Nvidia jumps over 3 percent ahead of earnings, while Trump's tariff plans add uncertainty to markets
On Wednesday, the S&P 500 edged up 0.01 percent, closing at 5,956.06, breaking a four-day losing streak.
According to CNBC, the Dow Jones Industrial Average fell by 188.04 points, or 0.43 percent, to 43,433.12, after rising earlier by as much as 245.34 points.
The Nasdaq Composite gained 0.26 percent, ending at 19,075.26.
Nvidia's shares rose more than 3 percent ahead of its earnings report after the bell.
Conversely, Instacart's parent company, Maplebear, saw its shares drop by 12.3 percent, marking their worst day on record.
Investor concerns grew due to heightened uncertainty surrounding US President Donald Trump's trade policy.
In his first cabinet meeting, Trump announced that tariffs against Canada and Mexico would take effect and indicated plans to impose 25 percent tariffs on goods from the European Union.
Liz Ann Sonders, chief investment strategist at Charles Schwab, noted on CNBC’s “Squawk on the Street” that policy uncertainty has influenced various economic indicators, including spending plans.
Investors are also closely monitoring Nvidia's fourth-quarter earnings report, which comes at a critical time for the company.
The emergence of DeepSeek has raised questions about the sustainability of the artificial intelligence market.
Despite these concerns, Nvidia reported a 78 percent year-over-year revenue increase, reaching US$39.3bn in the fourth quarter of 2024 and exceeding analyst expectations, according to The Guardian.
CEO Jensen Huang highlighted strong demand for the company's Blackwell GPUs, emphasizing their role in advancing AI technology.
Earlier in the week, the S&P 500 and Nasdaq experienced four consecutive losing sessions, while the Dow saw a modest gain of approximately 0.4 percent.
A weaker-than-expected consumer confidence report from the Conference Board added to investor concerns.
Recent reports, including disappointing retail sales and consumer sentiment readings, have heightened worries about the US economy, leading to pressure on major stock indices.
For the week, the S&P 500 is down nearly 1 percent, the Nasdaq has declined by 2.3 percent, and the Dow remains relatively flat.
