US Stocks Rise With Nasdaq Up 1.6%; Software, Cybersecurity Stocks Lead; Nvidia Jumps Nearly 9% After Earnings

TradingKey - Nvidia earnings beat expectations, boosting AI investment sentiment. All three major U.S. stock indexes gained, with software and cybersecurity stocks leading the rally, while memory stocks underperformed the market.

At the close, the Dow Jones Industrial Average rose 0.20% to 53,569.44; the Nasdaq Composite Index gained 1.57% to 26,541.35; and the S&P 500 Index climbed 0.72% to 7,730.99.

Tech Stock Performance

Nvidia (NVDA) rose 8.74% post-earnings to $227.98.

In the second quarter of fiscal 2027, Nvidia's revenue reached $96.22 billion, up 106% year-over-year and 18% quarter-over-quarter, accelerating for the fourth consecutive quarter. Data Center revenue accounted for $89.02 billion, up 117% year-over-year. Meanwhile, Nvidia provided full-year revenue guidance a full year in advance for the first time, forecasting fiscal 2028 revenue growth of about 70%, significantly above market expectations of around 45% prior to the earnings release.

Salesforce (CRM) rose 22.6% post-earnings to $252.09.

Salesforce's total revenue for the second fiscal quarter reached $11.35 billion, up 11% year-over-year; adjusted earnings per share (EPS) came in at $5.90, significantly beating Wall Street expectations. More forward-looking, the company's third fiscal quarter revenue guidance was set between $11.42 billion and $11.5 billion, well above average analyst estimates. In addition, current remaining performance obligations (RPO) are expected to grow by about 14%, directly reflecting customer commitments and demand stickiness for future services.

Among mega-cap tech stocks, Nvidia (NVDA) rose 8.74%, Broadcom (AVGO) gained 4.49%, Tesla (TSLA) advanced 2.60%, Microsoft (MSFT) added 1.72%, SpaceX (SPCX) gained 0.89%, and Apple (AAPL) ticked up 0.36%; on the downside, Amazon (AMZN) fell 1.54%, Meta Platforms (META) dropped 0.87%, and Google (GOOGL) slipped 0.39%.

[Source: FutuBull]

The Philadelphia Semiconductor Index rose 2.33% to close at 11,882.17 points. Among its 30 constituents, 25 advanced and 5 declined.

Company News

SK Hynix to Build $4 Billion Memory Packaging Plant in the US

SK Hynix held a groundbreaking ceremony on Thursday for its advanced memory packaging plant in Indiana, US. Located in West Lafayette, the facility represents an investment exceeding $4 billion and spans 133.5 acres, serving as SK Hynix's first high-bandwidth memory (HBM) packaging base in the US. Kwak Noh-jung, CEO of SK Hynix, stated at the event that the plant's cleanroom is expected to be operational by October 2028, with mass production of next-generation HBM scheduled to begin in the second half of 2029. Once fully operational, the plant will become a major HBM production hub, expected to employ approximately 1,000 people.

SK Hynix CEO Says Company Is Considering Closer Partnership with Kioxia

SK Hynix is considering further deepening its cooperation with Japanese flash memory manufacturer Kioxia. SK Hynix CEO Kwak Noh-jung said the company is exploring various ways to strengthen cooperation between the two sides, but regarding the stake currently held indirectly in Kioxia, "there are no concrete plans yet." Currently, SK Hynix indirectly holds a significant stake in Kioxia through an investment vehicle under Bain Capital. Under a previous agreement, its voting rights cannot exceed 15% before 2028 without Kioxia's consent. When asked if there are plans to further expand investments in the US, Kwak did not disclose specific details. In addition, he revealed that SK Hynix is still evaluating the possibility of an IPO for its US NAND subsidiary, Solidigm.

Moderna Plans $2 Billion Convertible Notes Offering

Moderna announced that it intends to offer $2 billion aggregate principal amount of senior convertible notes due 2032 in a private placement to qualified institutional buyers. The company also plans to grant the initial purchasers an option to purchase up to an additional $300 million aggregate principal amount of notes within a 13-day period beginning on the date the notes are first issued. If the option is exercised in full, the total size of the offering could reach up to $2.3 billion.

Industry & Macro News

Trump Administration Considers New Round of Semiconductor Tariffs

The Trump administration is considering introducing a new round of broad semiconductor tariffs, potentially expanding the scope from chips themselves to chip-containing products such as laptops, gaming consoles, and data center servers. According to people familiar with the matter, the proposal remains under discussion and could be adjusted over the coming weeks to months, with specific tax rates, quotas, and execution details yet to be finalized.

Three Fed Officials Warn of Inflation Risks

Federal Reserve Chair Kevin Warsh is set to deliver a speech in Jackson Hole on Friday, with investors seeking clues regarding future interest rate policy. Kansas City Fed President Jeffrey Schmid stated that U.S. inflation remains "stubborn and sticky," and the Fed must continue working to bring it back to its 2% target. Chicago Fed President Austan Goolsbee similarly remained on alert regarding inflation. He noted that inflation has remained above the 2% target for over five years, with the biggest short-term concern being that inflation is not under control. Cleveland Fed President Beth Hammack echoed Schmid's view, stating she does not believe Fed policy is restrictive to the economy. She pointed out that the latest inflation data met expectations and, given persistent inflation, now is the time to act.

U.S. Seeks Ownership Stakes in Select Venezuelan Oil Fields

According to Axios, citing two U.S. officials, the Trump administration is negotiating with Venezuela's interim government to acquire ownership stakes in select oil fields in the country. The agreement involves more than a dozen producing oil fields, rather than all of Venezuela's roughly 300 billion barrels of proven oil reserves. One official described it, saying, "To say this deal is big is an understatement; it is massive." In exchange for granting ownership stakes to the U.S., private companies, including American firms, will participate in oil field development to boost production and generate more oil revenue for Venezuela. The timeline for finalizing the deal remains unclear, while U.S. Energy Secretary Wright is discussing a potential visit to Venezuela next week.