NEW YORK / RankWire.AI / – This week’s resurgence in U.S. technology stocks on Wall Street gained new momentum following Nvidia‘s quarterly earnings announcement on Wednesday. Major indexes in the United States rebounded Tuesday as shares of technology and semiconductor companies regained ground after the prior session’s downturn. The S&P 500 increased by 0.31% to 7,676.62, the Nasdaq Composite rose 0.64% to 26,145.47, and the Dow Jones Industrial Average added 0.29% to 53,572.91. These gains reinvigorated enthusiasm for tech stocks ahead of one of the most closely monitored earnings reports in the market.
On Tuesday, Nvidia’s stock climbed 2.2%, with AMD jumping 4.9% and Meta Platforms rising nearly 2%. The Philadelphia semiconductor index gained 1.4%, signaling widespread improvement among chip manufacturers. During the session, Treasury yields declined, and oil prices also edged lower. These shifts coincided with renewed investor interest in large technology equities after Monday’s selloff. The market rebound allowed all three major U.S. indexes to close higher as investors looked ahead to upcoming corporate earnings and new economic indicators.
On Wednesday, Wall Street nearly closed flat before Nvidia unveiled its earnings after hours. The Dow dropped 0.21%, the S&P 500 declined 0.02%, and the Nasdaq Composite slipped 0.08%. Data released in the U.S. revealed the personal consumption expenditures price index increased by 3.7% in July compared to the previous year. Meanwhile, core PCE inflation, which excludes food and energy, rose 3.3% over that period. Personal spending saw a modest rise of 0.2% in July, while personal income grew by 0.4%.
Nvidia earnings underscore tech sector revival
Nvidia reported revenues of $96.22 billion for its fiscal second quarter ended July 26, representing an 18% increase from the previous quarter and a 106% jump year-over-year. Revenue from Data Center sales hit $89.0 billion, up 117% compared to the same period last year. The company posted GAAP net income of $59.69 billion, with diluted earnings per share of $2.46. Its GAAP gross margin was 75.0%, compared to 72.4% in the year-ago quarter.
Looking ahead, Nvidia provided a fiscal third-quarter revenue forecast of $108.0 billion, plus or minus 2%. The outlook assumes no Data Center revenue from China. The company expects GAAP and non-GAAP gross margins of around 74.0%, with a variance of plus or minus 50 basis points. During the second quarter, Nvidia returned approximately $26.0 billion to shareholders through share repurchases and cash dividends, leaving about $99.0 billion under its authorized buyback program at quarter end.
Markets digest earnings figures and inflation data in the U.S.
Following its earnings release and conference call, Nvidia’s shares surged by 4.7% in after-hours trading. Futures for U.S. equities also edged upward during Thursday’s Asian trading session. Technology stocks saw gains across multiple Asian markets after Nvidia announced its revenue growth and outlook. This market activity followed two contrasting Wall Street sessions: Tuesday’s tech-driven rally contrasted with Wednesday’s narrowly negative close. Semiconductor earnings and U.S. inflation reports continue to influence global equity movements.
These latest figures further contextualize Tuesday’s rally, which was driven largely by expectations surrounding Nvidia’s results. Both revenue and Data Center sales more than doubled compared to the same quarter last year. The company’s third-quarter forecast exceeds its second-quarter revenue by nearly $12 billion at the midpoint. As Thursday’s trading began, the broader U.S. markets remained close to flat after Wednesday’s minimal change, consolidating the gains from Tuesday’s tech-led advance. These data points mark the latest confirmed corporate and economic developments following the two Wall Street sessions.