The major U.S. index futures are currently pointing to a higher open on Thursday, with stocks likely to extend the upward move seen late in the previous session.
Nvidia (NASDAQ:NVDA) may help lead the markets higher, as the AI darling has turned higher over the course of pre-market trading is currently jumping by 1.5 percent.
Traders initially reacted negatively to Nvidia’s fiscal third quarter results, which were released after the close of trading on Wednesday.
Nvidia reported better than expected third quarter earnings and revenues, but some traders expressed concerns about slowing revenue growth and a quarter-on-quarter decline by gross margins.
After seeing weakness throughout much of the session, stocks recovered in the latter part of the trading day on Wednesday. The major averages climbed well off their worst levels before eventually ending the session narrowly mixed.
The Dow ended the day up 139.53 points or 0.3 percent at 43,408.47, while the S&P 500 closed little changed, up just 0.13 points at 5,917.11.
The tech-heavy Nasdaq closed down 21.32 points or 0.1 percent at 18,966.14 but staged a notable recovery attempt after tumbling by as much as 1.4 percent.
The roughly flat close by the major averages came as traders looked ahead to the release of quarterly results from Nvidia after the close of trading. Nvidia fluctuated over the course of the session before closing down 0.8 percent.
The volatility seen late in the session also came as trading activity was somewhat subdued amid a lack of major U.S. economic data.
Traders may also have been reluctant to make more significant moves as they kept an eye on developments overseas amid escalating tensions between Ukraine and Russia.
Biotechnology stocks showed a strong move to the upside on the day, driving the NYSE Arca Biotechnology Index up by 1.8 percent. The index continued to regain ground after hitting a three-month closing low on Monday.
An increase by the price of crude oil also contributed to strength among oil service stocks, while healthcare and pharmaceutical stocks also turned in strong performances.
Meanwhile, notable weakness remained visible among computer hardware stocks, with the NYSE Arca Computer Hardware Index falling by 1.3 percent after surging over the two previous sessions. A sharp pullback by shares of Super Micro Computer (NASDAQ:SMCI) weighed on the sector.