Nvidia Earnings Report Looms Large as Stocks Await Fed Commentary

U.S. stocks are experiencing a quiet Monday ahead of a week packed with potentially market-moving events, including key earnings reports and a speech by Federal Reserve Chairman Kevin Warsh.

The S&P 500 slipped 0.1% from its all-time high set earlier this month, while the Dow Jones Industrial Average rose 150 points, or 0.3%, as of 12:35 p.m. Eastern time, and the Nasdaq composite was 0.4% lower.

Chip giant Nvidia, a key player in the AI boom, sank 2.1% after announcing its latest quarterly earnings report is set for Wednesday, which could dictate the next big move for AI-related stocks.

The bond market has also been under scrutiny, with longer-term Treasury yields climbing through the summer on worries about high inflation and government debt. However, a surprise move by the U.S. Treasury Department last week to increase the size of planned buybacks of Treasurys may have only a limited effect in containing the rise in yields.

The yield of the 10-year Treasury eased to 4.69% from 4.74% late Friday, while oil prices dropped 2% to $90.78 per barrel. Despite this easing, analysts warn that the U.S. government's attempts to influence the bond market could ultimately mean higher pressure on inflation.