(For a Reuters live blog on U.S., UK and European stock

markets, click or type LIVE/ in a news window.)

*

Indexes gain: Dow 0.02%, S&P 500 0.42%, Nasdaq 0.75%

*

Best Buy ( BBY ) slumps after cutting annual sales, profit

forecasts

*

Boeing ( BA ) climbs as CEO aims to boost 737 MAX production

(Updates with afternoon trading levels)

By Shashwat Chauhan and Kanchana Chakravarty

May 29 (Reuters) -

The S&P 500 and the Nasdaq rose on Thursday, boosted by

Nvidia ( NVDA ) after the AI-chipmaker posted strong revenue growth,

while investors also assessed a federal court ruling that

blocked most of U.S. President Donald Trump's tariffs.

Nvidia ( NVDA ) added 4.8% after reporting

higher-than-expected quarterly sales growth, driven by customers

stockpiling AI chips ahead of U.S. export restrictions on China.

The company, however, warned that the new curbs are expected

to cut $8 billion from its current-quarter sales.

"If there's a larger take away from this earnings

announcement ... the demand they're seeing elsewhere in the

world balances those restrictions that are in place and it seems

like there might be more to come," said Keith Buchanan, senior

portfolio manager at GLOBALT Investments.

The Philadelphia SE Semiconductor index rose in the

wake of Nvidia's ( NVDA ) results, last up 1.2%.

Stocks, however, were off their session highs as investors

assessed a U.S. court decision which invalidated with immediate

effect most of Trump's sweeping levies imposed since January.

The court decision, however, did not address some

industry-specific tariffs on automobiles, steel and aluminum.

Kevin Hassett, the White House economic adviser, said three

trade deals were nearly done and he expected more despite the

judgment.

At 11:23 a.m. ET, the Dow Jones Industrial Average

rose 9.60 points, or 0.02%, to 42,108.30, the S&P 500

gained 24.56 points, or 0.42%, to 5,913.11 and the Nasdaq

Composite gained 142.29 points, or 0.75%, to 19,243.23.

Dow component Salesforce ( CRM ) weighed on the index, with

its shares slumping 6.3% even as the enterprise software

provider raised its annual revenue and adjusted profit

forecasts.

Most megacap and growth stocks lost some steam, with Apple ( AAPL )

- which Trump threatened with tariffs last week - now

up only 0.1%.

Boeing ( BA ) climbed 3.3% after CEO Kelly Ortberg said the

planemaker aims to increase production of its best-selling 737

MAX jets to 42 aircraft per month in the next few months and

boost output to 47 a month in early 2026.

Eight of the 11 major S&P 500 sub-sectors rose, with

information technology and real estate being

the biggest gainers.

The S&P 500 is currently about 3% below an all-time high

touched on February 19, rebounding from a nearly 19% decline

earlier in April on easing trade tensions, strong earnings and

subdued inflation data that aided risk appetite.

May has been a solid month for equities, with both the S&P

500 and the Nasdaq on pace for their best monthly

performances since November 2023.

A second reading from the Commerce Department showed gross

domestic product contracted 0.2% in the first quarter.

Economists polled by Reuters had forecast a 0.3% contraction.

In other earnings, Best Buy ( BBY ) dropped 9.8% after the

electronics retailer lowered its annual comparable sales and

profit forecasts amid concerns that U.S. tariffs would weigh on

consumer demand for big-ticket items.

Advancing issues outnumbered decliners by a 1.88-to-1 ratio

on the NYSE and by a 1.42-to-1 ratio on the Nasdaq.

The S&P 500 posted seven new 52-week highs and no new

lows, while the Nasdaq Composite recorded 33 new highs and 45

new lows.