US stock futures experienced a notable uptick on Wednesday evening, buoyed by Nvidia’s recent earnings report, which has sparked renewed interest in the broader artificial intelligence sector and helped mitigate concerns about market bubbles—at least for the time being.
Futures contracts linked to the Nasdaq, known for its tech-heavy lineup, led the charge with a rise of 1.2%. Meanwhile, the S&P 500 futures climbed 0.9%, and those associated with the Dow Jones Industrial Average, which has a smaller tech representation, saw a 0.4% increase.
Nvidia saw its stock surge more than 5% during after-hours trading, following the company’s announcement of an earnings beat alongside a more robust-than-expected revenue forecast for its fourth quarter. CEO Jensen Huang highlighted that demand for the company’s cutting-edge Blackwell processors is “off the charts,” alleviating fears that the recent downturn in AI-related stocks might be indicative of a prolonged slowdown.
This positive sentiment in after-hours trading came on the heels of a modest rebound during Wednesday’s regular trading session, where the S&P 500 and the Dow ended a four-day streak of losses. Despite this bounce-back, major indices remain in a slump for the week due to an overall pullback in growth stocks.
Amidst this economic backdrop, the minutes from the Federal Reserve’s October meeting revealed a divide among policymakers regarding the potential risks posed by cooling labor conditions versus persistent inflation. This rift has contributed to uncertainty surrounding the Fed’s decision-making for December, with several officials suggesting that further rate cuts this year are unlikely.
As investors await Thursday’s delayed nonfarm payrolls report from the Bureau of Labor Statistics—pushed back due to the federal government shutdown—attention also turns to Walmart. The retail giant is set to release its earnings report ahead of Thursday’s market opening, providing crucial insight into the health of big-box retailers as the holiday season approaches.
In an additional highlight, Nvidia’s stock experienced a spike of up to 4% after the tech leader exceeded analysts’ expectations for its third-quarter results, both in revenue and earnings. Huang’s assertion that Blackwell sales are “off the charts” and that demand for cloud GPUs is robust has fueled optimism in the tech sector.
