Stock futures surge after key AI stocks plunge on valuation concerns: Live updates
A trader works during the Evommune Inc. initial public offering (IPO) at the New York Stock Exchange (NYSE) in New York, US, on Thursday, Nov. 6, 2025.
Michael Nagle| Bloomberg | Getty Images
Stock futures experienced a modest rebound on Thursday night, following a market downturn in major tech stocks. The Dow Jones Industrial Average futures added 95 points, or approximately 0.2%, while S&P and Nasdaq 100 futures each rose by about 0.3%.
Key artificial intelligence leaders faced a downturn on Thursday, with companies like Nvidia, Advanced Micro Devices, Tesla, and Microsoft witnessing significant declines, impacting the broader market. The market's decline was further exacerbated by data indicating a surge in job cuts for October, marking the highest level in over two decades, making 2025 the worst year for layoffs since 2009.
In the previous trading session, major U.S. stock averages closed lower, with the tech-heavy Nasdaq Composite dropping 1.9% and the 30-stock Dow Jones Industrial Average closing down by nearly 400 points.
This week, all three benchmark indices have turned negative, with losses occurring intermittently since Tuesday when major AI stocks declined due to concerns about elevated tech sector valuations, contributing to a highly concentrated market. The S&P 500 has dropped 1.8% week-to-date, while the 30-stock Dow Jones Industrial Average and Nasdaq have lost nearly 1.4% and 2.8%, respectively.
Despite the current market challenges, some investors remain optimistic that the end of the U.S. government shutdown and a potential December interest rate cut from the Federal Reserve could provide relief for U.S. stocks. Investors are also closely monitoring the Supreme Court's skepticism about the legality of President Donald Trump's tariffs and the progress of third-quarter corporate earnings.
Louis Navellier, founder and chief investment officer at Navellier & Associates, expressed hope for a year-end rally once the government shutdown ends and the tariff situation is resolved. He noted that the upcoming Nvidia earnings in two weeks could be a catalyst for reaffirming the AI narrative. If this is followed by a December Fed cut, it could lead to a positive year-end outcome.
Navellier also emphasized that corrections with these levels of gains are normal and expected, rather than a cause for panic.
The Bureau of Labor Statistics was scheduled to release the nonfarm payrolls report on Friday, but due to the government shutdown, it was unable to do so for the second consecutive month. Economists had anticipated a decline of 60,000 jobs and an increase in the unemployment rate to 4.5%.
3 Min Ago
Tesla shareholders approve Musk's $1 trillion pay plan
Tesla announced that shareholders voted in favor of CEO Elon Musk's nearly $1 trillion pay plan, with 75% support among voting shares.
The results were revealed at Tesla's annual shareholders meeting in Austin, Texas. A separate proposal for investors suggests that Tesla should be able to invest in xAI, Musk's artificial intelligence startup aimed at competing with OpenAI. Tesla confirmed that more votes were in favor than against, though the results are currently inconclusive.
Musk's pay package, already making him the world's richest person, consists of 12 tranches of shares, contingent on Tesla achieving specific milestones over the next decade. This package would also grant Musk increased voting power over the company, addressing demands he has publicly made since early 2024. His ownership would increase from approximately 13% to 25%, adding over 423 million shares to his holdings.
The first tranche of stock is payable if Tesla reaches a market capitalization of $2 trillion. Tesla's current market cap is $1.54 trillion.
Tesla stock performance over the past year.
Tesla shares were up by around 0.2% in extended trading on Thursday, and the stock has increased by 10.4% this year.
— Lora Kolodny, Pia Singh
49 Min Ago
Stocks in extended trading include Airbnb, Peloton, Take-Two Interactive
Here are the companies making headlines in after-hours trading:
- Take-Two Interactive Software — Shares of the video game developer plummeted by 7% after Rockstar Games, a subsidiary of Take-Two, announced a delay in the release of Grand Theft Auto VI from May 2026 to November 2026. This marks the second delay for the highly anticipated game.
- Airbnb — Shares of Airbnb rose by about 5% in extended trading after the company reported strong third-quarter results and guidance. Airbnb earned $2.21 per share on revenue of $4.1 billion, surpassing analysts' expectations.
- Affirm — Shares surged by over 12% in extended trading after the company exceeded expectations on both top and bottom lines, with quarterly gross merchandise volume surpassing forecasts.
- DraftKings — The sports gambling stock declined by nearly 4% due to disappointing third-quarter results, with a loss of 52 cents per share, exceeding analysts' expectations.
For the full list, visit the provided link.
— Pia Singh
1 Hour Ago
U.S. stock futures open higher
