U.S. stock futures rose sharply on Thursday, signaling a positive sentiment in the market as investors welcomed stellar earnings from Nvidia, which reignited enthusiasm around the AI sector and allayed immediate fears of a speculative bubble.
As of 4:47 P.M. (GMT+7), the tech-heavy Nasdaq 100 led the gains, with futures advancing 1.34%, or 331.40 points, to 24,971.90 points, while S&P 500 futures rose 0.98%, or 65.20 points, to 6,707.40 points. Dow Jones Industrial Average futures, containing fewer technology giants, registered a more modest increase by 0.4%, or 182.70 points, to 46,321.50 points.
Shares of Nvidia surged more than 5% in pre-market trading, as the chipmaker surpassed earnings expectations and provided an upbeat revenue outlook for the fourth quarter. Chief Executive Officer Jensen Huang highlighted soaring demand for Blackwell processors, describing it as “off the charts” and helping to ease concerns that the cooling in AI-linked stocks could point to a broader and longer-term deceleration.
The positive sentiment followed a mild rebound on Wednesday, when the S&P 500 and Dow snapped a four-session losing streak. Nevertheless, major U.S. indices remain negative for the week amid a broader retreat in growth stocks.
Attention now shifts to Thursday’s release of the September nonfarm payrolls report from the Bureau of Labor Statistics, which was postponed due to the recent federal government shutdown. The monthly jobs data will provide Wall Street with its first major reading on the U.S. economy post-shutdown, a period during which investors struggled to assess the likelihood of rate cuts from the Federal Reserve.
Minutes released from the Fed’s October meeting on Wednesday revealed significant divergence among policymakers, with debate centering on whether a slackening labor market or persistent inflation represents the greater threat to the economy. This division fuels continued uncertainty regarding a potential rate cut at the December policy meeting, with several officials suggesting there may be no further reductions this year.
The September payroll report has garnered heightened interest as the BLS canceled its October release due to the shutdown and pushed the November update to December 16, which would be after the Fed’s December meeting.
Meanwhile, Walmart is set to report its latest quarterly results before Thursday’s opening bell, offering a closely watched gauge of the health of major retailers as the holiday shopping season approaches.
