US Stock Market Today: NASDAQ Climbs 1.5% & Dow Jones Rises 0.2% Ahead of NVIDIA Earnings, Investors Eye AI Sector Performance

Global stock markets rebounded as investors awaited results from NVIDIA, the last of the Magnificent Seven megacaps to report earnings. In New York, the S&P 500 index rose about 1%, while the NASDAQ 100 climbed roughly 1.5%. The Dow Jones Industrial Average added 0.2%. European shares also gained, with the Stoxx Europe 600 up around 0.6%, and the broader MSCI World index advanced 0.6%. 

Traders attributed the gains to optimism that NVIDIA’s quarterly results would validate heavy investment in artificial‑intelligence infrastructure and ease fears that the AI boom might be a bubble. NVIDIA’s stock gained roughly 3% ahead of the announcement as investors positioned for a volatile reaction.

Bond markets were calm: the yield on US 10‑year Treasuries edged up to 4.12%, Germany’s 10‑year yield was stable at 2.70% and Britain’s 10‑year yield climbed to 4.60%. Currency traders nudged the Bloomberg Dollar Spot Index 0.3% higher, while the euro and British pound each slipped about 0.3% and the yen weakened by 0.7%. 

Commodities showed divergent moves; West Texas Intermediate crude fell nearly 3% to about $59 per barrel on data showing rising US stockpiles, while spot gold gained 1.3%, trading around $4,121 an ounce.

Equity strategists said NVIDIA’s results could set the tone for broader markets. Analysts at Wolfe Research argued that concerns about a bursting AI bubble were overblown and suggested buying AI‑linked stocks on weakness. 

Others noted that the semiconductor giant’s share price has fallen before recent earnings announcements despite strong results. The company’s quarterly sales and profits are expected to grow more than 50%, yet investors will focus on its outlook and whether demand for AI chips remains robust.

Corporate developments and policy moves

A series of corporate announcements accompanied the market moves:

• Adobe Agrees to Acquire Semrush: Adobe confirmed a $1.9 billion cash deal to buy marketing‑software provider Semrush Holdings. The $12‑per‑share offer represents a 77.5% premium and aims to integrate Semrush’s search‑marketing and generative AI tools into Adobe’s platform.

• Brookfield Targets AI Infrastructure Fund: Brookfield Asset Management plans to raise about $10 billion for a global artificial‑intelligence infrastructure program anchored by commitments from Brookfield, NVIDIA, and the Kuwait Investment Authority.

• Amazon Loses EU Digital‑Services Case: The EU General Court rejected Amazon’s attempt to escape designation under the Digital Services Act, meaning the company must continue to take steps to mitigate illegal or harmful content.

• Meta to Block Under‑16 Users in Australia: In response to Australia’s upcoming social‑media ban for children under 16, Meta said it would block access to Facebook, Instagram, and Threads for Australian users under 16 by December 10 and has begun notifying accounts it believes belong to 13 to 15‑year‑olds. The company said compliance will be an “ongoing and multi‑layered process”.

• Tesla Authorised for Ride‑Hailing Services in Arizona: Arizona regulators granted Tesla a Transportation Network Company permit, allowing it to operate a ride‑hailing service similar to Uber, though without fully driverless vehicles.

• Energy and Infrastructure: The US government will provide a $1 billion loan to Constellation Energy to restart the Three Mile Island Unit 1 nuclear plant, shut since 2019, with plans to begin operations by 2027.

• Airline Takeover Interest: Portugal’s government said Lufthansa and IAG are expected to submit expressions of interest in state‑owned carrier TAP SA as it seeks to privatise a 44.9% stake plus 5% to employees.

• Porsche and Tesla Expansions: Porsche delayed the rollout of its electric Cayenne and cut its medium‑term profitability targets due to weak EV demand and geopolitical pressures. Meanwhile, Tesla aims to expand its ride‑hailing service using the Arizona permit, part of its broader robotaxi ambitions.

These corporate developments highlight significant moves across multiple sectors, from tech and retail to finance and automotive, showing how companies are positioning themselves amid economic shifts. The market’s response to these changes will likely influence broader trends in the coming months, especially as companies navigate economic uncertainty and evolving consumer behavior.

Also Read: Nvidia’s Earnings Outlook Lifted by Expanding Global AI Infrastructure Spending