Stocks Fall Late as Nvidia Results Fail to Inspire: Markets Wrap

(Bloomberg) — Stocks fell in late hours after Nvidia Corp.’s revenue forecast struggled to clear elevated expectations, weighing on sentiment across the technology sector and testing the strength of the AI-fueled rally that has dominated global markets.

A $660 billion exchange-traded fund tracking the S&P 500 dropped, following an advance that drove the equity benchmark to a fresh record on Wednesday. The chipmaker slid 2.5% after projecting fiscal third-quarter sales of about $54 billion, excluding China data-center revenue. While the outlook matched estimates, it trailed the more optimistic forecasts.

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Nvidia Falls as Forecast Fails to Meet High Hopes: Street Wrap

For a stock priced for perfection, that was enough to trigger the slide in late trading. Not even Nvidia’s announcement of additional $60 billion in buybacks buoyed sentiment.

The giant chipmaker has added about $2 trillion in market value since early April. And its results marked the latest test of whether the AI trade can sustain its pace under the weight of expectations.

Wall Street saw a relatively quiet session ahead of the numbers, with the S&P 500 rising by a mere 0.2%.

Short-dated Treasuries continued to climb amid bets on Federal Reserve policy easing. The 30-year yield was flat, following the recent announcement by President Donald Trump that he was firing Fed Governor Lisa Cook amid allegations of mortgage fraud.

His top economic adviser Kevin Hassett said Cook should go on leave while her status on the board is being litigated.

Corporate Highlights:

Boeing Co. has expressed confidence to Ryanair Holdings Plc that it will be able to raise 737 production rates by the end of October, the Irish airline’s chief executive officer said. HP Inc. gave a profit outlook for the current quarter that may beat expectations, showing firming demand for computers and interest in new machines that can run the latest AI software. CrowdStrike Holdings Inc. projected sales for the current quarter that narrowly missed analysts’ estimates, as it seeks to move past the costs of the global computer outage it triggered last year. Snowflake Inc. gave a sales outlook for the fiscal year that topped analysts’ estimates, overcoming anxiety that software vendors will be hurt as the economy slows and new artificial intelligence companies take away business. Cracker Barrel Old Country Store Inc. said it’s getting rid of a new logo that had sparked controversy and prompted a slump in its share price. On the back of the American Eagle Outfitters Inc. Sydney Sweeney buzz, the company has nabbed Travis Kelce as its newest face. Abercrombie & Fitch Co. raised its full-year sales guidance following a stronger-than-expected quarter at the teen-focused Hollister brand. Kohl’s Corp. offered a more optimistic full-year sales outlook, the latest indication that consumer spending hasn’t yet run out of steam. Peanut butter and jelly maker JM Smucker Co. reported that first-quarter net sales were weighed down by decreased sales of coffee, dog snacks, sweet baked goods and fruit spreads. Williams-Sonoma Inc. raised its full-year sales growth target as a strong second-quarter showing across all brands kept concerns of increased tariffs on imported furniture at bay. PayPal Holdings Inc. said a recent service disruption was to blame for irregularities experienced by several German banks. Royal Bank of Canada topped estimates on strong performance across its biggest businesses and as the firm set aside less money than expected to cover possible loan losses, a rebound from notable misses on credit earlier this year. National Bank of Canada’s earnings came up just short of estimates as its capital-markets business failed to match analysts’ forecasts for a unit that’s benefited from market volatility around this year’s tariff chaos. Some of the main moves in markets:

Stocks

The S&P 500 rose 0.2% as of 4 p.m. New York time The Nasdaq 100 rose 0.2% The Dow Jones Industrial Average rose 0.3% The MSCI World Index rose 0.2% Bloomberg Magnificent 7 Total Return Index was little changed The Russell 2000 Index rose 0.7% Nvidia fell 0.1% Currencies

The Bloomberg Dollar Spot Index was little changed The euro was little changed at $1.1634 The British pound rose 0.1% to $1.3498 The Japanese yen was little changed at 147.48 per dollar Cryptocurrencies

Bitcoin rose 0.7% to $112,101.04 Ether fell 0.5% to $4,566.62 Bonds

The yield on 10-year Treasuries declined three basis points to 4.24% Germany’s 10-year yield declined two basis points to 2.70% Britain’s 10-year yield was little changed at 4.74% The yield on 2-year Treasuries declined six basis points to 3.62% The yield on 30-year Treasuries was little changed at 4.91% Commodities

West Texas Intermediate crude rose 1% to $63.88 a barrel Spot gold was little changed ©2025 Bloomberg L.P.