Wall Street Indexes Advanced Ahead of Nvidia Earnings

Barry Adams
20 Nov, 2024
New York City

Stock market indexes inched higher in early trading as investors reviewed the latest earnings updates and awaited the release of quarterly results from tech giant Nvidia. 

The S&P 500 index edged up 0.2%, and the Nasdaq Composite advanced 0.4%, and investors looked forward to details of Nvidia's earnings results. 

Specifically, investors are looking to the company's plans to ramp up its production of the popular Blackwell chip and artificial intelligence spending trends. 

Target Corp. plunged sharply after the company reported weaker-than-expected third quarter earnings, and the company's fourth quarter earnings outlook fell short of expectations. 

Market sentiment improved after tensions between the U.S. and Russia appeared to ease following comments from Russia's foreign minister, Sergei Lavrov, indicating nuclear war could be averted. 

Following Lavrov's comments, European markets rebounded and halted a three-day slide. 

 

U.S. Indexes and Treasury Yields

The S&P 500 index increased 0.1% to $5,944.50, the Nasdaq Composite added 0.1% to 18,768.24, and the Russell 2000 index inched higher 0.1% to 2,335.17. 

The yield on 2-year Treasury notes edged higher to 4.31%, 10-year Treasury notes inched up to 4.42%, and 30-year Treasury bonds decreased to 4.61%.

WTI crude oil increased $0.53 to $69.77 a barrel, and natural gas prices edged up 11 cents to $3.14 a thermal unit.

Gold decreased by $2.44 to $2,632.63 an ounce, and silver decreased by $0.21 to $31.04.

The dollar index, which weighs the US currency against a basket of foreign currencies, edged lower to 106.53.

 

U.S. Stock Movers 

Target Corp. plunged 19% to $127.35 after the discount retailer reported weaker-than-expected quarterly results and guided a cautious outlook. 

The retailer reported third quarter earnings per share of $1.85, and the company forecast fourth quarter earnings per share between $1.85 and $2.45, sharply lower than the market expectation of at least $2.65. 

Comcast increased 1.7% to $43.05 after The Wall Street Journal said the company is planning to spinoff NBCUniversal cable TV networks, which generates annual revenue of about $7 billion. 

The company's cable network portfolio includes, among other properties, MSNBC, CNBC, E!, Golf Channel, and USA. 

Delta Air Lines decreased 0.01% to $64.76 after the company reiterated its fourth quarter earnings per share to range between $1.60 and $1.85, and the carrier estimated fiscal 2025 capacity to increase between 3% and 4%. 

Nvidia Corp. jumped 0.6% to $147.76 ahead of the company's earnings later in the day, and investors anticipate third quarter earnings per share of 75 cents and revenue of $33.2 billion. 

Powell Industries dropped 14.2% to $268.0 after the custom power solution provider reported better-than-expected quarterly results, but new orders fell short of market expectations. 

Fiscal fourth quarter revenue jumped 32%, earnings soared 74%, and new orders in the fiscal year fell to $1.1 billion from $1.4 in the previous year. 

Dolby Laboratories soared 11.5% to $81.19 after the audio and imaging technology provider reported better-than-expected quarterly earnings in the fiscal fourth quarter ending in September. 

Revenue increased to $304.8 million from $290.5 million, net income advanced to $58.6 million from $9.2 million, and diluted earnings per share rose to 61 cents from 9 cents a year earlier.