Nvidia Results Boost Chip Stocks as US Markets Struggle with Inflation

Nvidia's better-than-expected quarterly results have lifted chip stocks and US futures. The company reported a revenue surge of 106% to $96.2 billion, with earnings per share of $2.22. Market expectations were for revenue of $92.3 billion and earnings per share of $2.09.

The strong AI-related revenue growth in the second quarter has also pushed up shares of other companies such as Salesforce, Okta, and CrowdStrike by 13%, 20%, and 11% respectively in after-hours trading.

US markets closed slightly lower yesterday despite a decline in crude oil prices. Concerns over inflation and Nvidia's results weighed on the market. The Dow Jones Industrial Average fell 0.21% to close at 53,463.88.