US index futures ignore Chip giant Nvidia's subdued revenue forecast

Nvidia Corp fell nearly 2% in premarket trading despite posting second-quarter results that topped Wall Street estimates after their data center revenue came up short of estimates for the second straight period.

US index futures are trading mixed, looking beyond Nvidia's sales outlook missing street estimates, with the focus shifting to economic data due on August 28.

The Dow Jones Industrial Average futures, S&P 500 futures and Russell 2000 futures were marginally higher, while Nasdaq 100 futures came under mild selling pressure a short while ago.

Nvidia Corp fell nearly 1.8% in premarket trading despite second-quarter results beating Wall Street estimates, as the data center revenue fell short of estimates for a second straight quarter. The company reported a revenue of $46.74 billion as against an estimate of $46.06 billion. The chipmaker said it expects revenue this quarter to be $54 billion, plus or minus 2%, without factoring in any H20 shipments to China.

Shares of Advanced Micro Devices and Taiwan Semiconductor Manufacturing too were lower in premarket trading.

American retailer Best Buy was in the green on beating Wall Street revenue and earnings expectations for the June quarter. The retailer said it expects revenue of $41.1-41.9 billion and adjusted earnings per share in a range of $6.15 to $6.30 for the full fiscal year 2026.

Sectoral performance was mixed ahead with the S&P 500 technology index leading the gains, up 0.48% while energy advanced 1.15% on a modest rebound in oil prices. Consumer staples added 0.22% and financials were up 0.18%.

Commodities traded lower, with the US benchmark WTI crude down 0.4% at $63.89 a barrel. Gold rose 0.2% to $3,454.50 per ounce, while silver gained 1.1%.

The CBOE VIX fell 2.3% to 14.51, while the Nasdaq VXN rose 2.8% to 18.69.

Asian Markets Mixed

In Asia, Japan’s Nikkei 225 climbed 0.7% on yen weakness, while China’s Shanghai Composite advanced 1.1% after signs of policy support. Hong Kong’s Hang Seng Index fell 0.8%, weighed down by property and technology stocks. European markets were softer, with London’s FTSE 100 down 0.5% and Germany’s DAX off 0.2%, while France’s CAC 40 was little changed.

India's benchmark indices closed in the red following a second day of profit booking. At close, the Sensex was down 705.97 points or 0.87% at 80,080.57, and the Nifty was down 211.15 points or 0.85% at 24,500.90. The BSE midcap index shed 1 percent and smallcap index declined 0.9%.