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NVIDIA. (Photo courtesy of NVIDIA) |
[Alpha Biz= Paul Lee] New York, August 28, 2025 — All three major U.S. stock indexes ended higher on Thursday, with the S&P 500 surpassing the 6,500 mark for the first time ever. While Nvidia’s latest earnings guidance fell short of lofty market expectations, investor sentiment around artificial intelligence (AI) remained resilient.
The Dow Jones Industrial Average rose 71.67 points, or 0.16%, to close at 45,636.90. The S&P 500 gained 20.46 points, or 0.32%, to finish at 6,501.86, while the Nasdaq Composite advanced 115.02 points, or 0.53%, to 21,705.16.
Nvidia shares slipped 0.79% after reporting Q2 (May–July) revenue of USD 46.74 billion and earnings per share (EPS) of USD 1.05. The results slightly exceeded analyst estimates but were judged to fall short of market expectations. Shares had dropped about 3% in after-hours trading the previous day.
Some analysts, however, highlighted that Nvidia’s full-year revenue guidance does not assume sales of its H20 chips to China. Should Washington and Beijing reach an agreement permitting such sales, Q3 revenue could significantly exceed current forecasts.
Ross Mayfield, an investment strategist, told Reuters: “Any disappointment with Nvidia’s results stems from exceptionally high expectations. AI remains the structural growth driver of the market.”
Among mega-cap tech firms valued at over USD 1 trillion, all but Tesla and Nvidia ended higher. Broadcom and Alphabet each rose more than 2%, with Alphabet hitting an all-time high. The Philadelphia Semiconductor Index gained 0.49%, with Micron surging more than 3%.
Snowflake jumped 20% after raising its 2026 product revenue outlook to reflect AI demand, while HP climbed 4.6% on stronger-than-expected quarterly results driven by AI-enabled PC sales. Hormel Foods plunged 13% after cutting its earnings outlook.
Macroeconomic data pointed to steady growth in the U.S. economy. The Commerce Department reported that Q2 GDP grew at an annualized rate of 3.3%, beating expectations of 3.1% and an advance estimate of 3.0% released last month.
Meanwhile, weekly jobless claims aligned with forecasts. The Labor Department said 229,000 Americans filed new unemployment claims for the week ending August 23, compared with market expectations of 230,000.
According to the CME FedWatch Tool, futures traders priced in an 87.2% probability of a 25-basis-point rate cut in September, unchanged from the previous day.
알파경제 Paul Lee 특파원(hoondork1977@alphabiz.co.kr)
