ASX set to rise as Wall Street climbs: Nvidia, Qantas results ahead
Sydney Morning Herald
by Stan ChoeFebruary 25, 2026
AI-Generated Deep Dive Summary
The Australian sharemarket is poised for a rise, with futures pointing to an opening gain of 64 points or 0.7 per cent. This follows Wall Street’s upward trajectory, driven by Nvidia’s strong performance despite a split in stock movements. The S&P 500 gained 0.7 per cent, recovering from earlier losses as investors reassess winners and losers amid the artificial intelligence boom. The Dow Jones Industrial Average rose 210 points, or 0.4 per cent, while the Nasdaq composite advanced 1.1 per cent.
Nvidia emerged as a key driver of Wall Street’s gains, climbing 2.2 per cent despite a broader market split where more stocks fell than rose. Markets are anticipating Nvidia’s highly awaited earnings report after trading closes, with analysts forecasting a nearly 70 per cent year-over-year profit surge to $US37.52 billion. This would translate to over $US400 million in daily profits for the quarter ending January 25. Nvidia’s reports have become a bellwether due to its status as Wall Street’s largest stock and AI’s growing influence on market dynamics.
Investors are grappling with concerns about whether companies like Alphabet and Amazon, heavy spenders on Nvidia’s chips and equipment, will see returns on their investments. Additionally, fears of AI-powered competition undercutting industries have led to swift sell-offs in sectors ranging from software to legal services. These worries compound broader market anxieties, including new tariffs announced by President Trump.
Despite these concerns, US companies are reporting strong profit growth for the end of 2025, bolstering smaller and less tech-dependent stocks. For instance, Cava Group surged 23.9 per cent after exceeding earnings expectations, while Axon Enterprise jumped 21.5 per cent with its own solid results. Meanwhile, First Solar dropped 13.7 per cent following a weaker-than-expected profit report.
The market’s resilience is also being supported by positive trends in smaller companies and sectors less directly impacted by AI. However, larger firms like Lowe’s faced headwinds despite higher profits, as investors focused on subdued future forecasts. Overall, the market reflects a delicate balance of optimism and caution, with tech giants and economic policies shaping investor sentiment.
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Originally published on Sydney Morning Herald on 2/25/2026