US stock futures muted as Nvidia beats fail to lift sentiment

US stock index futures were subdued on Thursday as investors weighed strong results from Nvidia against weaker guidance from Salesforce, reinforcing broader questions about whether heavy spending on artificial intelligence will translate into sustainable earnings growth.

Futures tied to the Dow Jones Industrial Average were almost unchanged, trading down 9 points or roughly 0.01%, while S&P 500 remained unchanged and Nasdaq 100 futures edged down around 0.04%.

The cautious tone followed a volatile February for equities, with markets repeatedly swinging between gains and losses as sentiment toward AI-linked stocks fluctuated.

Nvidia results fails to uplift market

Nvidia gained 1.1% higher in premarket trading after the chipmaker reported better-than-expected results for the January quarter and projected current-quarter revenue above market estimates.

The company’s performance had been widely viewed as a key test for investor confidence in the AI investment cycle.

Despite the earnings beat, the market reaction remained restrained.

Most megacap growth stocks, including Apple and Microsoft, traded in a flat-to-lower range in premarket activity, suggesting investors were reluctant to extend recent gains in technology shares.

The muted response came even after the S&P 500 and Nasdaq closed at two-week highs in the previous session, driven by a rally in heavyweight technology companies.

The S&P 500 rose 0.8% Wednesday, the Nasdaq gained about 1.3%, and the Dow added roughly 307 points.

Salesforce weighs on software sector

Salesforce shares fell about 4% after the cloud software provider projected fiscal 2027 revenue below expectations, signaling weaker enterprise software spending.

The decline pressured Dow futures and revived concern about the broader software industry.

The S&P 500 software and services index has dropped nearly 21% so far this year as investors assess the disruptive impact of AI technologies.

Sectors including financial brokerage, data analytics, legal services, real estate services and trucking have also experienced heavy losses amid AI disruption fears.

Sentiment toward software companies remains particularly fragile.

Some investors worry that AI products could undermine traditional software business models even if near-term earnings remain stable.

Broader market pressures and upcoming data

Other companies also contributed to the cautious mood.

Advertising technology firm Trade Desk dropped 15.2% after forecasting first-quarter revenue below estimates, while C3.ai fell 24.25% after issuing weak sales guidance and announcing a 26% workforce reduction.

Energy stocks including Exxon Mobil and Chevron slipped around 0.5% each, tracking lower oil prices as investors evaluated whether US-Iran talks could avert a conflict that might disrupt supply.

Investors are also monitoring macroeconomic data.

Weekly jobless claims are due later Thursday, and January producer price index data will be released Friday.

Additional earnings from Warner Bros. Discovery, Dell Technologies and CoreWeave are expected before the bell.

Overall, markets appear to be transitioning from enthusiasm over AI-related spending toward a more demanding phase, in which investors want clear evidence that large capital investments in artificial intelligence will generate measurable profits.