Dow Futures exhibit a slight decline, as attention turns to the forthcoming results from the major technology sector. This segment, which constitutes a significant portion of the U.S. equity market, has reported earnings that surpass expectations. However, investors are seeking greater transparency regarding the timeline for the chip giant’s substantial cash generation to translate into enhanced returns for shareholders. Shares have declined, influenced by a disappointing revenue forecast from the software company. Elsewhere, oil steadies ahead of crunch nuclear talks between U.S. and Iranian officials.

Dow Futures indicated a downward trajectory on Thursday, as market participants evaluated the earnings report from the prominent player in artificial intelligence and equity markets, Nvidia. By 03:05, the contract had decreased by 122 points, representing a decline of 0.3%, had decreased by 7 points, indicating a drop of 0.1%, and had fallen by 27 points, also reflecting a decrease of 0.1%. All of the primary indices on market experienced an uptick in the previous session, as investors prepared for Nvidia’s results. On Wednesday, sentiment improved regarding the prospects for AI, reflecting the latest development in what has been a volatile narrative surrounding this emerging technology. The Nasdaq was the biggest gainer, reflecting renewed optimism that AI will eventually spark widespread benefits — a marked difference compared to fears earlier this month that software companies will be disrupted by new AI models and mega-cap tech players will struggle to see returns from massive spending on building out data centers. Remarks regarding AI from Richmond Fed President Tom Barkin also supported equities. Barkin indicated that the implications of automation on widespread unemployment remain uncertain, noting that AI might enhance the efficiency of the job market.

Nvidia reported earnings for the January quarter that exceeded expectations and forecasted current-quarter revenue that also surpassed projections; however, the stock experienced a subdued response in after-hours trading. Concerns have been raised by investors regarding the semiconductor giant’s insufficient returns to shareholders. Yvette Schmitter observed that Nvidia produced $35 billion in cash during the fourth quarter, yet returned only 12%, a decrease from 52% in the same period last year. Schmitter noted that “this is happening at the same time Nvidia is claiming” that its sold-out Ampere chips are a “good signal for demand.” Schmitter inquired “[W]hy is the company with record cash generation reducing buybacks by fifty percent?” The remarks reflected a query directed at Nvidia executives during a post-earnings call, where an analyst from UBS inquired whether the company intended to distribute a portion of the $100 billion in cash projected to be generated this year. CFO Colette Kress emphasized Nvidia’s commitment to ongoing investments in the broader AI ecosystem, while CEO Jensen Huang contended that the output of AI models will serve as the foundation for future computing.

Salesforce shares experienced a decline in after-hours trading, meanwhile. The cloud-based software company disclosed its revenue forecast for fiscal 2027, which fell below market expectations. This development suggests a potential decline in demand for business-oriented software, as numerous companies tighten their budgets amid widespread economic uncertainty. Full-year revenue is projected to fall within the range of $45.80 billion to $46.20 billion, marginally below the midpoint expectation of $46.06 billion, as indicated by the data. Meanwhile, Salesforce is making substantial investments in its AI capabilities, aiming to alleviate investor concerns that emerging models from startups such as Anthropic may diminish demand. The onset of 2026 has proven to be tumultuous for Salesforce, as the California-based entity seeks to mitigate what some view as AI’s existential challenge to the broader software-as-a-service sector. Salesforce has raised its forecast for fiscal 2030 revenue to $63 billion, up from a prior estimate of $60 billion, underscoring an expected enhancement in growth driven by agentic AI. “[T]his is not a perfect report, but it should cross the ’good enough’ threshold, with the company’s AI products showing rapid growth (albeit off a very small base) while core business holds in well (in terms of margins and growth) and cash flow generation stays healthy,” analysts noted.

Oil prices remained relatively stable on Thursday, maintaining levels close to seven-month highs, as markets prepared for the upcoming third round of U.S.-Iran nuclear discussions later in the day. Increased by 0.2% to $70.84 per barrel, while U.S. West Texas Intermediate crude futures also saw a rise of 0.2%, reaching $65.62 per barrel. U.S. envoys, including special representative Steve Witkoff and presidential adviser Jared Kushner, are scheduled to meet with Iranian counterparts in Geneva later in the session, as Washington seeks to secure an agreement regarding Tehran’s nuclear program. U.S. President Donald Trump has indicated that “bad things” could occur if significant progress is not made, suggesting that a prolonged conflict might interfere with supplies from Iran, which ranks as the third-largest crude producer within the Organization of the Petroleum Exporting Countries.

Gold prices experienced a slight increase as concerns over U.S. trade tariffs bolstered safe-haven demand, while market participants looked forward to the commencement of crucial nuclear discussions between Washington and Tehran. Spot gold was last observed at an increase of 0.6%, priced at $5,196.55 per ounce as of 01:40. U.S. Gold Futures experienced a decline of 0.5%, settling at $5,200.54 per ounce. In light of the diplomatic developments between the U.S. and Iran, market participants are assessing the implications of the recently announced U.S. tariffs, which follow a ruling by the U.S. Supreme Court that invalidated President Trump’s extensive “reciprocal” tariffs. Global markets are poised for the release of U.S. economic data later today, which will include the latest figures on weekly jobless claims. Throughout the current year, bullion has demonstrated robust support stemming from ongoing geopolitical tensions, acquisitions by central banks, and movements aimed at portfolio diversification.