Markets Brace for Inflation Data, Nvidia

US stock futures remained stagnant on Wednesday morning, reflecting anticipation surrounding key economic indicators and corporate results due within the next 12 hours. Contracts for the Dow Jones Industrial Average and S&P 500 showed minimal change, while the Nasdaq 100 saw a slight dip. The primary focus is on the core Personal Consumption Expenditures (PCE) report, scheduled for release at 8:30 am ET. Economists predict this inflation measure, closely watched by the Federal Reserve, will hold steady at 3.3%.

Following the inflation data, Nvidia is set to release its quarterly earnings after the market close. This report is crucial for evaluating the performance of the artificial intelligence sector, with investors seeking evidence of returns on substantial AI infrastructure investments. Notably, Nvidia's networking division has seen remarkable expansion, generating nearly $15 billion last quarter, a significant increase from two years prior. This growth in networking far outpaced compute growth in the previous quarter, making Nvidia's upcoming report a critical indicator for the AI trade.