Nvidia Launches Wall Street Rally

NEW YORK (AP) -- A blast higher by Nvidia after the AI chipmaker reported another blowout quarter sent Wall Street sharply higher Thursday.

The S&P 500 rose 1.6% in morning trading. The big gain pushed the benchmark index into winning territory for the week after two lackluster days.

The Dow Jones Industrial Average rose 358 points, or 0.9%, to 38,970 as of 9:59 a.m. Eastern. The tech-heavy Nasdaq jumped 2.3%.

Nividia surged 14.3% after reporting that its revenue and profit soared in the latest quarter thanks to booming demand for its chips used for artificial intelligence. The stock has tripled over the past year thanks to a surge in investor enthusiasm over artificial intelligence.

Synopsis, which makes software used to test and develop chips, rose 10% after raising its profit forecast.

Other chipmakers and companies involved in the chipmaking industry gained ground. Advanced Micro Devices rose 7.5% and Lam Research rose 3.5%.

Overnight, Japan's Nikkei 225 surged to an all-time high. Record gains in corporate earnings have enhanced the appeal of shares in Japanese companies, along with the weakness of the Japanese yen against the U.S. dollar.

Markets in Asia and Europe gained ground.

Bond yields were relatively steady. The yield on the 10-year Treasury fell to 4.31% from 4.32% late Wednesday.

On the losing end, electric truck and SUV maker Rivian tumbled 24.5% after it reported another loss and issued weak production guidance. Lucid, another electric vehicle manufacturer, slid 13.2% after it missed Wall Street sales guidance and also gave a weaker production forecast than analysts had called for.

Online craft marketplace Etsy slipped 7% after it missed Wall Street's profit forecast by a wide margin.