Nvidia’s Record Earnings and Bold 2028 Outlook Spark Rally as Fed Hikes Persist Amid Sticky Inflation

Nvidia’s second‑quarter earnings for fiscal 2027 shattered expectations, with revenue jumping to $96.2 billion—more than double the $92 billion forecasted by analysts. Data‑centre sales topped $89 billion, a 117% year‑over‑year increase that underscored the chipmaker’s continued dominance.

What truly surprised markets was CFO Colette Kress’s forward guidance. For fiscal 2028, she projected revenue growth of roughly 70%, well above the 45% consensus estimate. The announcement sent the stock higher, lifting Nvidia to $220 per share and a 5% after‑hours gain.

Meanwhile, U.S. inflation remains stubborn, keeping the Federal Reserve’s hawkish stance in play as it heads into the upcoming Warsh speech and the Jackson Hole forum. The combination of Nvidia’s upside surprise and persistent inflationary pressure has kept investors on alert, with expectations that Fed rate hikes will continue.

In short, Nvidia’s explosive quarterly performance and ambitious outlook have injected fresh optimism into the tech sector, even as broader macroeconomic concerns keep the Fed’s policy path uncertain.