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The S&P 500 and NASDAQ jumped Thursday as investors cheered the latest quarterly results from Nvidia. Meanwhile, the Dow Jones Industrial Average slid after Fitch Ratings placed the United States’ AAA rating on a negative rating watch.
The Dow shed 131.81 points, to 32,668.11.
The S&P 500 gained 25.43 points to 4,140.67.
The NASDAQ recovered 195.48 points, or 1.5%, to 12,679.64.
Nvidia shares surged 26% after the company posted stronger-than-expected revenue guidance for its fiscal second quarter, while also reporting beats on the top and bottom line in the previous quarter. An explosion in demand for Nvidia chips used in artificial intelligence calculations underpinned the quarterly beat.
Several analysts covering Nvidia hiked their price targets on the stock following the results. Nvidia’s surge brought the chipmaker to within striking distance of a $1 trillion market capitalization.
Other semiconductor stocks followed Nvidia higher, including AMD and Taiwan Semiconductor, which rose around 9% each.
Prices for the 10-year Treasury lost ground, raising yields to 3.78% from Wednesday’s 3.74%. Treasury prices and yields move in opposite directions.
Oil prices ducked $2.01 to $72.33 U.S. a barrel.
Gold prices were down $18.40 to $1,946.20 U.S. an ounce.
