Nvidia clearly delivered a strong quarter, with revenue of $57 billion (up 62% from one year ago) and earnings per share of $1.30 (up 67% YoY), surpassing analysts' expectations and predictions for about $55 billion and $1.26, respectively.

The stock market sell-off restarted on Thursday. Markets whipsawed in afternoon trading as valuation concerns returned to the conversation.

Two key reasons for Thursday's market reversal were increased concern that the Federal Reserve would not cut interest rates in December and jitters about an AI bubble not fully extinguished by Nvidia's earnings report.

Nvidia shares have fallen more than 12% since their recent peak on Oct. 29—the day it became the world's first $5 trillion company. It's the 16th time shares have "corrected," dropping 10% or more from a recent high,

The struggles are a sharp turnaround from the months of relentless rallying for the U.S. stock market since April.

Japanese shares gained, ending a four-day losing streak, as AI-related stocks climbed following a buoyant earnings forecast from US chip titan Nvidia Corp.

Nvidia shares rose about 5% in off-hours trading following the AI chipmaker's earnings on Wednesday. + That would be well above the average price gain for the past eight quarters on the trading day after earnings,

Nvidia's stock closed Thursday near session lows, falling 3.2% on the day after being up as much as 5.1% at its peak. The performance marked a continuation of relatively muted post-earnings stock moves for Nvidia.