The U.S. stock market saw a day of cautious trading on Tuesday, with the main indexes fluctuating within a tight range as investors awaited key events such as Nvidia’s earnings report and updates from the Federal Reserve.
Nvidia, a leading AI chip company, is set to announce its quarterly earnings on Wednesday, which is expected to have a significant impact on the market. Investors are looking for aggressive forward numbers to drive Nvidia shares higher and continue their upward climb.
Meanwhile, Federal Reserve officials emphasized that the central bank is not in a rush to ease interest rates, with two rate-setters stating that it was prudent to wait before considering rate cuts.
In terms of sector performance, consumer discretionary stocks took a hit, with Lowe’s and AutoZone both experiencing declines after issuing warnings about operating margin pressure and sales misses, respectively. However, financial stocks like JPMorgan Chase saw gains, helping boost the overall market.
Tech giant Microsoft also contributed to the positive sentiment, with a 1.5% rise following the launch of its new line of personal computers with AI features.
At midday, the Dow Jones Industrial Average was up, while the S&P 500 and Nasdaq Composite were relatively flat. Companies like Palo Alto Networks, IBM, and Eli Lilly also made headlines with their respective stock movements.
Overall, the market saw a mix of ups and downs, with declining issues slightly outnumbering advancers. Investors will continue to monitor key developments in the coming days to gauge the market’s direction.