U.S. stock index futures indicated a strong opening on Thursday, suggesting a favorable beginning for Wall Street after a turbulent yet mostly positive trading day on Wednesday.
Investor confidence is increasing due to the robust performance in the artificial intelligence sector. Taiwan Semiconductor (NYSE:TSM) rose 2.3% in pre-market activity following third-quarter results that exceeded forecasts, driven by growing demand for AI chips.
A major supplier for Nvidia (NASDAQ:NVDA) also increased its annual revenue forecast and confirmed its intention to invest up to $42 billion in capital expenditures this year. This news led to pre-market increases in other AI-related stocks, such as Nvidia and Broadcom (NASDAQ:AVGO).
Salesforce (NYSE:CRM) was one of the first to act, rising 6.5% before the market opened following the software firm's forecast of exceeding $60 billion in revenue by 2030, which exceeded analyst expectations and boosted confidence in future expansion.
The trading session on Wednesday experienced significant intra-day fluctuations, similar to the movements observed earlier in the week. The major indices fluctuated near the flat line throughout the day before finishing with mixed results. The Dow Jones Industrial Average declined by 17.15 points, or less than 0.1%, to 46,253.31. The S&P 500 increased by 26.75 points, or 0.4%, to 6,671.06, while the Nasdaq Composite rose by 148.38 points, or 0.7%, to 22,679.08.
The erratic movement showed a market weighing strong earnings reports against worries about U.S.-China trade issues and high stock prices.
Financial sector stocks provided support to the overall market. Morgan Stanley (NYSE:MS) surged 4.7% to a new closing high following better-than-anticipated third-quarter performance. Bank of America (NYSE:BAS) increased by 4.4% as its earnings and revenue exceeded expectations.
Semiconductor equipment manufacturer ASML (NASDAQ:ASML) also saw increases, as investors overlooked its mixed quarterly results and instead concentrated on the company's positive forecast for 2026 sales, which it anticipates will exceed 2025 figures.
Traders were also keeping an eye on possible statements from Donald Trump about U.S.-China trade policy — a major influence on recent changes in market sentiment.
On the economic side, the Federal Reserve Bank of New York noted a significant shift in manufacturing activity this month. Its overall business conditions index increased to 10.7 in October, compared to -8.7 in September, much higher than economists had predicted at -1.8.
In addition, the Federal Reserve's Beige Book revealed that general economic activity in the United States has stayed mostly stable since early September, with three regions noting slight growth, five experiencing no change, and four indicating a minor decline.
Commodity and technology stocks drove gains across sectors. Gold mining companies surged as the precious metal hit record levels, causing the NYSE Arca Gold Bugs Index to rise 4.1% to a new closing high. Technology stocks also increased, with the NYSE Arca Computer Hardware Index rising 4.0% and the Philadelphia Semiconductor Index moving up 3.0%.
Strength was also present in commercial real estate, oil services, and biotechnology, indicating widespread purchasing activity as the trading day approached.
Taiwan Semiconductor stock price
Nvidia stock price
Broadcom stock price
Salesforce stock price
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