Day Traders Diary

8/23/23

The major averages rose led by the tech sector ahead of the quarterly results for chip giant Nvidia. The Dow Jones Industrial Average rose 184 points or 0.54%. The S&P 500 rose 48 points or 1.1% while the Nasdaq Composite rose 215 points or 1.59%.

Nvidia rose 3% during regular trading hours. Analysts polled by Refinitiv expect the company to report sharp year-over-year spikes in profit and revenue for the second quarter. Nvidia is the best-performing S&P 500 stock of 2023, up more than 200%.

Even with the great performance of Nvidia, the markets have been weak here in August with the S&P 500 down more than 4% this month. Recent weakness in retail and banking stocks have weighed on the markets.

In the retail space, Foot Locker fell 28% after the company slashed forecast. Nike was down 2% in sympathy. Dick's Sporting Goods was negative after falling 24% yesterday, its worst daily performance ever after coming up short of Wall Street expectations.  

Beyond the earnings slated for Wednesday, investors will also be watching for economic data on new home sales and purchasing. They'll also be readying for the start of a two-day Federal Reserve symposium in Jackson Hole, Wyoming, beginning Thursday. Fed Chair Jerome Powell is expected to deliver remarks Friday.