Nvidia earnings ahead, House votes on Trump’s tax cut plan – what’s moving markets

U.S. stock futures pointed up on Wednesday ahead of all-important results from Nvidia (NASDAQ:NVDA). Investors will likely be keeping an eye out for any comments from the semiconductor behemoth on the recent emergence of a cut-price open-source AI model from China’s DeepSeek. Meanwhile, the U.S. House of Representatives votes on a massive tax-cut bill and Bitcoin hovers below $90,000.

1. Futures inch higher

U.S. stock futures ticked higher on Wednesday as investors geared up for quarterly earnings from artificial intelligence-darling Nvidia (more below).

By 03:35 ET (08:35 GMT), the Dow futures contract had edged up by 84 points or 0.2%, S&P 500 futures had gained 23 points or 0.4%, and Nasdaq 100 futures had increased by 129 points or 0.6%.

The benchmark S&P 500 and tech-heavy Nasdaq Composite both slipped in the previous session, while the 30-stock Dow Jones Industrial Average inched up. Traders were assessing fresh economic data which showed a deterioration in U.S. consumer confidence and suggested that households were fretting over the potential impact on inflation of President Donald Trump’s import tariff plans.

In individual stocks, Eli Lilly (NYSE:LLY) shares gained after the pharmaceutical giant announced higher doses of vials of its popular Zepbound obesity drug at a lower price than its injector-pen versions.

Home Depot (NYSE:HD) shares also rose after the home improvement chain’s solid fourth-quarter returns helped offset an underwhelming annual comparable sales forecast.

Meanwhile, Zoom Communications (NASDAQ:ZM) dropped on a disappointing full-year revenue outlook. Crypto-exposed stocks fell as well, reflecting a slump in the price of Bitcoin.

2. Nvidia earnings loom large

Highlighting the agenda on Wednesday will be fourth-quarter results from Nvidia, the semiconductor titan that has often been viewed as a figurehead of a surge in enthusiasm around the capabilities of AI.

Nvidia, which designs chips that are considered to be integral parts of AI applications, is due to report after U.S. stock markets close.

Executives will likely face questions from analysts about the implications of the recent emergence of a low-cost AI model from Chinese start-up DeepSeek, which raised major questions over the sustainability and eventual returns from heavy AI investments by mega-cap U.S. technology companies. The market ructions caused by DeepSeek hit Nvidia particularly hard, with the stock shedding $593 billion in value in a single session in late January — the worst one-day loss in Wall Street history.

Nvidia is tipped to post overall fourth-quarter revenue of $38.25 billion, including $34.06 billion in sales at its crucial data center business, according to Bloomberg consensus estimates. For the first quarter, the company is expected to guide for a top-line total of $42.26 billion.

3. U.S. House votes on Trump-backed tax-cut package

The U.S. House of Representatives has voted to approve a $4.5 trillion package of tax cuts and border security measures, advancing a bill that includes many of President Trump’s biggest 2025 priorities.

In a narrow 217-215 vote, the Republican-controlled lower chamber of the U.S. Congress backed sending the budget resolution to the Senate. All but one Republican voted in favor of the bill, while no member of the opposition Democrats supported it.

Republicans in the Senate are now anticipated to take up the bill, which is seen as a preliminary step to extending Trump’s 2017 tax cuts later this year. The plan would also provide funding to deporting illegal migrants and bolster border security.

Crucially, if both the House and the Senate pass the same budget framework, Republicans would be allowed to exercise a parliamentary tool needed to get around Democratic opposition.

In a note to clients, analysts at Vital Knowledge argued that the S&P 500 would “continue with its sideways price action” until there is more clarity around the budget resolution.

4. Bitcoin hovers around three-month low

Bitcoin fell on Wednesday, hovering near a three-month low, as worries over U.S. trade tariffs and slowing economic growth sparked a wave of risk-averse moves across cryptocurrencies.

The world’s largest cryptocurrency extended losses into a fourth straight session, having wiped out roughly $8,000 from its price over the past week.

Bitcoin’s decline has partly stemmed from a recent $1.5 billion hack of popular exchange ByBit. Soft economic data and tariff jitters have also weighed on the digital asset, which is often described as a proxy for risk appetite.

Meanwhile, the token took little support from Strategy — the world’s biggest corporate holder of Bitcoin — announcing a purchase of $2 billion more coins.

5. Gold muted

Gold prices moved slightly lower in European trade on Wednesday after pulling back from recent record highs, although safe-haven demand remained high in the face of uncertainty over U.S. tariffs and growth.