Nvidia’s second-quarter earnings could prove to be even more important to sustaining the U.S. stock rally than Federal Reserve Chairman Jerome Powell’s pivot toward lowering interest rates last week.Stocks powered firmly higher on Friday,

AI bellwether Nvidia is slated to report quarterly results after markets close on Wednesday, and traders are prepared for the stock's biggest post-earnings move in more than a year.

The market’s focus is locked on two things: NVIDIA earnings and inflation data. Recent warnings from SMCI, CoreWeave, and Dell about weak AI-related demand suggest NVIDIA’s results may fall short of sky-high expectations. That’s a major risk—not just for NVIDIA, but for the entire market rally built on AI momentum.