NEW YORK / RankWire.AI / – Wall Street’s technology rebound this week gained fresh context after Nvidia released quarterly results Wednesday. Major U.S. indexes had climbed Tuesday as technology and semiconductor shares recovered from the previous session’s decline. The S&P 500 rose 0.31% to 7,676.62. The Nasdaq Composite advanced 0.64% to 26,145.47, while the Dow Jones Industrial Average gained 0.29% to 53,572.91. The gains restored momentum to technology stocks before one of the market’s most closely watched earnings reports.
Nvidia shares gained 2.2% Tuesday, while AMD jumped 4.9% and Meta Platforms rose nearly 2%. The Philadelphia semiconductor index added 1.4%, reflecting broad gains across chipmakers. Treasury yields declined during the session, while oil prices also moved lower. Those shifts accompanied renewed demand for large technology shares after Monday’s pullback. The rebound helped all three major U.S. indexes finish higher as investors awaited corporate results and fresh economic data.
Wall Street then closed almost unchanged Wednesday before Nvidia released its numbers after the bell. The Dow fell 0.21%, the S&P 500 slipped 0.02%, and the Nasdaq Composite lost 0.08%. U.S. data showed the personal consumption expenditures price index rose 3.7% in July from a year earlier. Core PCE inflation, which excludes food and energy, increased 3.3% over the same period. Personal spending rose 0.2% in July, while personal income increased 0.4%.
Nvidia results follow technology rebound
Nvidia reported fiscal second-quarter revenue of $96.22 billion for the period ended July 26. Revenue rose 18% from the prior quarter and 106% from a year earlier. Data Center revenue reached $89.0 billion, up 117% year over year. The company posted GAAP net income of $59.69 billion and diluted earnings of $2.46 per share. Its GAAP gross margin stood at 75.0%, compared with 72.4% in the same quarter last year.
The chipmaker also issued a fiscal third-quarter revenue outlook of $108.0 billion, plus or minus 2%. Nvidia said the forecast assumes no Data Center compute revenue from China. It expects GAAP and non-GAAP gross margins of 74.0%, plus or minus 50 basis points. The company returned about $26.0 billion to shareholders through share repurchases and cash dividends during the second quarter. It had about $99.0 billion remaining under its authorized share repurchase program at quarter-end.
U.S. markets absorb earnings and inflation data
Nvidia shares rose 4.7% in after-hours trading following the earnings release and conference call. U.S. equity futures also moved higher during Asian trading Thursday. Technology shares advanced across several Asian markets after the company published its revenue growth and outlook. The market action followed two contrasting Wall Street sessions, with Tuesday’s technology rebound giving way to narrow declines Wednesday. Semiconductor earnings and U.S. inflation data remained among the main confirmed developments affecting global equity trading.
The latest figures also updated the backdrop to Tuesday’s rally, which had centered on expectations for Nvidia’s report. Revenue and Data Center sales both more than doubled from the same quarter a year earlier. The company’s third-quarter forecast exceeded its second-quarter revenue total by nearly $12 billion at the midpoint. The broader U.S. market entered Thursday after Wednesday’s near-flat finish and Tuesday’s technology-led gains. Those figures were the newest confirmed corporate and economic data available after the two Wall Street sessions.