[New York Stock Exchange] Closes Mixed Despite Strong Nvidia Earnings... Nasdaq Falls 1.2%

The three major indexes on the New York Stock Exchange closed mixed despite strong earnings from Nvidia.

AFP Yonhap News

On February 26 (local time), at the New York Stock Exchange (NYSE), the Dow Jones Industrial Average ended trading at 49,499.20, up 17.05 points (0.03%) from the previous session. The S&P 500 index, which focuses on large-cap stocks, fell 37.27 points (0.54%) to close at 6,908.86, while the tech-heavy Nasdaq index dropped 273.69 points (1.18%) to 22,878.38.

Nvidia posted strong earnings for fiscal year 2026 (November 2025 to January 2026), with both revenue and earnings per share (EPS) exceeding market expectations. Key indicators also reached record highs. However, investors sold off Nvidia shares immediately after the market opened. Nvidia's stock fell by more than 5% during the day.

The Philadelphia Semiconductor Index also dropped by more than 3%, at one point widening its loss to 4.79% during trading. Since the index had risen by more than 6% year-to-date through the previous day, fatigue and concerns over a market peak created downward pressure. Along with Nvidia, TSMC, Broadcom, Micron Technology, AMD, and Intel all fell by around 3%.

Michael Green, chief strategist at Simplify Asset Management, commented, "This movement feels like a 'Nvidia hangover' confined to the artificial intelligence (AI) sector," adding, "The S&P 500 is being dragged down by Nvidia and the 'Magnificent 7 (M7)', and the Nasdaq has been hit particularly hard."

Meanwhile, the software sector, which had previously struggled due to AI-related fears, rebounded. The IGV, a representative exchange-traded fund (ETF) for the software sector, rose 2.16%. The financial sector also climbed 1.29%, while industrials, energy, and real estate stocks were strong. In contrast, the technology sector fell 1.81%.

The Chicago Board Options Exchange (CBOE) Volatility Index (VIX) rose 0.70 points (3.90%) from the previous session to 18.63.

Meanwhile, at the New York Mercantile Exchange, West Texas Intermediate (WTI) crude oil for April delivery fell by $0.21 (0.32%) to $65.21 per barrel. The decline was attributed to news that a relatively positive atmosphere had emerged in nuclear negotiations between the United States and Iran.

This content was produced with the assistance of AI translation services.