US Stocks Flat Ahead of Nvidia Earnings Report
US stocks closed nearly flat on Wednesday as investors awaited Nvidia's second-quarter earnings results. The Personal Consumption Expenditures (PCE) price index report showed inflation remains above analyst expectations, with a 0.2% increase in July bringing the annual inflation rate to 3.7%. This is 0.1 percentage point higher than Dow Jones consensus estimates.
The S&P 500 closed down 0.02% at 7,675.70, while the Nasdaq Composite fell 0.08% to close at 26,130.20. The Dow Jones Industrial Average dropped 113.52 points, or 0.21%, to close at 53,463.88.
Nvidia's earnings report is a key barometer for the AI market, with analysts expecting earnings per share of $2.09 on revenue of $92.28 billion. The company's results could trigger additional volatility in the market if they fall short of expectations or provide weak guidance.