Stock Futures Climb as Nvidia Soars 4% Post-Earnings; European Tech Stocks Rally

Stock futures experienced a significant rise early Thursday, driven by investor reactions to the latest earnings reports from tech giant Nvidia and other prominent technology firms. The Dow Jones Industrial Average futures saw an increase of 183 points, or 0.3%, while the S&P 500 futures advanced by 0.5%. The Nasdaq 100 futures surged by 0.8%.

In Asian markets, Japan's Nikkei 225 added 0.32% and the Topix rose 0.27%. The Kospi climbed 1.83%, and the Kosdaq gained 1.15%. Australia's S&P/ASX 200, however, was down 0.93%.

Nvidia's shares jumped over 4% following its earnings announcement, which surpassed analyst expectations and projected robust future revenue growth. The chipmaker's fiscal second-quarter revenue more than doubled, marking its largest beat against forecasts in two years. This performance could break a recent trend where Nvidia's stock declined despite strong earnings reports. In the preceding session, Nvidia shares had dropped more than 1% as investors awaited the results.

Jamie Meyers, senior securities analyst at Laffer Tengler Investments, commented, "For us, as long-term investors, the stock is too cheap to ignore. All that needs to happen is for the multiple to roll forward, and the stock should do well over time."

Other tech companies also saw significant gains. Salesforce rallied 13% after its second-quarter revenue exceeded Wall Street's forecasts. Okta soared more than 20% after surpassing analyst expectations and reporting strong demand driven by agentic AI.

The three major U.S. stock indexes closed largely unchanged on Wednesday. Investors are now looking ahead to the start of the Federal Reserve's annual symposium in Jackson Hole, Wyoming, kicking off Thursday. Key earnings reports due before the market opens include Best Buy, followed by Workday, Affirm, and Gap after the closing bell.

European semiconductor stocks experienced a notable surge in early trading on Thursday, buoyed by Nvidia's impressive earnings. Dutch chipmaking equipment manufacturers ASML and ASMI both gained over 2%, while STMicroelectronics was up 3%, and BE Semiconductor added 2%.

The broader European markets opened flat, with the Stoxx 600 dipping slightly. However, the Stoxx Europe Tech index climbed 1.8%, significantly outperforming other sectors.

In economic news, consumer sentiment in Germany showed a slight improvement in August, though it remained in negative territory. Consumers anticipate economic conditions to improve, with rising income expectations boosting overall sentiment. However, the willingness to buy is still at a low point.

French drinks giant Pernod Ricard reported a 3.9% year-on-year decline in full-year net sales, attributed to weak demand in the U.S. and China, as well as currency impacts. The company anticipates organic net sales growth at the lower end of its guidance range for the next few years, citing softness in the American market and the ongoing conflict in the Middle East.

Oil prices extended their decline on Thursday, influenced by talks between Oman and Iran regarding the reopening of the Strait of Hormuz, which could lead to improved supply. Brent crude futures for October delivery fell 0.63% to $87.29 a barrel, and WTI futures slipped 0.56% to $81.77 per barrel.

China's industrial profits growth cooled to 11.2% in July, the slowest pace this year, due to weak demand and an economic slowdown. Despite the monthly slowdown, year-to-date profits have grown 17.6%, showing a recovery from the previous year, largely driven by the global AI boom.

The Bank of Korea raised its key interest rate by 25 basis points to 3% for the second consecutive time, as core inflation remains elevated, hitting a multi-month high in July.

Shares of Japanese memory chipmaker Kioxia rose 4% on reports that the company plans to invest significantly in a new production facility in Japan, signaling expectations for strong future demand.