Wall Street in the green while waiting for Nvidia

New York (AFP) – The New York Stock Exchange is trading in the green on Wednesday, traders with their eyes on Nvidia’s expected results after the close, before focusing on Thursday on the Jackson Hole meeting and what will happen next. the Fed.

The Dow Jones index advanced 0.21%, the technology-dominated Nasdaq gained 1.16% and the S&P 500 rose 0.66% around 2:30 p.m. GMT.

The day before, the indices had ended mixed, the Dow Jones down 0.51% to 34,288.83 points, the Nasdaq at equilibrium (+0.06%) at 13,505.87 points and the broader index down by 0.28% to 4,387.55 points.

“Mega-cap stocks are going to ride or sink as soon as we hear the results from Nvidia and their reaction will affect the market for the rest of the week,” warned Patrick O’Hare of Briefing.com.

The title of Nvidia (+1.48%), maker of graphics processors at the heart of the hype on artificial intelligence, fell 2.77% to 456.68 dollars on Tuesday. It had soared the day before by more than 8%.

The stock price has inflated 345% since its low nearly a year ago, and 200% since the start of the year.

Analysts expect the chipmaker’s second-quarter revenue of $11.9 billion, up 67% year on year. They expect a profit of 4.73 billion dollars against 656 million last year.

In terms of macro-economic news, the new home sales index for July surprised by climbing 4.4% with 714,000 sales.

These data – much higher than expected – were collected before the new surge in rates on mortgages to more than 7% which followed the tension in bond rates.

The market was also “awaiting the speech of Jerome Powell, Chairman of the Fed” Friday at 2:00 p.m. GMT in Jackson Hole (Wyoming), recalled Peter Cardillo of Spartan Capital.

“He should downplay the tactical question of whether the Fed will raise interest rates again next month and should instead focus on the central bank’s determination to keep rates high for as long as needed to truly defeat inflation. “, commented Art Hogan.

On the bond market, rates eased significantly, the ten-year slipping to 4.20% after reaching 4.32% the day before, close to its highest in 16 years hung for a week.

On the stock side, the tech mega-caps rebounded: Alphabet, Netflix and Meta gained more than 2%, Apple and Microsoft more than 1%.