By Rian Howlett
Publication Date: 2025-11-19 14:35:00
Stocks moved higher on Wednesday to recover from a tech-led sell-off as investors awaited earnings from Nvidia (NVDA) that will set the tone for the next leg of the AI trade.
The Nasdaq Composite (^IXIC) climbed 1.4%, while the S&P 500 (^GSPC) put on nearly 0.9%. The Dow Jones Industrial Average (^DJI), which includes fewer tech names, added 0.2%. The moves came on the heels of run of sharp losses for stocks.
Investors are bracing for Nvidia’s third-quarter earnings due after Wednesday’s close, which are expected to swing the stock up to 7% in either direction. More broadly, the chipmaking giant’s results could prove a make-or-break moment for this year’s strong S&P 500 (^GSPC) rally, which has been spurred by optimism for AI-fueled growth.
Concerns about Big Tech’s massive spending on the AI buildout have fed into multiday declines, as high-profile investors offload holdings. Unease is growing that the likes of Amazon (AMZN) are stepping up their borrowing to fund AI ambitions just as the Federal Reserve looks set to put the brakes on interest rate cuts.
Given that, Fed minutes set for release later will be put under the microscope for insight into the economy and future policy. While that meeting delivered a rate cut despite division at the Fed, traders are now evenly split on whether the central bank will ease again in December.
That view could shift on Thursday, when the market gets the September jobs report — the first major data release…
