SUMMARY
- US stock futures dipped after Nvidia earnings, reflecting caution around the AI trade.
- Major indexes closed higher Wednesday despite volatility in technology shares.
- Investors are watching jobless claims and producer price index data for inflation signals.
NEW YORK — US stock futures edged lower late Wednesday after chipmaker Nvidia reported quarterly results that investors viewed as a key test of the artificial intelligence trade driving markets in 2026.
Futures tied to the Dow Jones Industrial Average fell 0.1 percent, while contracts linked to the S&P 500 and Nasdaq 100 dropped about 0.3 percent.
The pullback followed a solid regular session in which the S&P 500 marked its second straight gain and the Nasdaq Composite and Dow industrials both closed higher.
In extended trading, Nvidia shares initially rose after the company topped Wall Street expectations for fourth quarter profit and revenue, before surrendering gains.
The results eased concerns about an “AI scare trade” that has pressured high valuation technology stocks this year.
By contrast, shares of Salesforce fell roughly 5 percent, deepening losses that have left the stock down about 28 percent year to date.
Technology shares led Wednesday’s rebound. Oracle and other megacap firms recorded advances even as President Donald Trump said during his State of the Union address that large technology companies would shoulder rising electricity costs tied to expanding data centers.
“The market is recalibrating expectations for AI driven earnings growth,” said Lisa Shalett, chief investment officer at Morgan Stanley Wealth Management. “Nvidia’s numbers were strong, but valuation sensitivity remains high.”
Investors are turning to weekly jobless claims due Thursday and January’s producer price index on Friday for clues on inflation and Federal Reserve policy.
“The trajectory of producer prices will be critical for risk appetite,” said Quincy Krosby, chief global strategist at LPL Financial, noting that equity gains have relied on expectations of easing inflation.
Earnings season continues Thursday with results from Warner Bros. Discovery, Dell Technologies and CoreWeave, companies seen as bellwethers for media restructuring, enterprise hardware demand and AI infrastructure spending.
For global investors, the interplay between corporate earnings, inflation data and energy costs tied to data center expansion underscores the fragile balance sustaining the AI-driven rally.
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