Nvidia Boosts NASDAQ as Markets React to Ukraine Tensions
1 day ago

US benchmark equity indexes closed mostly higher Tuesday, driven by a rally in Nvidia shares ahead of its quarterly financial results, as markets monitored escalating tensions between Russia and Ukraine. The Nasdaq Composite rose 1% to 18,987.5, while the S&P 500 increased 0.4% to 5,917. The Dow Jones Industrial Average fell 0.3% to 43,268.9.

Technology led the gainers among sectors, while energy and financials saw the biggest drops. Ukraine has attacked a Russian weapons arsenal with US-made missiles, CNN reported, citing two US officials. The Biden administration recently granted permission to Ukraine to use longer-range American weapons against targets in Russia, as noted in the report. The US 10-year yield fell two basis points to 4.39%, while the two-year rate was little changed at 4.28%. Chip-making giant Nvidia is scheduled to report its fiscal third-quarter results Wednesday.

Truist expects revenue to jump nearly 83% year over year. The company is likely running a "significant" backlog indicating solid demand, the brokerage said in a Tuesday note to clients. Nvidia shares closed 4.9% higher, the top gainer on the Dow and among the best on the S&P 500 and the Nasdaq. Super Micro Computer shares surged 31%, the best performer on the S&P 500 and the Nasdaq.

Late Monday, the artificial intelligence server maker said that it appointed BDO USA as its independent auditor and that it had submitted a plan to the Nasdaq Stock Market requesting more time as it seeks to regain compliance with the exchange's continued listing requirements. Walmart raised its full-year outlook Tuesday as the retail giant reported stronger-than-expected fiscal third-quarter results amid gains across all segments.

Its shares rose 3%, the second-best performer on the Dow. Lowe's fiscal third-quarter sales fell less than projected, while the home improvement retailer raised its full-year top-line outlook. The company's shares dropped 4.6%, among the steepest declines on the S&P 500, amid softness in do-it-yourself bigger-ticket discretionary demand in the third quarter. Incyte was the worst performer on the S&P 500, down 8.3%.

Late Monday, the company said it will pause enrollment in the phase 2 study of MRGPRX2 in chronic spontaneous urticaria amid "certain in-vivo preclinical toxicology findings." Incyte said data from a phase 2 study into cholestatic pruritus doesn't support further development. West Texas Intermediate crude oil rose 0.7% to $69.61 a barrel Tuesday. In economic news, US housing starts declined more than expected last month as gains in multi-family projects were more than offset by a fall in the single-family component, government data showed. Hurricanes Helene and Milton "dragged down" starts in the South by more than projected, though a rebound is expected due to rebuilding in the areas most affected by the storms, Oxford Economics noted. Gold gained 0.8% to $2,636.30 per troy ounce, while silver rose 0.3% to $31.33 per ounce..

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