US stock futures witnessed a notable climb on Thursday as investors delved into Nvidia's (NVDA) earnings and revenue forecast. This provided valuable insights into the prospects of AI-fueled growth. Simultaneously, bitcoin (BTC-USD) reached yet another record high, captivating the attention of investors.

Unraveling the Dynamics of US Stocks and Bitcoin

US Stock Futures: A Closer Look

Dow Jones Industrial Average futures (YM=F) led the gains, surging by 0.5%. S&P 500 futures (ES=F) also added 0.5%, while contracts on the tech-heavy Nasdaq 100 (NQ=F) put on 0.5%, following a relatively muted day for the major gauges. Nvidia's performance in the third quarter was remarkable as it beat on profit. However, the chipmaker forecast its slowest revenue growth in seven quarters due to supply chain issues. The company stated that these constraints would limit the deliveries of the new flagship Blackwell chip but would lead to demand outstripping supply into 2026. Some analysts suggested that this indicates a revenue boost that is merely being postponed until the issues ease, considering the scarcity of significant competitors in AI chip making. Nvidia shares managed to recover their pre-market losses as investors engaged in discussions about the future of the AI boom.

Nvidia's Earnings and Margins

Nvidia's earnings last night put some pressure on the stock in the pre-market. Although Jensen didn't exceed everyone's expectations with quarterly revenue guidance, it was still impressive. It just didn't reach the very high end of some very optimistic street estimates. An important point circulating this morning is about Nvidia's margins. During the ramp-up period of its latest AI chip Blackwell, costs tend to increase, and profit margins may not be at their peak levels. Keybanc analyst John Vinh noted that Nvidia mentioned being supply constrained on Blackwell in the fiscal fourth quarter. Given the ramp-up of multiple platforms, the company expects gross margin to temporarily be in the low 70s in the fiscal first quarter of 2026 before returning to the mid-70s in the second half.

Weekly Jobless Claims and the Fed

Weekly jobless claims released on Thursday morning came in at 213,000, a decline from the prior week's upwardly revised 219,000. Investors used this labor market data to assess the Federal Reserve's appetite for interest-rate cuts. Traders are now pricing in a 44% chance of the Fed holding pat at its December meeting, up from about 28% a week ago, according to the CME FedWatch tool.

Bitcoin's Record High and Trump's Impact

Bitcoin climbed to a fresh all-time high above $98,000. The biggest cryptocurrency is approaching the key $100,000 milestone amid reports that Trump's team is debating whether to appoint a White House crypto policy chief. This has added to the excitement around bitcoin and its potential connection to the incoming administration.

Target's Stock After Earnings

The Target (TGT) ticker page on Yahoo Finance continues to attract strong interest after the stock's 21.9% post-earnings drubbing on Wednesday. Shares are showing a slight increase in the pre-market. Target's results were disappointing, with the stock likely to remain under pressure until it can deliver at least two quarters of healthy earnings beats backed by stronger sales. Deutsche Bank analyst Krisztina Katai summarized the issues well, stating that the results indicate a significant deterioration in market share, primarily towards Walmart (WMT) and Amazon (AMZN). Coupled with the necessary investments in infrastructure and supply chain modernization to remain competitive, it suggests a longer recovery timeline than initially projected. While the long-term potential of Target remains, regaining lost market share will likely require substantial price investments and stepped-up promotions, which will pressure margins and profitability.