S&P 500 sets record as Nvidia, GDP stoke Fed cuts!

Thursday’s U.S. session delivered fresh highs for large-cap benchmarks as chip and software earnings, a stronger growth print, and steady labor signals sharpened odds of a September rate cut. The S&P 500 notched a second straight record close, the Nasdaq outperformed, and the Dow 30 edged higher.

S&P 500 at a record; Nasdaq leads; Dow edges up

Gains were broad but tech and communication names did the heavy lifting. The S&P 500 added roughly 0.3% to a record finish, the Nasdaq advanced about 0.6%, and the Dow rose near 0.2%. Leadership skewed toward AI-linked bellwethers, even as breadth was mixed.

Nvidia sets the tone after results

Nvidia posted strong year-over-year revenue growth and guided without assuming any sales of its China-focused H20 chips. Shares eased after a powerful year-to-date run as investors weighed a slight data-center wobble and China exposure, but the update kept the AI build-out front and center for megacaps.

Notable movers inside the S&P 500

• Snowflake jumped after lifting its fiscal 2026 product-revenue outlook on accelerating AI workloads and pipeline conversion.
• HP gained as interest in next-gen AI PCs translated into better top-line trends.
• Hormel fell sharply after issuing a softer profit outlook, adding a defensive laggard to the day’s tape.

Data tilt odds toward a September rate cut

Macro releases reinforced a soft-landing narrative and bolstered expectations for policy easing as soon as next month.

Growth and jobs firm up

The Bureau of Economic Analysis revised Q2 real GDP up to 3.3%, with preliminary corporate profits rebounding by roughly $65.5 billion after a Q1 dip. Weekly initial jobless claims fell to about 229,000, underscoring restrained layoffs.

Policy watch: PCE and Fed speak ahead

Futures implied better-than-80% odds of a September rate cut. Traders are watching Friday’s PCE inflation report and remarks from Fed officials, including Gov. Christopher Waller. In an unusual governance twist, Gov. Lisa Cook filed suit to block an attempt by President Trump to remove her—an event being monitored for implications to central-bank independence.

Why it matters for S&P 500, Dow 30, and Nasdaq

• Megacap AI earnings remain the key swing factor for index direction; Nvidia’s outlook set sector tone even as benchmarks advanced.
• Upward GDP revision and steady claims support a lower-rate path that typically favors duration-sensitive growth leaders.
• Friday’s PCE print is the next catalyst; moves in Treasury yields could either extend tech leadership or rotate flows toward cyclicals.

What to watch next

• PCE inflation and core services readings for signs of disinflation durability.
• Post-earnings guidance from AI infrastructure and software names influencing 2H spending plans.
• Any policy headlines around the Fed that could alter perceived path dependency into September.