Daily Market Report – May 21, 2026

International stock markets closed mixed on Thursday. While technology stocks traded volatilely following NVIDIA's (NVDA) numbers, defensive consumer stocks remained comparatively stable after Walmart's (WMT) results. The S&P 500 (SPX) closed slightly up, while the NASDAQ-100 (NDX) fluctuated significantly throughout the day. High yields on long-term U.S. government bonds and discussions about the sustainability of massive AI investments by large tech companies continued to weigh on the markets. NVIDIA was at the center of the earnings season. The company reported an 85% increase in revenue for the first quarter of fiscal year 2027, reaching $81.6 billion. The data center business achieved $75.2 billion in revenue (+92%). The gross margin was 74.9%. The GAAP earnings per share were $2.39. Additionally, NVIDIA announced a stock buyback program of $80 billion and a significant dividend increase. For the current quarter, the company projected revenues of around $91 billion. Despite the exceptionally strong numbers, the stock came under pressure as investors increasingly focused on valuation, competition, and geopolitical risks—especially potential export restrictions to China—after the massive price increase in recent months. Jensen Huang described the expansion of global AI infrastructure as "the largest infrastructure expansion in human history." Walmart also presented solid quarterly numbers. The world's largest retailer increased revenue in the first quarter of fiscal year 2027 by 7.3% to $177.8 billion. The adjusted earnings per share were $0.66. Comparable sales in the U.S. rose by 4.1% excluding fuel, while e-commerce sales increased by 26%. The international business grew by 10.1% on a currency-adjusted basis. However, investors reacted cautiously as the outlook for the current quarter slightly lagged behind optimistic market expectations. Walmart pointed to higher health, fuel, and depreciation costs, as well as a still selective consumer demand. In the commodities market, Brent Crude Oil (UKOIL) remained volatile. Hopes for diplomatic progress between the U.S. and Iran significantly weighed on oil prices at times. Gold (GOLD) declined in light of rising real yields and a strong U.S. dollar. The U.S. Dollar Index (DXY) remained at elevated levels. In currencies, EUR/USD (EURUSD) continued to trade within a narrow range as investors awaited new inflation data and signals from the U.S. Federal Reserve regarding future interest rate policy.