Shares of Nvidia rose 5% after hours on Wednesday following its latest earnings results. The semiconductor giant posted third-quarter results and guidance that were above Wall Street's forecast amid insatiable demand for artificial intelligence processors.

Nvidia is a leading developer of graphics processing units. Traditionally, GPUs were used to enhance the experience on computing platforms, most notably in gaming applications on PCs. GPU use cases have since emerged as important semiconductors used in artificial intelligence to run large language models.

Nvidia's record earnings affirms CEO Jensen Huang's position that the AI boom is gaining momentum.

Asian shares have surged after Nvidia reported stronger than expected quarterly earnings, soothing worries that AI-driven stock prices may have shot too high

Nvidia CEO Jensen Huang calls Q4 guidance 'crazy good' as chipmaker rides AI boom wave. Stock jumps 5% after beating earnings expectations in third quarter.

Against the dollar, the euro was 0.2% weaker on the day at $1.1520, while in commodity markets Brent crude inched up to $63.6 per barrel having fallen over 2% on Wednesday as markets assessed the latest U.S. proposals to end the war in Ukraine and prepared for a U.S. deadline to cease operations with two major Russian oil firms.

But as the chip maker seeks to parlay its semiconductor dominance into control of the full stack, vendor lock-in is a major risk, says one analyst.

Nvidia’s earnings lifted U.S. stock futures and international equities, while the U.S. dollar rose as investors dialed back expectations of another Fed rate cut next month.

Arm Holdings Plc plans to start incorporating Nvidia Corp.’s NVLink technology into chip designs for AI data centers, tightening the relationship between two influential semiconductor companies.