Wall Street futures rose on concerns over Nvidia's upcoming earnings, although major market data earlier weighed on the market in the trading session.
The S&P 500 index rose 0.2% to 6,702.75 points, the Dow Jones rose 0.1% to 46,724.0 points, while the technology-focused Nasdaq rose 0.2% to 24,924.0 points.
The market's rise was supported by Federal Reserve (Fed) Governor Christopher Waller who called for more interest rate cuts to stimulate the labor market, although the market still expects interest rates to be kept on hold in December.
He said the central bank needs to cut interest rates to avoid a downturn in the sector.
All three major Wall Street indexes closed lower yesterday as investors dumped large-cap technology stocks ahead of NVIDIA Corporation's quarterly earnings report scheduled for release on Wednesday.
Nvidia shares fell nearly 1.9%, extending recent losses as investors took profits.
The company has enjoyed a huge valuation boost driven by artificial intelligence (AI) over the past three years, although concerns about the sustainability of the gains have emerged in recent months.
Other tech stocks also fell on growing doubts about the long-term prospects of AI and the potential returns from the hundreds of billions of dollars invested in the sector.
Palantir Technologies Inc shares fell 1.6%, extending a nearly 10% loss over the past five days.
Alphabet Inc shares, on the other hand, jumped 3.1% after Warren Buffett revealed a $4.3 billion investment through Berkshire Hathaway.
Alphabet shares rose on expectations for the launch of Google’s AI model, Gemini 3.0, with Polymarkets predicting the launch as early as today.
This week’s focus is on key US economic data, which was previously delayed due to the government shutdown that lasted for a month.
September’s NFP jobs data is due on Thursday and will be closely watched for a clearer indication of labor market conditions.
