【US Pre-Market】Chip Stocks Rebound as Micron, AMD Rise Over 8% and SanDisk Jumps Over 12% Ahead of October Nonfarm Payrolls

TradingKey - On November 6, Eastern Time, the three major U.S. stock index futures were mixed. As of press time, Nasdaq 100 Index futures rose about 1.36%, S&P 500 Index futures gained about 0.19%, and Dow futures fell 1%.

[Source: Investing]

A day earlier, AI and semiconductor stocks faced heavy selling, with the Nasdaq Composite Index tumbling 5.5%, the S&P 500 falling 4.4%, and the Dow dropping 3.4%. Among them, the S&P 500 recorded its largest single-day decline since April 2025, and the Nasdaq entered technical correction territory.

In commodities, as of press time, gold (XAUUSD) was trading near $4,067 per ounce. International oil prices fluctuated slightly, with Brent crude (UKOIL) now at $97.5 per barrel; WTI crude (USOIL) stood at $90.3 per barrel; the market continued to monitor the situation in the Middle East and energy supply risks.

Bitcoin (BTCUSD) was trading near $76,174; the 10-year U.S. Treasury yield held near 4.9%. Meanwhile, investors awaited the U.S. October nonfarm payrolls report to assess changes in the labor market and the Federal Reserve's subsequent interest rate policy.

Market Movers

Nvidia (NVDA), AMD (AMD), and memory chip stocks rebounded in pre-market trading, paring some losses.

In pre-market trading on November 6 ET, Nvidia rose more than 3%, AMD gained nearly 8%, Micron (MU) climbed over 8%, and SanDisk (SNDK) jumped more than 12%.

A day earlier, Nvidia fell about 9.3%, AMD dropped roughly 17.3%, Micron slid about 17.5%, and SanDisk plunged around 22%. While semiconductor stocks rebounded following the steep decline, concerns over AI capital expenditures, data center buildouts, and returns on investment have yet to be dispelled.

Cloudflare (NET) surged over 20% in pre-market trading, with third-quarter revenue rising 39%.

Cloudflare's third-quarter revenue grew 39% year-over-year to $782.5 million, and adjusted earnings per share reached $0.38, both topping market expectations. The company also raised its full-year guidance, projecting 2026 revenue of approximately $2.96 billion. Growing enterprise demand for cybersecurity, edge computing, and AI networking services drove the stock higher following the earnings release, with pre-market gains expanding further.

IREN (IREN) jumped over 19% in pre-market trading, with AI cloud revenue up 182% quarter-over-quarter.

IREN reported its first-quarter fiscal 2027 results, with AI cloud revenue soaring 182% quarter-over-quarter to $200 million and total revenue reaching $228 million. However, the company delayed its target of achieving $4 billion in annualized run-rate revenue to January–February 2027, citing Microsoft's request to adjust data center network equipment configurations, which affected project commissioning progress. The coexistence of AI business growth and delivery delays remains an area of concern for investors.

Airbnb (ABNB) gained over 12% in pre-market trading on stronger-than-expected third-quarter demand.

Airbnb delivered improved third-quarter results and fourth-quarter outlook, prompting the company to raise its forward expectations. The market focused on travel booking demand, average daily rates, and fourth-quarter booking trends. The earnings results drove the stock up approximately 11.9% in pre-market trading.

DraftKings (DKNG) tumbled over 20% in pre-market trading after lowering its full-year revenue guidance.

DraftKings posted third-quarter revenue of approximately $1.33 billion, missing market expectations of $1.39 billion, while its loss of $0.94 per share was also wider than analysts had anticipated. The company lowered its full-year 2026 revenue guidance from $6.7 billion to $6.45 billion, largely due to increased investments in its prediction market business and other factors. The earnings miss and guidance downgrade weighed on the stock.

Atlassian (TEAM) dropped over 18% in pre-market trading as full-year revenue growth was projected to slow.

Atlassian's third-quarter revenue grew 24% year-over-year to $1.77 billion, but the company expects full-year revenue growth to slow to approximately 13.75%, down from 26% in the prior fiscal year. In addition, revenue from its Data Center business is projected to decline about 16% as the company pushes customers to migrate to cloud services. Market concerns over slowing future growth pressured the stock following the earnings report.

Market News

The U.S. October nonfarm payrolls report is due tonight, with markets expecting an increase of 65,000 jobs.

The U.S. Bureau of Labor Statistics will release the October nonfarm payrolls report on November 6 at 8:30 a.m. Eastern Time. Markets project nonfarm payrolls to increase by approximately 65,000, up from 29,000 in September; the unemployment rate is expected to hold steady at 4.2%, with average hourly earnings projected to rise 0.3% month-over-month.

Job growth in September came in well below expectations, and figures for the prior two months were revised downward by a combined 60,000. This report will help investors gauge whether the labor market is stabilizing. If both job growth and wage gains exceed expectations, it could add to inflationary pressures; if hiring continues to slow, it could deepen market concerns over economic growth.

Democrats plan to intensify investigations into major corporations, with Apple, Meta, and Musk-led companies potentially targeted.

According to a November 5 report by The Washington Sun, senior congressional Democrats are reviewing a 181-page document drafted by the think tank Groundwork Collaborative. The document lists hundreds of companies and executives, recommending that Democrats step up corporate investigations after taking control of Congress in 2027, spanning sectors such as tech giants, AI firms, and energy companies.

The Washington Post further reported on November 6 that Apple (AAPL), Meta (META), and Musk-owned companies could become early targets of investigations, covering government contracts, data centers, and corporate ties with the government.

However, the document remains a set of policy recommendations rather than an officially confirmed investigation list for Democrats. Representative Jamie Raskin, the top Democrat on the House Judiciary Committee, also stated that no investigations are currently underway targeting specific companies.

Musk plans to phase out Cybertruck production in Texas by mid-2027 to expand Cybercab capacity.

Musk stated on X on November 6 that Tesla (TSLA) plans to phase out Cybertruck production at its Texas Gigafactory around mid-2027 to free up capacity for the Cybercab.

It remains unclear whether Cybertruck production will be shifted to another factory or permanently discontinued. The adjustment reflects Tesla's reallocation of more manufacturing resources toward its robotaxi business.

Going forward, investors should monitor the pace of Cybercab mass production and the impact of the capacity reallocation on Cybertruck sales and revenue.

Texas governor-elect expresses willingness to work with Musk, but calls for an initial pause on data center construction.

In an interview with CNN on November 5, Texas Governor-elect Gina Hinojosa expressed a willingness to collaborate with Musk and his companies, but insisted that they comply with the incoming administration's policies. She also advocated pausing new data center construction until measures are enacted to protect residents' interests.

Hinojosa focuses heavily on the impact of data centers on power supply, residential electricity rates, and water resources. Texas is a key hub for data center development in the U.S., and related policies could affect AI infrastructure expansion by SpaceX, Tesla, and other tech companies. However, she will not take office until January 2027, and specific policies remain to be finalized.

Apple completes $7.5 billion bond offering, drawing $31 billion in investor orders.

Apple (AAPL) completed a $7.5 billion investment-grade U.S. dollar bond offering, with peak investor demand reaching $31 billion, about 4.1 times the issue size. The offering was split across seven tranches, comprising both floating- and fixed-rate bonds.

Proceeds will be used for general corporate purposes, including share repurchases and debt repayment, without being specifically earmarked for AI capital expenditures. The high subscription level indicates that investor demand for Apple bonds remains strong.

Key Events Preview