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Stocks Mostly Up Pre-Bell as Traders Parse Nvidia Results, Await Fed Chair's Speech

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Stocks Mostly Up Pre-Bell as Traders Parse Nvidia Results, Await Fed Chair's Speech

US equity markets were mostly trending higher before the opening bell Thursday as traders digest Nvidia's (NVDA) latest financial results and prepare for Federal Reserve Chair Kevin Warsh's speech on Friday.

The S&P 500 rose 0.4%, and the Nasdaq increased 1% in premarket activity, while the Dow Jones Industrial Average edged down 0.1%. The three main indexes finished the previous trading session lower, with the Dow snapping a three-day winning streak.

Shares of Nvidia jumped 6.9% pre-bell as the tech bellwether's fiscal second-quarter results more than doubled from a year ago and topped Wall Street expectations amid record data center sales.

CrowdStrike (CRWD) climbed 9.3% as the firm lifted its full-year net new annual recurring revenue outlook amid increasing demand for cybersecurity to address risks associated with the adoption of artificial intelligence. Salesforce (CRM) spiked 11% after raising its fiscal 2027 guidance.

Dollar General (DG) shares gained nearly 13% after the discount retailer beat Wall Street estimates for the fiscal second quarter. Dollar Tree (DLTR) shares fell over 4% after the company's latest quarterly earnings.

The Fed's annual economic policy Symposium at Jackson Hole, Wyoming, is set to kick off on Thursday, with Warsh scheduled to speak on Friday.

Markets are currently pricing in a roughly 64% probability that the Federal Open Market Committee will keep its benchmark lending rate steady next month, with the remaining odds in favor of a 25-basis-point increase, according to the CME FedWatch tool.

Government data on Wednesday showed that US inflation accelerated sequentially in July, keeping the Fed's preferred gauge for price increases well above its 2% target, while consumer spending growth eased.

"As long as the month-on-month rate continues to come in close to 0.2%, the annual rate of inflation will converge on 2% over time, but the question is how much more patience the Fed actually has," ING Bank said in a Wednesday report. "Markets continue to price a (25 basis point) rate hike before year-end while economists, in general, still favor an extended pause for policy rates."

Treasury yields were up in premarket action, with the two- and 10-year rates each inclining 0.6 basis points to 4.23% and 4.67%, respectively.

Iran and Oman are working on finalizing a deal that will see both countries share control of the Strait of Hormuz, Reuters reported.

Tehran's Islamic Revolutionary Guard Corps reportedly told state news agency Tasnim that the US is obstructing the Iran-Oman deal, according to a CNBC report. Qatari Prime Minister Mohammed bin Abdulrahman bin Jassim bin Jaber Al Thani is reportedly traveling to Iran on Thursday as part of efforts to de-escalate tensions between Washington and Tehran.

West Texas Intermediate crude oil dipped 0.1% to $82.17 a barrel before the open, while Brent nudged 0.4% higher to $88.18.

Burlington Stores (BURL), Best Buy (BBY) and Hormel Foods (HRL) are scheduled to release their quarterly earnings before the bell, among others. Marvell Technology (MRVL), Workday (WDAY) and Ulta Beauty (ULTA) post their results after the markets close.

Thursday's economic calendar has the international trade in goods data, as well as the retail and wholesale inventories reports, all for July, at 8:30 am ET, along with the weekly jobless claims bulletin. The Kansas City Fed manufacturing index for August is out at 11 am.

Gold declined 0.6% to $4,654.79 per troy ounce, while bitcoin gained nearly 2% to $79,982.

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