Stock Market Hesitates On NVDA, CPI Numbers
When looking at the S&P 500 futures, there was a nice push overnight into Monday, extending gains by 0.67% on a consistent impulse that started early in the morning to 8 a.m. CDT when Nvidia (NVDA) decided to shake things up.
Heading into the market open, Nvidia cited a shortfall expected in revenue primarily driven by weaker gaming sales. Nvidia expects revenue at $6.70 billion, missing the estimate of $8.38 billion, once second quarter earnings are released after the close on Aug. 24.
However, the market quickly recovered the pre-market losses as the cash session began, returning to the highs seen before the Nvidia news.
When the market reached the highs, the indecision on Wall Street began to set in. The resilience turned into exhaustion with big economic data looming on the horizon. The U.S. Consumer Price Index (CPI) provides some hesitation from big money before deciding the next direction.
As exhaustion set in, the market began to roll over after stalling out near the highs of the day. By midday, the market had started to retrace the early morning recovery and a little more.
Heading into the final hour of the cash session, the market moved to relatively flat, but slightly negative. This was eating further away at the S&P 500 futures gains established overnight.
At the session close both the S&P futures and the Nasdaq futures ended the session negative giving back all progress made during the resilient open of the cash session. The S&P 500 futures closed down 2 points (-.05%) and the Nasdaq futures closed down 34 points (-.26%).
Overall, there was resilience early which turned to stock market exhaustion by the mid-morning session. The general lack of buying pressure brought the market lower as indecision looms into CPI numbers set for release on Wednesday.