Nasdaq Jumps 411 Points as Nvidia Rally Lifts Tech

The Nasdaq Composite rose 411 points, or 1.57%, to 26,540.78 on Thursday. The S&P 500 gained 0.72% to 7,730.73 and the Dow Jones Industrial Average added 0.19% to 53,564.21.

Nvidia shares climbed nearly 9% after the chipmaker reported fiscal second-quarter revenue that more than doubled year over year and issued a robust revenue forecast. The outlook prompted analysts to raise longer-term revenue estimates, with some now forecasting about 70% revenue growth in fiscal 2028, up from a prior consensus near 44%. Nvidia warned that shortages of memory components could constrain industry growth.

Semiconductor stocks tracked Nvidia higher. Broadcom rose about 3%, Intel added 3%, SK Hynix gained roughly 1% and the VanEck Semiconductor ETF advanced around 2%. The S&P 500 Information Technology sector was the strongest performer among the index’s 11 sectors.

Gains extended beyond chipmakers as software and cybersecurity firms reported stronger results. Salesforce jumped 23% after beating second-quarter revenue forecasts, raising annual revenue and profit guidance, and introducing a plug-in integrated with Anthropic’s Claude AI models. Okta surged 29% and CrowdStrike gained 20% after both companies topped estimates and raised their outlooks. Palo Alto Networks climbed 13%, and ServiceNow and Adobe also reported gains.

Some stocks fell. Moderna declined after announcing a $2 billion convertible bond offering. HP’s shares dropped following a quarter that showed weaker PC shipments and narrower margins.

With major corporate earnings largely in the rearview, attention shifted to monetary policy. Federal Reserve Chair Kevin Warsh is scheduled to speak at the central bank’s annual Jackson Hole symposium on Friday. Investors are watching for guidance on inflation and interest rates after Wednesday’s Personal Consumption Expenditures reading came in hotter than expected.

Two Federal Reserve officials reiterated concerns about inflation and continued support for higher interest rates on Thursday. Initial U.S. jobless claims fell for a second straight week to their lowest level in a month, reflecting continued labor market stability.

Market participants will weigh Warsh’s remarks alongside the recent inflation and employment data to assess the likely path for U.S. interest rates and any potential effects on equity markets.