Nvidia Earnings Nears as US Markets Move Slightly Mixed Ahead of Key Data

The S&P 500 closed down 0.02%, the Dow Jones Industrial Average slipped 0.21%, and the Nasdaq‑100 edged up 0.05% on Wednesday. E‑mini S&P futures rose 0.02% and September Nasdaq futures gained 0.08%, reflecting modest optimism ahead of major economic releases.

Trading was dominated by anticipation of Nvidia’s upcoming earnings report, which will be watched closely as a gauge of AI‑driven spending. Market participants also digested a mix of macro data. July’s capital‑goods orders (excluding defense aircraft) rose only 0.2% month‑over‑month, missing the 0.7% forecast, while June’s figure was revised upward to +1.7%. In contrast, personal spending and income both surprised to the upside, climbing 0.2% and 0.4% respectively versus expectations of 0.1% and 0.2%.

Inflation remained a concern. The July core PCE price index, the Fed’s preferred gauge, matched expectations with a 0.2% monthly increase (3.3% year‑over‑year). The Q2 core PCE was revised higher to 3.6% quarter‑over‑quarter, and the 10‑year Treasury yield rose 2 basis points to 4.66% after the data release.

Earnings news was mixed. J.M. Smucker surged more than 4% after reporting stronger‑than‑expected Q1 adjusted EPS and lifting its 2027 outlook. Conversely, Intuit fell over 3% following a weaker full‑year forecast for both earnings and revenue.

Mortgage activity slipped, with MBA applications down 1.0% for the week ended August 21. The 30‑year fixed‑rate averaged 6.78%, up 1 basis point from the prior week.

Q2 GDP remained unchanged at a 1.5% annualized pace, though personal consumption was revised upward to 3.4% from 3.2%. The strong earnings backdrop is supporting equities, with the S&P 500 on track for nearly 32% earnings growth in Q2—well above the 23% consensus—and AI infrastructure stocks expected to contribute roughly 60% of that EPS growth.

Crude oil fell to a 1.5‑week low after reports of a potential “temporary joint maritime corridor” through the Strait of Hormuz eased geopolitical tensions. October WTI was down more than 8% for the week.

Markets are pricing a 36% chance of a 25‑basis‑point Fed rate hike at the next FOMC meeting on September 15‑16, while ECB Executive Board member Isabel Schnabel signaled that further tightening will likely be needed, driving a 97% probability of a September ECB rate increase.

Interest Rates

September 10‑year T‑notes (ZNU6) closed 6.5 ticks lower, with yields rising 3.1 basis points to 4.660%. Stronger U.S. personal‑spending data and an upward revision to Q2 core PCE pressured prices. Positive demand at the $70 billion 5‑year Treasury auction (bid‑to‑cover 2.37) provided some support.

European government bond yields moved higher. German 10‑year bund yields climbed 3.3 bp to 3.234%, and UK gilt yields rose 4.3 bp to 5.031%.

U.S. Stock Movers

Semtech (SMTC) jumped over 10% after beating Q2 EPS and lifting guidance. Summit Therapeutics (SMMT) gained more than 7% on positive late‑stage trial data for ivonescimab. Williams Cos (WMB) rose over 4% after Morgan Stanley named it a top pick on AI infrastructure. Oracle (ORCL) advanced over 3% following a Citi price target upgrade. Datadog (DDOG) was up more than 2% on acquisition speculation. Spyre Therapeutics (SYRE) fell over 12% after a mid‑stage trial missed its internal target. Zoom Communications (ZM) declined over 6% on a Q3 EPS forecast below consensus. Intuit (INTU) dropped more than 3% on a weaker 2027 outlook. GoDaddy (GDDY) slipped over 4% after a downgrade by Wells Fargo. Boston Scientific (BSX) fell over 3% amid a disclosed cyber incident. Nike (NKE) lost over 2% as a Dow loser after a Truist downgrade.

Earnings Reports (8/27/2026)

Affirm Holdings Inc (AFRM), Autodesk Inc (ADSK), Best Buy Co Inc (BBY), Burlington Stores Inc (BURL), Dollar General Corp (DG), Dollar Tree Inc (DLTR), Elastic NV (ESTC), Forgent Power Solutions Inc (FPS), Gap Inc/The (GAP), Hormel Foods Corp (HRL), IREN Ltd (IREN), Marvell Technology Inc (MRVL), Rubrik Inc (RBRK), SentinelOne Inc (S), Ulta Beauty Inc (ULTA), Workday Inc (WDAY).

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