Stocks Rise Before Nvidia’s Earnings as Oil Falls: Markets Wrap

(Bloomberg) — Stocks rose as a decline in oil prices sent bond yields lower, with traders awaiting Nvidia Corp.’s earnings for clues on whether the outlook for artificial intelligence remains intact.

The equity rebound broke a seven-day losing streak for the world’s most valuable company ahead of its results. A gauge of chipmakers climbed 1.5%. The Nasdaq 100 outperformed major benchmarks. Also helping sentiment was a news report that the US would be returning diplomats to Middle East embassies, easing concern about an escalation of the Iran war.

That helped send Brent crude below $90, with oil also falling as mediators said they were continuing efforts to end the nearly six-month conflict. Lower energy costs reduced concerns about inflationary pressures, lifting Treasuries.

Traders also parsed economic data before Wednesday’s release of the Federal Reserve’s preferred inflation gauge. US consumer confidence hit the lowest level since the start of the year on a deteriorating outlook for business conditions and jobs.

A speech by Fed Chair Kevin Warsh Friday may further shape the direction of bonds. The pressure from Wall Street is intense after a July press conference triggered a market rebuke. Analysts have been relentless in calling out Warsh for, in their view, going too far in a quest to limit Fed communications.

“We believe that Mr. Warsh is more likely stick to his guns,” said Matt Maley at Miller Tabak. “If he does, it’s going to be important that Nvidia has seen a much more positive reaction to its earnings/guidance than most of the other chip stocks have seen this earnings season.”

Analysts estimate that Nvidia’s revenue nearly doubled last quarter from a year earlier to $92 billion. That’s more money than any of its rivals get in a full year.

“Nvidia is operating on all cylinders and they’re doing absolutely everything correctly at this point,” said Mark Malek at Siebert. “We’re anticipating good news here, but so is everybody.”

Malek notes that good news is not any not good enough anymore, and any kind of misread or misstep this Wednesday could be a big challenge.

“But for investors it could be an opportunity,” he added.

Corporate Highlights:

OpenAI said that its new Jalapeno chips performed better than Nvidia Corp.’s current lineup during testing, underscoring the company’s progress developing AI processors in-house. Apple Inc. announced upgraded Mac mini and Mac Studio desktop computers, giving the in-demand machines major processor upgrades. Lambda Inc., an AI cloud-computing provider backed by Nvidia Corp., is in talks to raise as much as $3 billion in a round that could tee it up to go public next year, according to people familiar with the efforts. Oura Health Oy, a maker of smart rings that track health, fitness and sleep, and some of its backers are seeking to raise as much as $3 billion in a US IPO, according to people familiar with the matter. Dick’s Sporting Goods Inc. sank after the Foot Locker chain it acquired last year continued to struggle, raising doubts about the broader sneaker market. Some of the main moves in markets:

Stocks

The S&P 500 rose 0.3% as of 12 p.m. New York time The Nasdaq 100 rose 0.6% The Dow Jones Industrial Average rose 0.2% The Stoxx Europe 600 rose 0.3% The MSCI World Index rose 0.3% Currencies

The Bloomberg Dollar Spot Index was little changed The euro was little changed at $1.1671 The British pound was little changed at $1.3635 The Japanese yen was little changed at 159.25 per dollar Cryptocurrencies

Bitcoin rose 0.6% to $79,403.13 Ether rose 0.3% to $2,482.07 Bonds

The yield on 10-year Treasuries declined five basis points to 4.65% Germany’s 10-year yield declined five basis points to 3.20% Britain’s 10-year yield declined seven basis points to 4.99% Commodities

West Texas Intermediate crude fell 3.4% to $82.09 a barrel Spot gold was little changed ©2026 Bloomberg L.P.