The Fort Worth Press - Tech stocks lifted by Nvidia as broader markets struggle

European stocks were mostly lower, following a mixed session in Asia.

In its highly anticipated report, Nvidia -- the world's biggest company by market value -- shattered analyst forecasts by unveiling revenues that more than doubled in the second quarter from the year earlier.

It forecast another blowout in the current quarter, and shares in Nvidia, considered the bellwether for the AI spending frenzy, climbed more than six percent in pre-market deals ahead of Wall Street's opening.

"The jump in the share price in pre-market trading suggests that investors have once again been wooed by Nvidia CEO Jensen Huang's unwavering optimism," said Dan Coatsworth, head of markets at AJ Bell.

"Yet the more success Nvidia enjoys, the bigger the potential fall as soon as the good news machine splutters," he added.

Asian chip firms followed suit, with South Korea's SK hynix and Samsung up 2.5 and 1.7 percent respectively, while Japan's Kioxia rallied five percent.

Despite an eye-watering rally in tech stocks over the past year, investors are growing increasingly worried about when the vast sums of cash being pumped into the AI sector will see a meaningful return.

Coatsworth noted that the euphoria over Nvidia's results "failed to spread across the rest of the market."

In Europe, Paris shed one percent, while London fell and Frankfurt edged higher.

That followed Tokyo and Hong Kong both closing slightly lower.

The mood was dampened by data showing that the Federal Reserve's preferred gauge of US inflation remained stuck at a three-year high of 3.7 percent in July.

"While July core PCE inflation came in line with consensus... the details of the release were more inflationary," said Jim Reid, head of research at Deutsche Bank.

Investors will be keeping a close eye on Fed chief Kevin Warsh's speech at the annual Jackson Hole symposium in Wyoming on Friday, hoping for clues about his plans for interest rates.

Nonetheless, "Nasdaq and S&P 500 futures... indicate a stronger start for Wall Street, despite wariness about monetary policy, as investors pile back into technology," said Susannah Streeter, chief investment strategist at Wealth Club.

Oil prices were stable on Thursday following declines over several sessions as investors await developments on diplomatic efforts to reopen the Strait of Hormuz to tanker and cargo traffic.

- Key figures at around 1115 GMT -

London - FTSE 100: DOWN 0.5 percent at 10,828.30 points

Paris - CAC 40: DOWN 1.1 percent at 8,370.38

Frankfurt - DAX: UP 0.3 percent at 26,364.31

Tokyo - Nikkei 225: DOWN 0.2 percent at 66,131.98 (close)

Hong Kong - Hang Seng Index: DOWN 0.3 percent at 25,565.74 (close)

Shanghai - Composite: UP 1.1 percent at 3,956.57 (close)

New York - DOW: DOWN 0.2 percent at 53,463.88 (close)

Euro/dollar: DOWN at $1.1641 from $1.1651 on Wednesday

Pound/dollar: DOWN at $1.3581 from $1.3591

Euro/pound: FLAT at 85.72 pence from 85.72 pence

Dollar/yen: UP at 159.47 yen from 159.37 yen

Brent North Sea Crude: UP 0.7 percent at $88.47 per barrel

West Texas Intermediate: UP 0.2 percent at $82.40 per barrel

G.Dominguez--TFWP