Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., November 19, 2025. REUTERS/Brendan McDermid

By Shashwat Chauhan and Twesha Dikshit

(Reuters) -Wall Street's main indexes advanced on Thursday, with technology stocks getting a boost after Nvidia's stellar results quelled some concerns around an AI bubble, while a firm September jobs report showed signs of a resilient economy.

Nvidia gained 3.6% after the world's most valuable company forecast sales above analysts' estimates for the final three months of the year and surpassed expectations for third-quarter revenue.

CEO Jensen Huang shrugged off concerns about AI on a call with analysts, saying, "We see something very different."

A year-long rally in high-flying technology stocks had begun to lose some steam as investors became increasingly cautious of a potential AI bubble.

Concerns about monetization prospects over the technology, circular spending within the sector and debt issuance have weighed on markets with the Nasdaq sharply off its October high and Nvidia down nearly 9% from its peak.

Including Thursday's moves, the S&P 500 had fallen close to 3% so far in November, while the Nasdaq had lost nearly 5%.

At 9:35 a.m. ET, the Dow Jones Industrial Average rose 584.96 points, or 1.27%, the S&P 500 gained 108.33 points, or 1.63% and the Nasdaq Composite up 492.27 points, or 2.18%.

Most megacap and growth stocks advanced, with Alphabet up 3.2% and Meta gaining 2.1%.

The S&P 500 tech index led gains among the 11 S&P sub-sectors and the Philadelphia SE Semiconductor index added 2.8%, with Advanced Micro Devices, Broadcom and other chip-related stocks jumping.

Walmart jumped 3.5% after the retailer raised its annual forecast for the second time this year and also set a December date to change its stock listing to the Nasdaq from the NYSE.

Meanwhile, data showed U.S. job growth accelerated in September, but the unemployment rate rose to 4.4%, suggesting labor market conditions remained sluggish.

"Today’s payrolls release is being viewed as a 'good news is good news' dynamic for equities," said Jeff Schulze, head of economic and market strategy at ClearBridge Investments.

"(The) data does not show downside risks to labor materializing while keeping the prospect for further rate cuts alive."

Traders continued to bet that the Fed will skip an interest rate cut in December, though there was a small pull-back in those bets after the release of the data.

The U.S. Bureau of Labor Statistics said on Wednesday it would not be publishing its October report, but would combine nonfarm payrolls for that month with November's report after the recently ended government shutdown prevented the collection of data for the household survey.

Also on Thursday, data showed the number of Americans filing new applications for unemployment benefits fell last week.

At least five Fed officials are set to speak throughout the day.

Among other stocks, Palo Alto Networks dropped 0.8% as the cybersecurity firm said it would buy cloud management and monitoring company Chronosphere for $3.35 billion.

Advancing issues outnumbered decliners by a 6.85-to-1 ratio on the NYSE and by a 5.85-to-1 ratio on the Nasdaq.

The S&P 500 posted six new 52-week highs and three new lows, while the Nasdaq Composite recorded 37 new highs and 37 new lows.

(Reporting by Shashwat Chauhan and Twesha Dikshit in Bengaluru; Editing by Anil D'Silva, Krishna Chandra Eluri and Maju Samuel)