us stock market: US stock market closes higher after Nvidia’s AI-driven results spark strong tech rally
Nvidia said demand is strong due to heavy AI infrastructure spending, as Bloomberg noted. CEO Jensen Huang said: “Computer demand continues to grow. AI is going everywhere, doing everything at once.” Nvidia’s results raised hopes in the market after weeks of tech stock selling. David Russell noted that some investors still question whether Nvidia has reached its peak growth point.
US stock futures and tech rally
Futures rose in Australia, Hong Kong and Japan after the S&P 500 ended its four-day losing streak. The $390 billion ETF that tracks the Nasdaq 100 rose 1% in after-hours trading, showing strong optimism following Nvidia’s results. Shares of Alphabet, Meta and Amazon rose in after-market trading. “Betting against the bulls and buying the dip instinct have not been winning strategies over the last three years,” said Mark Hackett.
Dollar, Fed uncertainty and bond moves
The dollar rose as investors now expect the chances of a rate cut next month to be almost zero. That’s because the Bureau of Labor Statistics did not release its October employment report and instead the data would be added to the November numbers after the Fed’s last meeting in 2025. Minutes of the Fed’s October meeting showed that many officials think interest rates should remain steady through the rest of 2025.
According to Bloomberg’s report, the yield on US 10-year Treasury bonds increased by approximately two basis points to 4.14%. David Russell said: “Uncertainty is growing due to data loss and the uncertain impact of tariffs… These minutes are generally hawkish.” Gold rose for a second day, oil prices fell due to a rise in US inventories, and Bitcoin traded around $90,300 after a decline.
Japanese Finance Minister Satsuki Katayama said she and BOJ Governor Kazuo Ueda confirmed the need to monitor markets closely. They reaffirmed a common plan to beat deflation and support long-term growth. The yen traded above 157 per dollar.
Global market outlook and AI optimism
David Russell says there are questions about whether Nvidia has reached its peak of growth. “Despite the recent pullback in tech stocks, we expect AI-powered innovation to lift global equity markets,” Ulrike Hoffmann-Burchardi said, according to a Bloomberg report. He also said: “Continued investment in AI… and growing evidence of returns… gives us confidence in the next leg of the global equity rally.”
Key market movements (latest figures)
Hang Seng futures were little changed at 7:42 a.m. Tokyo time
S&P/ASX 200 futures up 0.6%
Bloomberg Dollar Spot Index rose 0.5 percent
Euro remains around $1.1539
Yen remains around 157.07 per dollar
Offshore yuan remains at 7.1176 per dollar
Australian dollar remains around $0.6479
Bitcoin remained around $90,430.14 and Ether fell 0.4% to $2,975.79
Australia’s 10-year yield rose 5 basis points to 4.46%
Spot gold increased by 0.3 percent to $4,077.98 per ounce
FAQ
Q1. Why did US tech stocks rise after market close?
They rose because Nvidia reported very strong earnings and gave a better-than-expected forecast.
Q2. How did Nvidia’s results affect the US stock market?
Nvidia’s strong sales outlook boosted Wall Street, aided the S&P 500’s recovery and helped push major tech stocks higher in after-hours trading.
