The U.S. stock market experienced a significant upswing in midday trading on Thursday, November 20, 2025, largely propelled by a stellar earnings report from artificial intelligence (AI) chip giant Nvidia (NVDA). The positive sentiment surrounding Nvidia's performance helped to alleviate lingering concerns about a potential AI bubble, driving major indexes higher despite mixed economic data.
Major Market Indexes Reflect Strong Momentum
All three major U.S. stock indexes opened and continued to trade firmly in the green throughout midday. The S&P 500 Index was up by approximately 1.74%, rising to 6761 points, a gain of 1.78% from the previous session. The tech-heavy Nasdaq Composite Index, heavily influenced by Nvidia's surge, climbed by 2.2%, while the Dow Jones Industrial Average added over 500 points, rising 1.3%. Early trading saw the Nasdaq open 2.07% higher at 23,026, the S&P 500 rise 1.59% to 6,751.39, and the Dow Jones increase 1.08% to 46,636.80. These gains were somewhat pared by midday, with the S&P 500 up about 0.3%, the Dow Jones Industrial Average up 0.3%, and the Nasdaq Composite 0.4% higher around 11:45 a.m. Eastern time, indicating some volatility after the initial surge.
The market's robust performance today follows a period of uncertainty, with the Dow and S&P 500 having snapped four-session losing streaks yesterday, and the Nasdaq ending higher for the first time this week. This rebound suggests a renewed confidence among investors, particularly in the technology sector.
Upcoming Market Events and Economic Data
Investors are actively digesting several key economic data points and looking ahead to future events. Today saw the release of the delayed September nonfarm payrolls report, which showed the U.S. added 119,000 jobs, more than double the expected amount of 50,000. This report, originally scheduled for release on October 3rd but delayed due to a 43-day U.S. government shutdown, provided a clearer picture of the labor market's health. However, the unemployment rate unexpectedly increased to 4.4% from 4.3%, marking its highest level in four years, and wage growth was softer than anticipated at 0.2% month-on-month. This mixed data complicates the Federal Reserve's outlook ahead of its December rate decision.
The minutes from the Federal Reserve's October meeting, also released recently, revealed "strongly differing views" about the committee's policy decision in December, with many officials suggesting no more interest rate cuts are needed this year. The November nonfarm payrolls reading is now scheduled for December 16th, which will be after the Fed's final decision of the year on December 10th. This reduced data availability before the Fed meeting could make a decision to hold rates more likely.
Major Stock News and Corporate Announcements
The most significant news driving today's market rally came from Nvidia (NVDA). The company reported blockbuster third-quarter fiscal 2026 results that far exceeded Wall Street's expectations, with revenue reaching $57 billion, a 62% increase from the previous year. Furthermore, Nvidia issued a strong forecast for fourth-quarter sales, projecting $65 billion, and stated that demand for its Blackwell AI chips is "off the charts". This impressive performance and optimistic outlook have largely soothed investor fears regarding an "AI bubble". Nvidia's stock surged nearly 5% in early trading and continued to trade higher, reaching approximately $195.62 with a market capitalization around $4.60 trillion.
Other AI-related chipmakers also benefited from Nvidia's positive news. Advanced Micro Devices (AMD) and Broadcom (AVGO) were up 4.5% and 2.9% respectively in premarket trading, with Intel (INTC) and Micron Technology (MU) also seeing gains. The "Magnificent Seven" large-cap technology companies, including Apple (AAPL), Microsoft (MSFT), Alphabet (GOOGL), Amazon (AMZN), Meta Platforms (META), and Tesla (TSLA), mostly advanced as well.
In other significant corporate news, Walmart (WMT) delivered strong third-quarter results that topped Wall Street's estimates and subsequently raised its fiscal 2026 outlook. The world's largest retailer's comparable sales rose by 4.2%, and e-commerce sales jumped 27%. Walmart shares jumped more than 6% on the news. Additionally, Walmart announced a notable shift in its stock listing, moving from the New York Stock Exchange (NYSE) to the Nasdaq, though it will retain its current ticker symbol (WMT).
Conversely, Palo Alto Networks (PANW) saw its stock slip after reporting a mixed outlook and announcing the acquisition of Chronosphere for $3.35 billion. Another company facing headwinds was Bath & Body Works, whose shares plummeted 17% after missing analysts' estimates and cutting its full-year outlook.
Overall, Thursday's midday trading session demonstrates a market invigorated by strong corporate earnings, particularly from the AI sector, even as investors continue to navigate a complex economic landscape with mixed jobs data and ongoing discussions from the Federal Reserve. The momentum suggests a resilient market, with technology and retail sectors showing particular strength.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.