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Stock market today: Indexes slide as traders brace for market-moving Nvidia earnings

May 22, 2024 - markets.businessinsider.com
US stocks fell as traders awaited Nvidia's Q1 earnings results and digested the Federal Reserve's latest meeting minutes. Nvidia shares declined by over 1% ahead of its earnings call, with analysts expecting the firm to report $24.6 billion in revenue and earnings per share of $5.34 for Q1 2024. The minutes from the Federal Reserve's May policy meeting suggested that short-term inflation expectations had risen, pressuring stocks towards the end of the trading day.

At the close of trading, the S&P 500 was down 0.27%, the Dow Jones Industrial Average was down 0.51%, and the Nasdaq Composite was down 0.18%. Other news included a $78 million fine for Citi following a flash crash caused by a trader's error, and predictions of a 50% surge in the Dow by 2030. In commodities, West Texas Intermediate crude oil fell 1.14% to $77.76 a barrel, gold fell 1.82% to $2,377.86 per ounce, and Bitcoin edged slightly higher to $69,631.

Key takeaways:

  • US stocks dipped as traders awaited Nvidia's first-quarter earnings results, with expectations high due to the booming AI market.
  • Nvidia is expected to report $24.6 billion in revenue and earnings per share of $5.34 for the first three months of 2024, more than double what it reported for both metrics last year.
  • Investors also took in the minutes from the Federal Reserve's May policy meeting, which suggested that rate cuts aren't imminent and inflation expectations have risen.
  • At the closing bell on Wednesday, major US indexes were down, with the S&P 500 at 5,307.00 (down 0.27%), the Dow Jones Industrial Average at 39,671.04 (down 0.51%), and the Nasdaq composite at 16,801.54 (down 0.18%).
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