US shares finished largely unchanged on Wednesday as investors assessed the latest inflation data and looked ahead to Nvidia’s quarterly results.
The S&P 500 edged 0.02% lower to 7,675.70, while the Nasdaq Composite slipped 0.08% to 26,130.20. The Dow Jones Industrial Average fell 113.52 points, or 0.21%, to 53,463.88.
The Federal Reserve’s preferred inflation measure showed price pressures remained elevated in July. Headline personal consumption expenditure inflation rose slightly more than expected, while core PCE, which excludes food and energy, was in line with forecasts.
Treasury yields were little changed following the report after falling sharply in the previous session, when the US 10-year yield declined almost 8 basis points. The bond market remains a key focus after long-dated yields reached multi-year highs last week.
Meta gained 1% after reaching a settlement with state attorneys general over litigation alleging its social media platforms harmed young users.
After the closing bell, Nvidia rallied more than 4% in extended trading after reporting record quarterly revenue. The chipmaker forecast current-quarter revenue of US$108 billion, reinforcing expectations that demand for AI infrastructure remains strong.
Investors now turn to Federal Reserve Chairman Kevin Warsh’s speech at the Jackson Hole symposium on Friday for further signals on the outlook for interest rates.
Australian Market Outlook
Australian shares are set for a subdued start, with S&P/ASX 200 futures down 4 points, or 0.04%, to 9,068.
Nvidia’s after-hours rally could provide some support to local technology names, although attention will be firmly on another busy day of August reporting season.
Companies reporting on Thursday include Air New Zealand, Atlas Arteria, Bapcor, Beacon Lighting, Cromwell Property, Centuria Capital, Karoon Energy, Magellan Financial, Mineral Resources, Perpetual, Qantas, Ramsay Health Care, South32, Star Entertainment, Sigma Healthcare, Web Travel and Wesfarmers.
On the economic front, July household spending and second-quarter private capital expenditure data are due at 11.30am AEST. NAB expects household spending to rise 0.7% in July following gains of 1.2% in May and 0.8% in June, which would point to continued resilience in consumer spending.
