Stock market today: AI bubble fears, rate cut probability whipsaw ‘Mag 7’ tech giants. Here’s the latest

Thursday, November 20, ended up being a bit of a whirlwind for tech investors.

The day started off on a positive note, with Nvidia’s shares (Nasdaq: NVDA) rising almost 5% thanks to a strong earnings report shared after the bell on Wednesday.

The company’s third-quarter revenue reached $57.01 billion with an adjusted earnings per share of $1.30—both exceeded Wall Street’s estimates. Nvidia also shared that it expects $65 billion in quarter-four revenue, higher than the $62 billion analysts predicted.

The other “Magnificent Seven” tech stocks—Alphabet, Amazon, Apple, Meta, Microsoft, and Tesla—rose in turn. 

But Nvidia’s success wasn’t enough to repel investors’ fears of an AI bubble or what had appeared to be an increasing unlikelihood of the Federal Reserve issuing a rate cut next month.

As the day went on, each of the seven companies, including Nvidia, saw their stocks whipsaw—as did the tech-heavy Nasdaq Composite. 

In yet another twist, hopes for that rate cut rose again on Friday, with CME Group now reporting a 70.9% likelihood of a cut.

The Nasdaq Composite had looked set to open at a 10-week low after closing at $22,078.05, though it appeared to be turning positive again as the opening bell approached on Friday.

Meanwhile, while each of the “Magnificent Seven” had lost any early-morning gains on Thursday, some appeared to be turning positive again on Friday morning.

Alphabet (GOOG) 

• Thursday high: $306.89
• Thursday low: $289.17
• Premarket low as of publishing: $287.30

Amazon (AMZN)

• Thursday high: $227.14
• Thursday low: $216.74
• Premarket low as of publishing: $216.01

Apple

• Thursday high: $275.43
• Thursday low: $265.92
• Premarket low as of publishing: $264.26

Meta (META)

• Thursday high: $606.72
• Thursday low: $583.35
• Premarket low: $580.33

Microsoft (MSFT)

• Thursday high: $493.57
• Thursday low: $475.50
• Premarket low as of publishing: $474.32

Nvidia (NVDA)

• Thursday high: $196
• Thursday low: $179.85
• Premarket low as of publishing: $174.42

Tesla (TSLA)

• Thursday high: $428.94
• Thursday low: $394.74
• Premarket low as of publishing: $392.90

Tech stocks have suffered in recent weeks amidst growing concerns that AI companies have overinflated values. Then, yesterday also saw the release of the September jobs report, after the government shutdown delayed it. 

There were 119,000 new positions added, a significant increase from the 50,000 jobs predicted, according to consensus estimates cited by The Wall Street Journal. Yet unemployment rose to 4.4% in an unpredicted shift. 

This story is developing…

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