Modest gains on Wall Street have raised the stock market to a record level of all time before an updated profits of the NVIDIA IT flea giant.
The S&P 500 increased by 0.2%, good enough to push the reference index after the record it set two weeks ago. The industrial average of Dow Jones increased by 0.3% and the NASDAQ composite closed 0.2% more.
Technological companies have paved the way on the way, winning down on the declines of communication services and other sectors.
After closing the market, NVIDIA said quarterly profits and revenues that have exceeded the forecasts of Wall Street analysts, although the company noted that sales of its artificial intelligence chipsets increased at a slower rate than the planned analysts. The action dropped by 3.2% in the event of negotiation after opening hours after slipping 0.1% during the ordinary session.
Investors consider Nvidia as a barometer for the strength of the boom of artificial intelligence because society makes most of the chips that feed technology. Its heavy weighting also gives Nvidia a disproportionate influence as a bell for the wider market.
“To say that this is the most important action in the world is an understatement,” said Jay Woods, world chief strategist at Freedom Capital Markets. “The average action decision after a profits press release is more or less 7.4%, so a single average decision will have an impact on the entire market.”
Several large software companies – Crowdsstrike Holdings, ServiceNow, Palo Alto Networks, Intuit and Salesforce – increased before Nvidia’s results.
Until now, the actions have been mainly in red this quarter in the middle of the concerns that AI will facilitate the creation of software at the expense of the competitive advantage of large software companies.
The actions of Cracker Barrel climbed 8% after the catering company deleted its intention to change its logo following an uproar on social networks which even attracted a comment by President Donald Trump.
The actions of several companies have increased after declaring quarterly results which exceeded the forecasts of analysts. The Kohl department store chain has vaul 24% and the MongODB database platform company jumped 38%. The two companies have also increased their directives in the full year.
JM SMUCKER slipped 4.4% after the last quarterly snapshot of Jam Maker jelly and jam has not succeeded in analysts’ estimates.
Among other actions that have lost ground: the Krispy Kreme donut store chain, which dropped by 3.5%, and Paramount Skydance, which dropped 6.5% for the greatest drop among S&P 500 companies.
Most of the treasury yields fell on the bond market. The yield on the 10 -year treasure dropped to 4.24% against 4.26% late Tuesday.
Crude oil prices have increased. European markets mainly finished lower markets and Asian markets mixed overnight.
Wall Street’s trade started at an unequal start this week after big gains last week on hopes of Fed interest rate reductions.
The markets were moderate after Trump degenerated his fight with the central bank trying to dismiss the governor of the federal reserve, Lisa Cook. Cook’s lawyer said that she would continue the administration of Trump to try to stop her.
Trump argued with the central bank on his prudent interest rates policy. The Fed has held stable prices since the end of 2024 about the concerns that Trump’s unpredictable pricing policies will rekindle inflation. Trump also threatened to shoot the president of the Fed, Jerome Powell, often holding him with insults. However, there is only one of the 12 votes that decides on interest rate policy.
For the moment, the situation should not have a major impact on the short -term policy of the Fed.
The two -year treasure yield, which closely follows the expectations of the action of the federal reserve, fell to 3.62% of 3.68%.
Merchants are still betting that the Fed will cut its reference interest rate at its next meeting in September. Traders see 90.3% that the central bank reduces the rate by a quarter of a percentage point, according to data from the CME group.
“It is a kind of conclusion before the market that we will obtain the drop in interest rates in September,” said Jed Ellerbroek, portfolio director at Silver Capital Management. “The biggest question is probably” What is after that? ” “”
The federal reserve reduced its reference interest rate at the end of 2024 after spending the last years fighting the increase in inflation by increasing rates. He managed to tame inflation and avoided that these higher rates are stalling economic growth, largely thanks to high consumption expenditure and a resilient labor market.
The Fed pressed the break button in 2025 to fear that the higher prices imposed by Trump can revive inflation. The drop in interest rates facilitates borrowing, which contributes to more investment and expenses, but this could also potentially feed inflation. However, concerns are deepened on the job market.
Economic data is relatively light this week until Friday, which will bring another inflation update: the American consumption expenditure index. Economists expect it to show that inflation remained around 2.9% in July, against a year ago. Companies warn investors and higher prices and prices consumers due to prices.
Shape prices placed by the Trump administration on India regarding Russian oil purchases took effect on Wednesday, bearing the combined prices imposed on the American ally at 50%.
All in all, the S&P 500 increased by 15.46 points to 6,481.40. The DOW added 147.16 points to 45,565.23 and the NASDAQ climbed 45.87 points to 21,590.14.
