The US stock market exhibited mostly positive momentum as benchmark equity indexes registered gains ahead of Thursday's closing bell. Traders were engaged in a careful assessment of the latest economic indicators and corporate earnings reports, prominently featuring the results from Nvidia, a leading player in the tech sector, which goes by the trading symbol $NVDA. The Dow Jones Industrial Average reported a notable increase, climbing by 0.8% to settle at 41,414.8 after touching a remarkable 52-week peak of 41,577.97 during intraday trading.
In contrast, the S&P 500 index edged up by 0.2%, reaching 5,601.2, while the Nasdaq Composite experienced a slight dip, finishing at 17,539.4. Sector performance was predominantly led by energy stocks, while the real estate sector faced the steepest declines among its peers. According to data released by the Bureau of Economic Analysis, the US real gross domestic product (GDP) demonstrated robust growth, expanding at an annualized rate of 3% in the second quarter.
This figure surpassed the previously anticipated growth rate of 2.8%, which had formed the basis of consensus estimates on Bloomberg. In further economic highlights, government data indicated a decline in weekly applications for unemployment insurance within the US, a finding supported by insights from Oxford Economics that suggest ongoing low levels of layoffs in the job market. On the bond market front, there was a minor increase in yields, with the US two-year yield rising by 3.1 basis points to 3.9% and the 10-year rate increasing by three basis points to 3.87%. Turning back to corporate earnings, Nvidia's fiscal Q2 performance exceeded Wall Street's expectations thanks to soaring demand for generative artificial intelligence, which catalyzed record revenue figures for the company.
Not to be overshadowed, Best Buy ($BBY) also revised its full-year earnings forecast upwards following a batch of better-than-anticipated fiscal Q2 results. Meanwhile, Cooper Companies ($COO) posted fiscal Q3 results that outperformed estimates. Conversely, Dollar General ($DG.US) took a downturn, lowering its full-year outlook amidst signs of softening sales trends. In the tech space, other prominent firms such as Dell Technologies ($DELL), Marvell Technology ($MRVL), Autodesk ($ADSK), Lululemon Athletica ($LULU), Ulta Beauty ($ULTA), and MongoDB ($MDB) are poised to disclose their earnings results after the market closes, providing further insights into the industry's performance and trends. On the commodities front, West Texas Intermediate crude oil gained 2.1%, with prices reaching $76.06 per barrel, reflecting ongoing fluctuations in the energy market.
As investors continue to navigate through these economic indicators and corporate outcomes, attention remains keenly focused on how these developments will influence future market trajectories and investment strategies..