U.S. stock index futures were modestly lower on Wednesday evening as the market digested mixed signals from major technology companies and prepared for a fresh round of nuclear talks between the U.S. and Iran in Geneva on Thursday.
By 20:23 ET (01:23 GMT) S&P 500 Futures had eased nearly 0.2% to 6,947.0 points. Nasdaq 100 Futures were down nearly 0.4% at 25,291.0 points, and Dow Jones Futures declined 0.2% to 49,444.0 points.
The pullback in futures followed a positive regular trading session on Wall Street, where technology names led gains ahead of Nvidia’s earnings report. The S&P 500 and Dow Jones Industrial Average closed up 0.8% and 0.6%, respectively, while the NASDAQ Composite jumped 1.3% during the day.
Nvidia: strong results but stock cools off
NVIDIA Corporation (NASDAQ:NVDA) reported higher-than-expected revenue and profit for the three months to end-January and gave a current-quarter revenue forecast that exceeded expectations, reflecting continued robust AI-driven demand for its high-end chips. Despite that outsized demand narrative, Nvidia’s shares retreated slightly in aftermarket trading after initially rallying as much as 4% following the results.
The stock had briefly reached a near four-month high on Wednesday before giving up some of those gains in after-hours activity. Inventory levels at the company rose from the prior quarter, even though Nvidia’s largest customers have signaled they will increase data centre spending. Nvidia’s chief financial officer Colette Kress said the company had enough inventory to meet demand for at least the full year.
"The stock had a neutral-to-negative reaction when she mentioned that," Gene Muster, Managing Partner at Deepwater Management, said in an X post.
"When you talk about being in supply-demand equilibrium, it does remove this hopeful, wishful dynamic... there is a little bit of a psychological headwind to being in equilibrium."
The company also provided limited clarity around its sales prospects in China, leaving that market largely uncertain. Nonetheless, Nvidia’s quarter underscored that it remains positioned to benefit from strong AI-related demand in upcoming quarters, a dynamic expected to lend support to the wider technology sector.
Salesforce guidance trims after-hours gains
Salesforce Inc (NYSE:CRM) shares fell 4.6% in aftermarket trading after the enterprise software company issued fiscal 2027 revenue guidance that fell short of some expectations. Salesforce forecast annual revenue in a range of $45.80 billion to $46.20 billion; the midpoint of that range sits slightly below Reuters/LSEG estimates of $46.06 billion.
While Salesforce reported a strong quarterly profit, the relatively cautious outlook suggested that enterprise software demand remains under pressure amid economic growth uncertainty and disruption related to the AI industry.
Geopolitics and market backdrop
Geopolitical risk re-entered the market’s focus ahead of the U.S.-Iran talks in Geneva. Investors were watching developments closely even as markets largely appeared to look past President Donald Trump’s threats of additional trade tariffs, following a Supreme Court ruling last week that a bulk of his levies were illegal.
Overall, the session illustrated how company-specific earnings and guidance, inventory and supply-demand messaging, and geopolitical developments can combine to influence sentiment across equities, particularly in technology and enterprise software names.
What to watch next
- Reaction in regular trading to Nvidia’s inventory comments and tone on Chinese sales.
- Investor response to Salesforce’s fiscal 2027 guidance amid broader enterprise software demand concerns.
- Any developments from the U.S.-Iran nuclear talks in Geneva that could alter geopolitical risk sentiment.