US equity indexes rose ahead of Nvidia's (NVDA) quarterly earnings and minutes of the Federal Reserve's last policy meeting, while the Iran standoff continued.
The Nasdaq Composite rose 1.3% to 26,209.7, with the S&P 500 up 0.9% to 7,420.9 and the Dow Jones Industrial Average higher by 1% to 49,860.5 in midday trading on Wednesday.
Consumer discretionary and technology topped the sector charts.
Nvidia's (NVDA) fiscal Q1 sales are expected to outperform market projections, with potential for "enhanced" cash returns likely to be among the key areas of focus, BofA Securities said in a note. The brokerage maintained its buy rating on the Nvidia stock, with a $320 price objective, citing its "dominance in the fastest growing tech market and its compelling valuation."
Chip stocks steadied ahead of Nvidia's earnings, which investors view as a "crucial test of AI demand amid concerns about elevated Treasury yields," according to a D.A. Davidson note.
US Treasury yields fell after midday, with the 30-year down 4.8 basis points to 5.13%, retreating from its highest since 2007. The 10-year dropped 6.6 basis points to 4.6%, also declining from its strongest level in more than a year.
West Texas Intermediate crude oil futures slide 0.8% to $107.77, while Brent crude futures slumped 5.2% to $105.45 as the US awaits the results of negotiations between a trio of Gulf nations and Iran to find a framework for a peace deal.
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