S&P 500 and Nasdaq Futures Gain, Bitcoin Rebounds: Markets Wrap

(Bloomberg) — US equity-index futures advanced along with technology shares in Asia as investors looked ahead to earnings from AI bellwether Nvidia Corp. and US economic data to set the tone for markets this week.

After a lackluster Friday, risk appetite perked up as S&P 500 contracts gained 0.4% and Nasdaq 100 futures rose 0.6%. Samsung Electronics Co. and SK Hynix Inc. were among the gainers after pledging more investment in South Korea. Sentiment also brightened among cryptocurrencies, with Bitcoin climbing 1.7%, after earlier wiping out its gains for the year.

Contracts indicated a tepid open for European shares after Asian equities retreated 0.2%. Japanese gauges fell after the economy contracted for the first time in six quarters, while tourism and retail-related stocks slumped as tensions with China escalated.

After weeks of data blackout, investors are set to receive long-awaited readings on the strength of the US economy as government agencies resume releasing key indicators, including employment figures. The data will provide valuable insight into the Federal Reserve’s policy trajectory, giving investors a fresh perspective even as enthusiasm for AI-linked equities continues to underpin broader market strength.

“I do believe that the Fed still has the potential to cut in December, but that brings volatility,” said Adrian Zuercher, co-head of Global Asset Allocation at UBS Global Wealth Management, in a Bloomberg TV interview. “But overall, I do think markets are quite healthy and could actually go further up from here.”

The lofty AI valuations face a crucial test this week as investors look into Nvidia’s earnings on Wednesday to assess whether its soaring price tag is sustainable. The company’s stock has surged 42% this year, eclipsing returns in the S&P 500 and Nasdaq 100 indexes.

The US benchmarks have jumped since their April slump. But those gains have been confined to fewer shares as sentiment and technical indicators showed signs of overheating, leading Wall Street chiefs to note the possibility of a retreat as a healthy development.

“Tech will be a rollercoaster for a while, rocking between bulls and bears,” said Xin-Yao Ng, a fund manager at Aberdeen Investments. Technology stocks and those related to AI are likely to continue to give an optimistic outlook in terms of forward guidance, he said.

In other corners of the market, gold extended its drop to a third day, while a gauge of the dollar edged up. Treasuries were steady as investors gear up for the release of economic data that will provide clues on the Fed’s outlook for rates.

A slew of Fed officials has expressed skepticism over the need for a cut in December, or outright opposed one, less than a month after Chair Jerome Powell warned that a December cut is far from a “foregone conclusion.”

The Fed will also release minutes from its Oct. 28-29 meeting, shedding light on an unusual split among policymakers after the FOMC cut rates by a quarter-point. Last week, traders pushed the odds of a quarter-point rate cut in December below 50% as some Fed officials indicated that such a move is far from a sure thing.

What Bloomberg strategists say…

AI bubble concerns will remain to the fore at least until Nvidia releases earnings on Wednesday after the US close. That will add to volatility along with the partial data deluge expected now that the US government shutdown is over.

— Garfield Reynolds, MLIV Team Leader. For full analysis, click here.

Separately, New York Federal Reserve President John Williams met with primary dealers from Wall Street banks to discuss a short-term lending facility which allows eligible institutions to borrow cash in exchange for Treasury and agency debt.

Attention is also on the cryptocurrency market. Just a little more than a month after reaching an all-time high, Bitcoin erased the more than 30% gain registered since the start of the year as exuberance over the pro-crypto stance of the Trump administration fades. The token traded around $95,000 on Monday.

Among commodities, oil dropped following signs that activity had resumed at the key Russian port of Novorossiysk on the Black Sea, after a Ukrainian strike last week led to some damage and a suspension of operations.

Also, President Donald Trump said a proposed Senate legislation to sanction countries conducting business with Russia would be “okay with me,” his strongest indication yet that he would support a months-long push to strangle Moscow’s funding.

Corporate News:

US airlines will be able to resume normal operations starting Monday after more than a week of government-mandated flight reductions. Samsung Group and SK Group were among four of South Korea’s biggest companies that pledged to invest about $550 billion in the country after meeting with President Lee Jae Myung. A White House national security memo claimed Alibaba Group Holding Ltd. provided the Chinese military with technology support against targets in the US, the Financial Times reported. Boeing Co. said it will ensure its factories are ready to absorb a higher rate of aircraft output before lifting the tempo again next year. Airbus SE stands to secure an early strategic win at the Dubai Air Show, with a large order that long looked safe to land predominantly with rival Boeing now swinging in the European planemaker’s favor. Nomura Holdings Inc. is investigating its India fixed-income business, asking senior officials in its rates division to determine whether profits were inflated in recent years, according to people familiar with the matter. Some of the main moves in markets:

Stocks

S&P 500 futures rose 0.4% as of 6:52 a.m. London time Nasdaq 100 futures rose 0.6% The MSCI Asia Pacific Index fell 0.2% Hong Kong’s Hang Seng fell 1% The Shanghai Composite fell 0.5% Euro Stoxx 50 futures fell 0.1% Currencies

The Bloomberg Dollar Spot Index was little changed The euro fell 0.1% to $1.1607 The Japanese yen was little changed at 154.65 per dollar The offshore yuan was little changed at 7.1049 per dollar The British pound fell 0.2% to $1.3150 Cryptocurrencies

Bitcoin rose 1.7% to $95,040.11 Ether rose 3.8% to $3,189.4 Bonds

The yield on 10-year Treasuries declined one basis point to 4.13% Japan’s 10-year yield advanced two basis points to 1.725% Australia’s 10-year yield advanced four basis points to 4.48% Commodities

Spot gold fell 0.4% to $4,066.79 an ounce West Texas Intermediate crude fell 1.2% to $59.39 a barrel This story was produced with the assistance of Bloomberg Automation.

–With assistance from Abhishek Vishnoi, Winnie Hsu and Masaki Kondo.

©2025 Bloomberg L.P.