It's a classic waiting game on Wall Street this morning. Futures are pointing in different directions, with the Dow Jones index trying to push higher while the S&P 500 and Nasdaq 100 take a breather. The calm before the storm makes sense: everyone's holding their breath for Nvidia Corp. Nvidia (NVDA)'s second-quarter earnings after the closing bell, and there's a whole pile of economic data dropping before the open.
We're talking July durable goods orders, the second estimate for second-quarter GDP, and the Fed's preferred inflation gauge—personal consumption expenditures (PCE) and core PCE—all due at 8:30 a.m. ET. That's a lot of numbers to digest before lunch.
On the geopolitical front, there's some interesting news: the U.S. has started sending personnel back to diplomatic posts in Lebanon, Israel, and Saudi Arabia. This follows renewed talks between Iran and Oman about a joint temporary navigational corridor in the Strait of Hormuz, and President Donald Trump's announcement that all mines in international waters have been cleared, despite recent tanker strikes near Oman.
Meanwhile, the 10-year Treasury yield is sitting at 4.64%, and the two-year is at 4.19%. The CME Group's FedWatch tool shows markets pricing in a 36.1% chance that the Federal Reserve will hike interest rates at its September meeting. So, the macro picture is a bit tense.
Here's where the major indices stand in premarket trading:
The SPDR S&P 500 ETF Trust SPY and Invesco QQQ Trust ETF QQQ, which track the S&P 500 and Nasdaq 100, respectively, were both lower in premarket. SPY was down 0.037% at $765.63, while QQQ slipped 0.13% to $709.83.
Intuit
- Intuit Inc. Intuit (INTU) plunged 11.74% despite reporting upbeat fourth-quarter financial results. The catch? FY27 guidance came in below estimates. That's a big miss in the eyes of the market, and the stock is paying the price.
- MarketDash's Edge Stock Rankings indicate that INTU maintains a weak price trend in the long term but a strong trend in the short and medium terms, with a moderate growth score. So, the long-term picture is a bit murky, but the short-term momentum is there.
Semtech
- Semtech Corp. Semtech (SMTC) was 3.91% higher after the company reported better-than-expected second-quarter financial results and issued third-quarter guidance above estimates. That's the kind of news that gets investors excited.
- MarketDash's Edge Stock Rankings indicate that SMTC maintains a strong price trend in the long term but a weak trend in the short and medium terms, with a poor growth score. So, the long-term trend is solid, but the short-term momentum is lacking.
Datavault AI
- Datavault AI Inc. Datavault AI (DVLT) jumped 4.75% after Nasdaq granted it an extension to regain compliance by Feb. 22, 2027. That's a relief for shareholders who were worried about a potential delisting.
- MarketDash's Edge Stock Rankings indicate that DVLT maintains a weak price trend in the long, short, and medium terms. So, the stock is still in a tough spot, but the extension gives it some breathing room.
Nvidia
- NVIDIA Corp. Nvidia (NVDA) was 0.30% higher as Wall Street expects it to post quarterly earnings of $2.09 per share on revenue of $92.01 billion after the closing bell. The stakes are high, and the market is holding its breath.
- MarketDash's Edge Stock Rankings indicate that NVDA maintains a strong price trend in the short, long, and medium terms, with a solid quality score. So, the stock's fundamentals are strong, but the earnings report will be the real test.
Cues From Last Session
Tuesday was a good day for stocks, with the Dow Jones gaining over 150 points for its third straight win. Information technology, communication services, and materials stocks led the gains, while energy and consumer staples closed lower. Falling Treasury yields helped boost sentiment.
Insights From Analysts
LPL Financial is feeling pretty good about the market's prospects. In their Weekly Market Commentary, Jeff Buchbinder, Chief Equity Strategist, notes that strong corporate earnings growth should continue to provide a solid foundation for stocks. An improving earnings outlook helps offset potential headwinds like interest rate volatility and geopolitical risks.
Buchbinder puts it this way: "Improving and broadening earnings growth is likely to raise the floor for stocks, and the S&P 500's recent technical breakout to new highs probably raises the ceiling."
While tech and AI remain primary growth catalysts, LPL emphasizes that earnings strength has widened across the broader market. From a macro perspective, they expect "resilient economic growth" alongside lower oil prices and ebbing inflation over time.
They also project the 10-year Treasury yield will edge lower to the 4% to 4.5% range by year-end, which should help prevent interest rates from becoming a bigger headwind for equities.
Overall, LPL maintains an optimistic stance, concluding that "a supportive fundamental backdrop raises the floor" for market performance through the rest of the year.
Upcoming Economic Data
Here's what investors will be watching on Wednesday:
- July's durable goods orders, second estimate second-quarter GDP, July's personal income, consumer spending, PCE price index, and core PCE price index data will all be released by 8:30 a.m. ET.
Commodities, Crypto, And Global Equity Markets
Crude Oil WTI futures were trading lower in the early New York session, down 2.61% to hover around $80.21 per barrel.
Gold Spot US Dollar fell 0.72% to hover around $4,625.39 per ounce. The U.S. Dollar Index spot was 0.01% higher at the 98.9230 level.
Meanwhile, Bitcoin Bitcoin (BTC) was trading 1.50% higher at $78,979.57 per coin over the last 24 hours.
Asian markets were mixed on Wednesday, with Australia's ASX 200, South Korea's Kospi, and India's Nifty 50 indices falling. Hong Kong's Hang Seng, China's CSI 300, and Japan's Nikkei 225 indices rose. European markets were also mixed in early trading.
