US stocks slip as Nvidia leads tech lower ahead of earnings

Investing.com -- U.S. stocks fell Wednesday, as weakness in Nvidia led a slide in tech just ahead of the chipmaker's quarterly results due after the close. 

At 12:58 ET (16:58 GMT), Dow Jones Futures fell 0.4%, or 144 points, S&P 500 Futures fell 0.5%, while Nasdaq 100 Futures dropped 1%.   All eyes on Nvidia earnings 

NVIDIA Corporation (NASDAQ:NVDA ), the world’s most valuable chipmaker, fell more than 2% leading the broader tech sector lower as investors opted for caution ahead of the company second quarter results after the bell. The firm is expected to report earnings per share at $0.644 on a revenue of $28.68 billion, with both readings picking up from the prior quarter.

Nvidia’s shares have spiked 160% so far in 2024, as the firm benefited greatly from increasing investment in artificial intelligence. The firm makes the most advanced artificial intelligence chips in the market, and is considered as a bellwether for AI demand.

Also weighing on the semiconductor sector, Super Micro Computer Inc (NASDAQ:SMCI ) fell more than 20% after the AI server provider said it would delay publishing its quarterly results. The announcement comes just a day after short-seller Hindenburg flagged numerous issues at the company including accounting issues and equipment shipments to Russia and to a Chinese entity that has been watchlisted by the US government. PVH leads slew of mostly mostly downbeat earnings from retailers; Chewy delights on earnings stage 

PVH (NYSE:PVH ) stock fell 7% after the clothing giant, which owns brands like Calvin Klein and Tommy Hilfiger, reported a drop in second-quarter sales.

Bath & Body Works (NYSE:BBWI ) stock fell 6% after the retail store chain cut its annual sales forecast, a sign of weaker demand for its pricey products such as fragrances and scented candles in the face of still-high inflation.

Abercrombie & Fitch (NYSE:ANF ) stock fell 17% after the clothes retailer’s CEO Fran Horowitz warned of an “increasingly uncertain environment” as macro conditions worsened, even after the company lifted its forecast for annual sales.

Kohl’s (NYSE:KSS ) stock rose 4% after the department store raised its annual profit forecast after beating estimates for second-quarter earnings, helped by a tight leash on costs and leaner inventories.

Chewy (NYSE:CHWY ) stock rose over 2% after the online retailer of pet products reported strong second-quarter earnings, exceeding expectations. Cryptocurrency-related stocks follow Bitcoin lower

Cryptocurrency-related stocks including Coinbase Global Inc (NASDAQ:COIN ), Riot Platforms (NASDAQ:RIOT ) and MicroStrategy Incorporated (NASDAQ:MSTR ) came under pressure after Bitcoin slumped below $60,000 as investors appeared to take profit off the table ahead of Nvidia's earnings.

(Ambar Warrick and Noreen Burke contributed to this report)

Source: Investing.com