This content was published on
August 26, 2026 - 09:38
4 minutes
(Bloomberg) — US stocks slipped as traders held back from taking risk ahead of the latest earnings report from Nvidia Corp., a bellwether for the artificial-intelligence trade.Futures for the S&P 500 fell 0.1%, while those for Nasdaq 100 were 0.2% lower. Treasuries retreated across the curve ahead of July’s print of the Federal Reserve’s preferred inflation gauge, shrugging off a third straight decline in oil. The dollar was little changed, while gold and Bitcoin posted modest moves.With a market value in excess of $5 trillion, Nvidia’s results after the close are expected to push market sentiment decisively either way. Options markets are pricing in a 5.4% move on the back of results that are expected to show revenue doubling from a year ago.“The key issue is no longer simply whether Nvidia beats tonight,” said Florian Ielpo, head of macro at Lombard Odier Investment Managers. “Investors will therefore focus above all on visibility around the medium-term AI demand and capex cycle, and that is where Nvidia cannot afford to disappoint.”Hours before Nvidia reports, the government will issue the latest personal consumption expenditures price index. Economists estimate the index rose 3.6% in July from a year ago, the smallest annual increase in four months.The inflation reading comes as long-dated yields have eased from their highest levels in years, with investors still trading cautiously amid lingering concerns about price pressures, fiscal largesse and vast borrowing to fund the AI buildout.“PCE can ease the immediate macro stress, but it cannot alone solve the Treasury-market problem,” said Ulrich Urbahn at Berenberg. “The more durable bullish outcome would be soft core inflation plus calmer oil, evidence of stable demand, and a subsequent decline in long-end yields that does not rely solely on Treasury liquidity measures.”What Bloomberg Strategists Say:“As we go into Nvidia earnings, the VIX index is showing little sign of fear, sitting just above this year’s low. This juxtaposition signals broader stocks are vulnerable to potential swings. Nvidia remains the world’s most important stock when it comes to moving the needle for investor portfolios.”— Mark Cranfield, Markets Live strategist. Click here for the full analysis.Corporate Highlights:SoftBank Group Corp. is talking with investment banks about a potential $10 billion to $20 billion bond offering to help refinance a loan for its investment in US tech giant OpenAI, according to people familiar with the matter. Zoom Communications Inc. gave a sales outlook for the current quarter that was about in line with analysts’ estimates, disappointing investors hoping for a greater uplift from its expanded suite of products. Some of the main moves in markets:StocksThe Stoxx Europe 600 was little changed as of 8:36 a.m. London time S&P 500 futures fell 0.1% Nasdaq 100 futures fell 0.2% Futures on the Dow Jones Industrial Average were little changed The MSCI Asia Pacific Index rose 0.7% The MSCI Emerging Markets Index rose 0.9% CurrenciesThe Bloomberg Dollar Spot Index was little changed The euro was little changed at $1.1672 The Japanese yen rose 0.1% to 159.02 per dollar The offshore yuan was little changed at 6.7197 per dollar The British pound was little changed at $1.3638 CryptocurrenciesBitcoin rose 1% to $78,983.68 Ether rose 1.1% to $2,464.45 BondsThe yield on 10-year Treasuries advanced two basis points to 4.65% Germany’s 10-year yield was little changed at 3.20% Britain’s 10-year yield was little changed at 4.99% CommoditiesBrent crude fell 2.6% to $86.27 a barrel Spot gold fell 0.5% to $4,634.20 an ounce This story was produced with the assistance of Bloomberg Automation.©2026 Bloomberg L.P.
