S&P 500, Dow, Nasdaq Futures Track Nvidia Stock Higher Over Strong FY28 Revenue Outlook — NVDA, CRM, META, CRWD, OKTA In Focus

• The S&P 500 ended Wednesday flat, while the Nasdaq 100 gained 0.1% and the Dow Jones Industrial Average lost 0.2%.
• Meta finalized an agreement with state attorneys general to resolve litigation alleging that its social platforms adversely affected the well-being of adolescent users. 
• Anthropic PBC finalized an agreement to commit $45 billion toward leasing artificial intelligence cloud infrastructure from Nscale’s primary data center.

US stock indices ended mixed on Wednesday, but futures quickly rose as Nvidia’s sharp upside in its revenue forecast calmed investor concerns that AI infrastructure spending might have gotten ahead of itself.

The S&P 500 ended Wednesday flat, while the Nasdaq 100 gained 0.1% and the Dow Jones Industrial Average lost 0.2%. The Russell 2000, which tracks stocks with small market capitalizations, fell 0.2%.

Dow Jones Industrial Average futures climbed 207 points, or 0.4%. S&P 500 futures advanced 0.5%, while Nasdaq 100 futures jumped 0.9%. 

Among ETFs tracking benchmark indexes, the SPDR S&P 500 ETF (SPY) rose 0.6%, and Invesco QQQ Trust (QQQ) gained 1.1% after-hours, while the SPDR Dow Jones Industrial Average ETF Trust (DIA) was up 0.3%.

Meanwhile, the VanEck Semiconductor ETF (SMH) and iShares Semiconductor ETF (SOXX) gained about 2.5% after-hours, tracking gains in Nvidia (NVDA). The broader Vanguard Information Technology ETF (VGT) rose 2%.

Retail sentiment on Stocktwits for QQQ, SPY, and DIA was ‘bearish’ with ‘high’ message volumes.

US Market Drivers

Nvidia (NVDA) share price jumped about 5% after-hours on Wednesday after the company forecast 70% revenue growth for FY28, clearing the litmus test for investors worried that soaring AI buildout costs might not translate into tangible revenue.

 “The surge in AI demand is driving a global infrastructure buildout, supported by an expanding and diverse set of growth opportunities spanning hyperscalers, AI labs, AI-native enterprises, and sovereign customers…we expect to grow revenue by approximately 70% in fiscal 2028,” Colette Kress, Executive Vice President and Chief Financial Officer, said during the earnings call. 

Nvidia (NVDA) stock initially dipped during after-hours trading as the company's revenue forecast of $108 billion (plus or minus 2%) for the current quarter failed to meet the most aggressive Wall Street estimates.

However, the share price quickly pivoted, jumping over 5% after a strong fiscal 2028 sales forecast improved investor confidence.

Inflation readings also swayed investor sentiment on Wednesday. The core personal consumption expenditures price index, which excludes food and energy, rose 0.2% from the prior month and 3.3% from a year earlier. 

The broader PCE price index rose 3.7% from a year earlier, remaining well above the Fed’s 2% goal. 

Key Trending Stocks

Wendy’s Co (WEN): Shares fell 15% in after-hours trading on Wednesday after a report said Nelson Peltz’s Trian Fund Management has no plans to make a take-private bid for the fast-food chain.

Meta Platforms (META): Meta agreed to pay up to $17.1 billion and make major changes to its products following claims it endangered children with addictive social media platforms.  

CrowdStrike (CRWD): The cybersecurity firm posted what its CEO called the best quarter in the company’s history and raised its full-year growth forecast. 

Okta (OKTA): The firm reported second-quarter financial results that topped Wall Street estimates on Wednesday, fueled by a surge in corporate investments in artificial intelligence infrastructure, driving heightened demand for cybersecurity management. 

Salesforce (CRM): The cloud software vendor reported results and issued guidance that surpassed Wall Street projections. 

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