5 Things to Know Before the Stock Market Opens

• Nvidia exceeded estimates with $1.62 adjusted earnings per share and projected current quarter revenue of $78 billion, with CEO Jensen Huang citing customers 'racing to invest in AI' amid exponentially growing compute demand
• Salesforce beat earnings expectations at $3.44 per share but provided fiscal 2027 revenue guidance with a midpoint below analyst consensus of $46.04 billion, pressuring shares amid broader software sector concerns about AI disruption
• Nutanix stock surged on a multiyear AI infrastructure partnership with AMD involving $150 million strategic investment and up to $100 million in joint engineering funding, while also beating quarterly estimates

Market Summary: Tech Earnings Drive Steady Futures After Two-Day Rally

Market Overview:

Stock futures held relatively steady following two consecutive days of strong gains in major indexes. Dow futures rose 0.2%, while S&P 500 and Nasdaq futures remained near unchanged. The 10-year Treasury yield stayed flat at 4.05%.

Key Commodity Movements:

• Bitcoin retreated to $68,000 after briefly touching $70,000
• Gold futures declined 0.7% to approximately $5,200/ounce
• WTI crude oil fell 2% to $64.10/barrel

Major Corporate Earnings:

Nvidia (NVDA): Significantly exceeded expectations with adjusted earnings of $1.62 per share. The company projects current quarter revenue of $78 billion (±2%). CEO Jensen Huang emphasized that customers are "racing to invest in AI" as demand for compute grows exponentially.

Salesforce (CRM): Beat estimates with earnings well above the analyst consensus of $3.05 per share. However, fiscal 2027 revenue guidance of $45.8-$46.2 billion fell short of the $46.04 billion analyst estimate, raising concerns about AI disruption in software stocks.

Warner Bros. Discovery (WBD): Reported a 6% revenue decline and $252 million quarterly loss amid an ongoing bidding war between Paramount Skydance and Netflix for company control.

Nutanix (NTNX): Shares surged following announcement of a multiyear AI partnership with AMD, including a $150 million strategic investment and $100 million in joint engineering funding. Q2 earnings of $0.54 per share on $722.8 million revenue exceeded analyst expectations.

Market Implications:

Tech sector strength continues driving market momentum, with AI infrastructure spending remaining a dominant investment theme despite concerns about software sector disruption.