U.S. stock futures fell slightly on Wednesday. Investors braced for Nvidia’s latest quarterly figures. This comes off a strong session the previous day.
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The Dow Jones Industrial Average had rallied more than 700 points, or about 1.8%. The S&P 500 rose 2%. Each ended a four-day losing streak.
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The Nasdaq advanced roughly 2.5%. These moves followed President Donald Trump’s announcement on Sunday. He delayed tariffs on the European Union until July 9.
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They were initially planned for implementation on Friday. This has bolstered investors’ hopes. They hope the stock market can move past tariff-related chaos.
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Rich Saperstein is the chief investment officer of Treasury Partners. He commented, “It’s important for investors to look past the tariff turmoil. Focus on the benefits of deregulation and more onshoring.
Think about the tax bill, immediate expensing from a tax basis, and greater opportunities for M&A. The environment post-tariffs will be a great environment for investing.” However, he also mentioned the likelihood of uncertainty causing slowdowns in the coming quarters. Investors are particularly focused on Nvidia’s earnings.
They are set to be released on Wednesday.
Investors focus on Nvidia earnings
The performance of the AI chipmaker is crucial.
There seems to be no slowing in demand for its graphics processors. Shares of Okta plunged more than 12%. This was after the identity management software company maintained its guidance.
It cited macroeconomic uncertainty, despite beating fiscal first-quarter expectations. Later Wednesday, traders are expected to scrutinize the minutes from the Federal Open Market Committee. They will look for insights into the central bank policymakers’ approach to monetary policy.
This is amidst increasing macroeconomic uncertainty. Mizuho has projected a 6% upside for semiconductor manufacturer Broadcom. It reiterated it as one of its top picks.
The bank raised its price target on the semiconductor manufacturer to $300 per share from $250. Mizuho analyst Vijay Rakesh highlighted Broadcom’s strong position. He noted its position in artificial intelligence, networking, wireless, and software sectors.
Raymond James predicts that market volatility will likely persist through the summer. This is until there is greater clarity on tariffs and the U.S. budget. Tavis McCourt is an institutional equity strategist at Raymond James.
He remarked, “Uncertainty is likely to continue at least until July/August. That’s when 90-day tariff reprieves end and the budget bill is signed into law.”
Stock futures opened with negligible changes Tuesday night. Dow futures rose by 49 points, or 0.1%.
S&P 500 and Nasdaq 100 futures climbed 0.07% and 0.03%, respectively.
