US Stocks Set to Rebound Sharply on Nvidia, NFP
US stock futures surged as Nvidia's strong results boosted AI sector confidence, with Nasdaq 100 set to rise 2.3%, S&P 500 by 1.7%, and Dow by 1%. Nvidia's optimistic guidance challenged AI valuation concerns, aiding stock rebound. AMD and Broadcom futures rose 6%, Oracle 3%. Walmart upgraded sales guidance. Non-farm payrolls exceeded expectations, suggesting Fed may hold rates despite rising unemployment.
Futures tracking US stocks surged on Thursday as strong results from Nvidia improved the fundamental view of AI services and infrastructure, while markets assessed a batch of mixed employment data.
The Nasdaq 100 was set open 2.3% higher, while the S&P 500 and the Dow were due to gain 1.7% and 1%, respectively.
Better-than-expected sales and the optimistic guidance from Nvidia (5%) challenged concerns that high valuations in AI companies are unwarranted, triggering a rebound for stocks following lingering concerns of frothiness for speculative areas of the economy.
AMD and Broadcom futures were both around 6% higher, while Oracle advanced 3%.
Also, Walmart upgraded its guidance for this year's sales on stronger digital spending and higher sales to price-sensitive consumers.
Meanwhile, non-farm payrolls grew more than twice as expected according to the delayed September report, raising bets that the Federal Reserve will hold rates next month despite the increase in unemployment.
