Nvidia (NVDA) Earnings Preview: Geopolitical Tensions Weigh on Market Sentiment Ahead of Key Event

Investor sentiment remained subdued on Wednesday as escalating geopolitical tensions weighed on risk assets ahead of the week's most anticipated event: Nvidia Corp.'s NVDA third-quarter earnings report, set to be released after market close.

Stock market sentiment remained pessimistic on Wednesday evening as escalating geopolitical tensions weighed on risk assets.

The market mood deteriorated further after multiple outlets confirmed Ukraine’s deployment of U.K.-made Storm Shadow missiles into Russian territory, a day after launching U.S.-supplied ATACMS missiles. The Storm Shadow missiles reportedly struck an oil depot in Russia’s Belgorod Region.

The news sparked concerns of a potential escalation in the Russia-Ukraine conflict, which had been showing signs of easing in recent weeks.

The market was also awaiting Nvidia Corp.’s (NASDAQ:NVDA) third-quarter earnings report, which were set to be released after the market close. Analysts had anticipated strong results from the chipmaker, given the robust demand for gaming and data center chips.

Major U.S. indices were in the red, with the tech-heavy Nasdaq 100 leading losses as technology stocks bore the brunt of the sell-off.

The Dow Jones Industrial Average fell 0.4%, the S&P 500 lost 0.6%, and the Nasdaq 100 dropped 1.1%.

The CBOE Volatility Index (VIX), widely regarded as a barometer of market anxiety, spiked over 9%, underscoring rising apprehension among investors.

The ProShares Ultra VIX Short-Term Futures ETF (SVXY), which provides leveraged inverse exposure to the VIX, plunged 10% in Wednesday’s session.

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Top Gainers and Losers:

According to Benzinga Pro, ZoomInfo Technologies Inc (NASDAQ:ZI) emerged as Wednesday’s top gainer, with the stock surging 10% after the company announced better-than-expected fourth-quarter results.

On the losing end, Digital Turbine Inc (NASDAQ:APPS) took the lead, with the stock plummeting 18% after the mobile advertising company reported a wider-than-expected loss in the fourth quarter.

Crucial Moments In Tech:

Multiple tech stocks came under pressure on Wednesday, as evident in the losses incurred by Zoom Video Communications Inc (NASDAQ:ZM), which dropped 5%, and Salesforce Inc (NYSE:CRM), which slid 3%.

Meanwhile, Tesla Inc (NASDAQ:TSLA) stock rallied 6%, continuing its recent strong performance, and Uber Technologies Inc (NYSE:UBER) shares gained 2%.

Rising Commodity Prices:

In the commodities space, natural gas futures took center stage, with the亨利枢纽价格surging over 6% on the day.

The鹏思天然气信托I份额 (NYSEARCA:UNG) ETF, which tracks natural gas futures, climbed 5% in Wednesday’s session.

Bitcoin Continues To Rally:

Despite the risk-off sentiment in the broader market, Bitcoin BTC/USD carried on its upward trajectory, rising over 2% to hit a fresh intraday all-time high of $94,989.

This latest surge in Bitcoin price brought its year-to-date gains to an impressive 123%.