Tech and Chip Stocks Rebound Tuesday as Markets Position Ahead of Nvidia Earnings

U.S. equity markets opened higher on August 25 as chip and technology stocks rebounded after a technology-led selloff the prior session, with investors positioning ahead of Nvidia's closely watched earnings report due Wednesday evening. The S&P 500 and Nasdaq both climbed as Treasury yields fell further. Intel, Dell Technologies, Super Micro Computer, CoreWeave, Western Digital, and Nebius Group were among the notable gainers.

Super Micro's advance followed the company's strong fourth-quarter results and bullish first-quarter guidance, with adjusted earnings projected at $1.01 to $1.10 per share against a consensus estimate of 76 cents. CoreWeave shares moved sharply higher after Freedom Capital Markets projected its adjusted operating margin would climb from 5% in the second quarter to 15% by the fourth quarter, and analysts noted the company's Q2 backlog stood at $104 billion with revenue up 112% year over year. Analysts heading into Nvidia's report anticipated nearly 100% revenue growth year over year, driven by data-center demand, making the print a key test for whether the broader AI-linked rally has further room to run.

Elsewhere, Dick's Sporting Goods weighed on sentiment after lowering its outlook, while investors also looked ahead to the Federal Reserve's annual Jackson Hole symposium and a consumer confidence update.