US stocks advanced on Thursday as strong earnings from Nvidia and other major technology companies boosted the semiconductor, software and cybersecurity sectors.
The Nasdaq Composite rose 1.57% to 26,541.35, while the S&P 500 gained 0.72% to 7,730.99. The Dow Jones Industrial Average added 105.56 points, or 0.2%, to close at 53,569.44. It was the strongest session since August 4 for both the Nasdaq and S&P 500.
Nvidia jumped 8.7% after beating analyst expectations and providing a strong revenue outlook. Fiscal second-quarter revenue more than doubled, while the company is projected to deliver revenue growth of around 70% in fiscal 2028, well above the 44% expected by analysts surveyed by LSEG.
The result lifted semiconductor stocks broadly. Broadcom gained 4.5%, Intel rose 4% and SK Hynix added 2%, while the VanEck Semiconductor ETF advanced 3%.
Technology gains extended beyond chips. Salesforce surged more than 22% after second-quarter revenue exceeded expectations, while Adobe gained 5.7% and Autodesk rose 6.2%.
Cybersecurity stocks also rallied on stronger results and forecasts. Okta jumped more than 28%, CrowdStrike gained 20.5% and Palo Alto Networks rose almost 13%, supported by growing demand linked to agentic AI.
Investors now turn to Federal Reserve Chairman Kevin Warsh’s keynote address at the Jackson Hole symposium on Friday for further guidance on monetary policy.
Interest rate expectations remain a key focus following this week’s PCE inflation report, which showed price pressures remained elevated in July. Warsh’s first Jackson Hole address as Fed chairman will be closely watched for his assessment of inflation and the economy, as well as any signals on the path for rates ahead of the September policy meeting. Markets are also assessing the Treasury’s recent efforts to ease pressure on longer-dated bond yields.
Australian Market Outlook
Australian shares are set to edge higher, with S&P/ASX 200 futures up 16 points, or 0.2%, to 9,004. The strong overnight performance in US technology stocks could provide support to local technology names, with Nvidia’s results reinforcing confidence in demand for AI infrastructure and semiconductor spending. However, the key offshore focus is Warsh’s Jackson Hole address on Friday, with investors looking for indications of how the Fed is balancing persistent inflation against recent signs of softer economic growth. The speech could also influence Treasury yields and expectations for the Fed’s September meeting, providing the next major direction for global markets.
