As of today, the S&P 500 Index ($SPX) is down 0.74%, while the Dow Jones Industrial Average ($DOWI) is up 0.13%, and the Nasdaq 100 Index ($IUXX) is down 1.40%. Nvidia’s recent earnings report, although exceeding Q4 expectations with a $62.3 billion data center revenue, failed to mitigate concerns about the AI sector, leading the stock to drop over 4%. Additionally, broader market disturbance is attributed to geopolitical tensions, particularly ongoing nuclear negotiations between the US and Iran, affecting crude oil prices.
In labor market news, US weekly initial jobless claims rose by 4,000 to 212,000, below expectations of 216,000, indicating a robust labor market. Corporate earnings have largely surpassed expectations, with 74% of S&P 500 companies beating forecasts and an anticipated growth of 8.4% for Q4 earnings, marking the tenth consecutive quarter of growth. The market is now looking ahead to upcoming economic indicators, with the February MNI Chicago PMI expected to dip to 52.2.
In notable stock movements, Salesforce surged over 3% following a strong earnings outlook, whereas AI-infrastructure stocks plummeted, with Broadcom dropping more than 6%. Weaker performances were also seen in companies like PROCEPT BioRobotics and Chemed Corp, down over 22% and 16%, respectively, following disappointing forecasts.
