Wall Street Awaits Inflation Data as AI Giants Reveal Results

Leading Wall Street indices closed slightly lower on Tuesday as investors remain cautious ahead of July's inflation data. Despite market tension, the current earnings season continues to show strong results, driven by significant investments in artificial intelligence. Large technology companies are attracting significant interest, reporting exceptional growth figures and backlogs worth tens of billions of dollars.

The Numbers Behind the AI Reports

Cloud platform company CoreWeave, one of the most prominent IPOs of 2025, and infrastructure provider Super Micro have reported their results. Analysts predict revenue growth of more than 100% for both companies, with CoreWeave presenting an order backlog of 99 billion dollars and Super Micro reporting new orders of approximately 60 billion dollars. Meanwhile, Nvidia continues to lead global market capitalization with a 500 billion dollar infrastructure support program, and Intel is enjoying a positive market reaction to its 20 billion dollar capital raise.

Another stock that stood out is Cardinal Health, which jumped to an all-time high before retreating slightly. The company presented mixed fourth-quarter results but provided a strong forecast for the 2027 fiscal year, with expected earnings per share of up to 12.60 dollars—surpassing analysts' estimates. Considered a stable blue-chip stock, the company has recorded a total return of over 400% over the last five years, compared to an increase of less than 90% for the S&P 500 index during the same period.

Inflation and Interest Rates Center Stage

Beyond corporate reports, the primary market driver this week is the Consumer Price Index, due for release today. This data will directly influence the central bank's interest rate decision in September, with the probability of a 0.25% hike currently standing at approximately 49.9%. Meanwhile, the price of a barrel of WTI oil rose by 1.6% to 83.45 dollars, and the yield on 10-year government bonds fell to 4.692%.

At the close of trading on Tuesday, the Nasdaq lost 0.6%, while the S&P 500 and Dow Jones indices fell by 0.3%. Despite these slight declines, the data indicates that the current earnings season is the strongest since 2021, with a 50.4% growth in profits. Investors are now focused on the upcoming inflation data and Nvidia's reports later this month, which will likely determine the market's trajectory.