, Iran said it has restarted talks with Oman to manage the Strait of Hormuz, improving broader risk appetite. Worries over higher-for-longer oil prices, rising government debt and inflation expectations pushed Treasury yields to multi-year highs last week, but they retreated after the Treasury announced support measures. Higher yields hammered tech stocks earlier in the week, but they recovered in the previous session, helping close Wall Street higher. An uncertain macro environment and short-lived relief from the Treasury's measures have put the focus on Fed Chair Kevin Warsh's speech at the Jackson Hole symposium on Friday for clues on where the central bank stands on the rate path. "A dovish surprise, focused on weakening growth or labor market risks, would see lower real bond yields, dollar weakness while equities could fare well," said Kevin Thozet, investment committee member at Carmignac. "A hawkish surprise, with explicit concern over inflation or a willingness to hike, would push short-term yields higher... A speech leaving investors unconvinced, would see the pressure on the long end intensify." (Reporting by Purvi Agarwal in Bengaluru; Editing by Shilpi Majumdar)