Dow Hits Record Amid Mixed Trading; Nvidia Slumps on In-line Forecast

The Dow reached a record high on Thursday despite mixed trading, driven by positive U.S. economic data. Nvidia's revenue forecast failed to impress investors, resulting in a stock dip. Strong consumer spending has boosted economic growth, supporting a soft landing, while AI-related stocks showed varied performances.

The Dow achieved a record high close on Thursday, buoyed by robust U.S. economic data, despite mixed trading. Artificial intelligence chipmaker Nvidia saw its stock decline after delivering a forecast that met expectations but failed to wow investors.

The U.S. economy grew at a faster pace than initially estimated, spurred by strong consumer spending, according to the Commerce Department. The revised data bolstered the outlook that the country might avoid a recession. "Downward revisions to inflation alongside an upward revision to spending strengthen the case for a soft landing," commented Jeffrey Roach, chief economist for LPL Financial.

Despite Nvidia's disappointing revenue forecast, broader AI-related stocks experienced mixed results. Microsoft rose, while Alphabet, Broadcom, and AMD fell. "It's too early to give up on AI-related companies; we see more upside potential," said Terry Sandven, chief equity strategist at U.S. Bank Wealth Management. Notably, Apple gained after being named the top AI pick by Citigroup.