01:33 PM EDT, 05/28/2025 (MT Newswires) -- US equity indexes slipped after midday trading on Wednesday as caution prevailed ahead of quarterly Nvidia ( NVDA ) earnings and amid gains in government bond yields.

The Nasdaq Composite slipped 0.1% to 19,184.1, the S&P 500 declined 0.1% to 5,912.2, and the Dow Jones Industrial Average retreated 0.2% to 42,255.6. All sectors except communication services and technology slid, with materials and utilities topping the laggards.

Nvidia's ( NVDA ) earnings are due after the bell on Wednesday. The company, known as the poster child for all things artificial intelligence, is one of the biggest by market capitalization in the S&P 500 and the Nasdaq and has been a major driver of stock market returns in recent years.

Nvidia's ( NVDA ) fiscal Q1 results and guidance are a "clear positive catalyst and bright green light" for the overall tech sector, Wedbush said in a research note on Tuesday. Although the AI demand around the company's Blackwell graphics processing unit microarchitecture is significantly higher than its supply, investors will be looking at the impact of President Donald Trump's export limit on the company's H20 chips and uncertainty related to business with China, the brokerage said.

Most US Treasury yields jumped intraday, with the 10-year up 6.1 basis points to 4.49% and the two-year 5.3 basis points higher at 4%.

"Sovereign bonds are on the run this morning after a weak Japanese auction that reversed some of the prior session's calm," a Scotiabank research note said. "The result drove a steeper curve with the 10s and 30s portions rising by about 4bps each and thereby reversing some of the prior session's rally that had been driven by talk of less long-end issuance."

The Federal Reserve will release minutes for the May 6-7 Federal Open Market Committee meeting later on Wednesday. The meeting occurred before the de-escalation in the trade conflict between the US and China, implying the minutes will likely be stale, according to a research note from D.A. Davidson.

Nevertheless, the minutes will likely "reinforce [Fed] Chair Powell's core message that the Committee will be patient as it evaluates competing effects on its dual mandate goals of price stability and full employment before determining an appropriate course of [policy] action," the Scotiabank note said.

In economic news on Wednesday, the Dallas Federal Reserve's monthly general business services index improved to minus 10.1 in May from minus 19.4 in April, indicating a slower contraction. The move aligns with most regional services data that is out, but contradicts the Kansas City Fed and the S&P Global Flash estimates showing expansion.

The Richmond Fed's monthly manufacturing index improved to minus 9 in May from minus 13 in April, as expected in a Bloomberg-compiled survey. The print indicates contraction, as do all regional manufacturing sector readings, but defies expansion in the S&P Global Flash index.

Meanwhile, Redbook US same-store sales jumped 6.1% from a year earlier in the week ended May 24 after a 5.4% year-over-year increase in the previous week.

In company news, Abercrombie & Fitch ( ANF ) shares soared 17% intraday after the apparel retailer's fiscal Q1 results came in higher than forecast, and it raised the top end of its full-year sales guidance.

West Texas Intermediate crude oil futures jumped 2.2% to $62.19 a barrel.

Gold futures fell 0.3% to $3,290.32 per ounce.