US equity futures rallied in after-hours trading Thursday following stronger-than-expected earnings from chip giant Nvidia, injecting fresh momentum into markets after a subdued regular session. The S&P 500 and Nasdaq both traded flat during cash hours before Nvidia’s results triggered a notable shift in sentiment. The semiconductor manufacturer posted revenue that exceeded analyst estimates while delivering an optimistic forecast for artificial intelligence demand, sending its shares soaring 4.7% in extended trading.
According to Deutsche Bank strategists, this earnings beat has created a modestly positive ripple across equity futures, with both the S&P 500 and Nasdaq tracking higher overnight. The AI-driven narrative continues to dominate investor attention as traders assess whether tech fundamentals can justify elevated valuations heading into year-end. Market participants are now closely monitoring whether this positive momentum can translate into sustained gains when cash markets reopen.
FXnCO Insight
Traders should watch opening gaps in tech-heavy indices and consider elevated volatility around AI-exposed semiconductor stocks as Nvidia’s results set the tone for broader sector performance.
Source: FXStreet