Nasdaq Rebounds as CoreWeave Jumps 26%: What Drove the AI Rally
The Nasdaq and S&P 500 jumped on Wednesday as CoreWeave's earnings beat revived the AI trade, with Nvidia rebounding nearly 5% after losing 10% in two sessions.
Image: Wikimedia Commons / Ken Lund, CC BY-SA 2.0
NEW YORK, Nov. 11, 2026 — The Nasdaq Composite rose 2.06 percent to close at 25,583.42 and the S&P 500 gained 1.4 percent to 7,626.55 on Wednesday, as an earnings report from CoreWeave revived buying in artificial intelligence stocks a day after hot inflation data sent Wall Street lower.
The rebound came one session after all three major indexes fell on Tuesday, when the U.S. Labor Department reported consumer prices rose 0.4 percent in October, above the 0.3 percent expected. The Dow added 0.2 percent to close at 52,337.86, while the bond market stayed closed for Veterans Day, leaving the 10-year Treasury yield frozen near 5 percent.
Key Takeaways
- The Nasdaq rose 2.06 percent to 25,583.42 and the S&P 500 gained 1.4 percent to 7,626.55; the Dow added 0.2 percent to 52,337.86.
- CoreWeave jumped about 26 percent after third-quarter revenue of $3.66 billion beat the $3.55 billion expected; guidance rose to $13.0 billion to $13.3 billion.
- Nvidia rebounded nearly 5 percent after a two-session slide of almost 10 percent; traders price an 86 percent chance of a December Fed rise.
Why CoreWeave Stock Surged 26% After Its Earnings Beat
CoreWeave, which rents access to Nvidia-powered servers to AI developers, reported third-quarter revenue of $3.66 billion, up from $1.37 billion a year earlier and above its August forecast of $3.45 billion to $3.60 billion. Adjusted operating income of $379 million beat the $200 million to $260 million range guided in August, and the backlog hit $132.5 billion, up 138 percent from a year earlier.
CoreWeave had become the test case for the AI infrastructure trade, with shares down more than 40 percent in a month. Chief executive Michael Intrator said the company expects about $9 billion in customer prepayments over the next three months and does not plan to tap the unsecured debt market at current yields through 2027. The net loss widened to $709 million and interest expense hit $846 million. Banks have grown wary of lending into the AI debt boom.
How Nvidia, Intel and Micron Shares Rebounded on Wednesday
Nvidia rose nearly 5 percent to about $177 after falling almost 10 percent in two sessions. The slide followed news that Nvidia's board is investigating chief executive Jensen Huang over an alleged relationship with a Chinese spy. Nvidia also moved back ahead of Microsoft as the world's second-most valuable company. Microsoft had overtaken Nvidia for the second spot earlier in the week.
The rally ran through the whole chip supply chain. The Philadelphia Semiconductor Index rose more than 3 percent and the iShares Semiconductor ETF climbed 8 percent. Intel rose 9 percent to $63.65, Micron gained about 12 percent and Marvell jumped 12 percent. Memory stocks ran hardest: SK Hynix rose about 12 percent and SanDisk jumped 16 percent, while Dell rose 14 percent.
| Stock | Wednesday move | What drove it |
|---|---|---|
| CoreWeave (CRWV) | Up about 26% | Revenue beat, guidance raised |
| Nvidia (NVDA) | Up nearly 5% | Rebound after 10% slide |
| Intel (INTC) | Up 9% | Chip rally |
What the Nasdaq Rally Means for the December Fed Rate Decision
The rally came against a hawkish rates backdrop. Tuesday's consumer price report showed a third straight monthly gain of 0.4 percent or more. Fed Governor Christopher Waller has backed a December rise in short-term borrowing costs, and traders put the chance of a 25-basis-point rise at about 86 percent, per CME Group's FedWatch tool.
With the bond market closed for Veterans Day, the 10-year yield was frozen near 4.98 percent. Oil rose, with West Texas Intermediate up 1.1 percent at about $87 a barrel, while gold slipped to about $4,010 an ounce.
Frequently Asked Questions
Why did the Nasdaq rise on Wednesday, November 11, 2026?
The Nasdaq rose 2.06 percent to close at 25,583.42 as CoreWeave's earnings beat revived buying across AI stocks.
How much did CoreWeave stock rise after its Q3 earnings?
CoreWeave rose about 26 percent in Wednesday trading, after gaining about 5 percent in after-hours trading on Tuesday.
Did Nvidia stock recover on Wednesday after its two-day slide?
Yes. Nvidia rose nearly 5 percent after falling almost 10 percent over the previous two sessions on news of a board investigation into chief executive Jensen Huang.
What is the Federal Reserve expected to do at its December meeting?
Traders price about an 86 percent chance of a 25-basis-point rise at the December 8-9 meeting, per CME Group's FedWatch tool.
The next data point comes Thursday, with weekly jobless claims; the next big test is November 17, when Nvidia reports results.
