Nasdaq-100 futures fell 0.8% Wednesday evening after The New York Times reported that Nvidia’s board is preparing to unseat CEO Jensen Huang.
S&P 500 futures fell 0.4% in extended trading while Dow Jones Industrial Average futures were little changed. Selling in Nvidia resumed following reports of an extramarital relationship involving Huang and a company executive, according to The New York Times, alongside The Wall Street Journal report on board actions.
Shares of Nvidia were last down around 8% in extended U.S. trading. Meanwhile, Japan’s Nikkei 225 traded slightly higher in choppy Thursday action.
South Korea’s Kospi fell 0.35% as Nvidia suppliers Samsung and SK Hynix faced pressure. Hong Kong’s Hang Seng index dropped 1.03%, China’s CSI 300 held flat, and Australia’s S&P/ASX 200 declined 0.31%.
In regular U.S. trading prior to the evening announcements, the Dow rose nearly 255 points, or 0.5%. The S&P 500 advanced 1.3%, and the Nasdaq Composite jumped 1.6%.
Market gains earlier in the session were driven by a post-earnings advance in CoreWeave and a rebound in Nvidia shares.
“We would be a little circumspect about the bounce-back as there are some things changing at the margin [like] stubborn inflation, more fed rate hikes, higher long-term interest rates, change in configuration in Washington DC [and] AI/data center regulation demands,” Sameer Samana told CNBC, serving as head of global equities and real assets at Wells Fargo Investment Institute.
Callie Cox, director of investment strategy at Plancorp, noted the ongoing tension between technological enthusiasm and macroeconomic pressures.
“Lately, the stock market has been locked in a fierce battle between the hope of AI and the fear around interest rates and inflation,” she told CNBC. “There doesn’t seem to be much in between, and something may have to give.”
Investors await initial jobless claims data scheduled for release at 8:30 a.m. ET on Thursday. Existing home sales figures follow at 10 a.m. ET on Thursday.
How did major U.S. indexes perform in regular trading?
The Dow Jones Industrial Average rose nearly 255 points, or 0.5%. The S&P 500 advanced 1.3%, and the Nasdaq Composite jumped 1.6%.
What economic reports are scheduled for Thursday?
The market will receive initial jobless claims data at 8:30 a.m. ET on Thursday, followed by existing home sales data at 10 a.m. ET.