US Stock Market Outlook: Futures Rise, Nvidia and Other Stocks Surge After Earnings Reports

Market Overview

On Thursday morning, optimism surged in the market following Nvidia's earnings report, with all three major U.S. stock index futures rising. The Dow futures increased by 0.49%, Nasdaq futures by 1.51%, and S&P 500 futures by 1.08%.

Pre-Market Movements

• Star Tech Stocks: Nvidia (NVDA) rose nearly 5%, AMD over 4%, Tesla (TSLA) over 2%, and other major tech stocks like Google (GOOGL), Meta Platforms (META), Amazon (AMZN), and Microsoft (MSFT) saw gains of over 1%.

• Chinese Stocks: Mixed performance with Baidu (BIDU) up over 1% and Pinduoduo (PDD) nearly 1%.

• Nvidia-Related Stocks: Applied Digital (APLD) surged over 10%, CoreWeave (CRWV) over 9%, and Nebius (NBIS) over 7%.

• Crypto Mining Companies: Cipher Mining (CIFR) rose over 10%, IREN Ltd (IREN) over 8%, and TeraWulf (WULF) over 7%.

• Optical Communication Stocks: Astera Labs (ALAB) and Credo Technology (CRDO) both increased over 8%.

Insights from Market Leaders

Short Selling Concerns

Block, CEO of Muddy Waters Capital, stated that now is not the time to short large U.S. tech stocks, despite concerns about potential AI bubbles. He emphasized that as long as leading stocks like Nvidia continue to rise, shorting them is risky.

Nvidia's Strong Earnings

Nvidia reported Q3 revenue of $57 billion, exceeding Wall Street's expectations of $55.4 billion. The Q4 revenue guidance of $65 billion also surpassed market estimates. Goldman Sachs maintained a "buy" rating on Nvidia, raising the 12-month target price from $240 to $250.

Notable Investments

Dan Yongping's Tesla Investment

Dan Yongping confirmed he has started building a position in Tesla, citing admiration for Elon Musk's innovative products.

Cathie Wood's Crypto Investments

Cathie Wood's Ark Invest purchased over $10 million in cryptocurrency-related stocks, including Circle (CRCL) and Bullish (BLSH).

Company Earnings Reports

Walmart's Q3 Performance

Walmart reported Q3 revenue of $179.5 billion, a 5.8% increase year-over-year, slightly above expectations. However, the company lowered its sales growth forecast for FY2026.

Precision Science Acquisition

Precision Science (EXAS) surged 17% pre-market after Abbott announced a cash acquisition at $105 per share.

Netease's Q3 Results

Netease (NTES) fell over 3% pre-market as Q3 revenue and gross profit fell short of expectations.

Economic Indicators

Upcoming Non-Farm Payroll Report

The U.S. Labor Department will release the September non-farm payroll report, with expectations for an increase of 51,000 jobs.

Political Developments

Trump on Powell

Former President Trump expressed a desire to fire Fed Chair Powell, urging for quicker interest rate cuts.

AI Development Initiatives

Trump plans to unveil the "Genesis Mission," aimed at advancing AI development in the U.S.

Barclays' Market Outlook

Barclays raised its S&P 500 target for the end of 2026 to 7400, citing strong performance from large tech stocks and improving monetary conditions, while warning of short-term recession risks.