US stocks recovered from the previous day's steep sell-off as the ADP payrolls report showed a return to job growth in the private sector last month. Investors were also eyeing a pivotal day for President Trump's tariffs, while the federal shutdown became the longest in US history.

The S&P 500 (^GSPC) pushed up by 0.4%, and the tech-heavy Nasdaq Composite (^IXIC) rose 0.7%. The Dow Jones Industrial Average (^DJI) jumped 0.5%.

Tech (XLK) and Consumer Discretionary (XLY) stocks led the gains as shares of Tesla (TSLA) jumped ahead of the EV maker's shareholder meeting on Thursday.

Stocks made a broad recovery amid several macroeconomic storylines playing out Wednesday. First, an ADP report showed private-sector employment increased by 42,000 in October — topping expectations after two months of declines. The labor data will likely feed into the Federal Reserve's thinking amid an ongoing data blackout from the government shutdown.

The Fed's newest voting member, Stephen Miran, told Yahoo Finance on Wednesday that he favors a cut at the central bank's December meeting, even as a growing chorus of officials have suggested a potential pumping of the brakes.

Meanwhile, on the trade front, the Supreme Court heard arguments on Wednesday in a case questioning Trump's legal authority to impose his sweeping tariffs — a landmark test of presidential power. The high court's justices questioned the president's authority to levy the duties on a broad basis, leaving their fate in seeming jeopardy.

Also, the US shutdown is now the longest ever after entering its 36th day on Wednesday. Economic pain from the stoppage continues to mount, with the hit estimated at $15 billion a week, as Trump administration officials warn of potential "mass chaos" for air travelers.

Fears of a stock bubble continue to stalk markets after Tuesday's sell-off, with eyes now on Qualcomm (QCOM) for more clues to the AI trade as the chipmaker's results are slated after the market close. Elsewhere in earnings season, McDonald’s (MCD) posted a US sales beat but flagged "consumer headwinds."

Stocks jumped on Wednesday, partially recovering from losses in the prior session after better-than-expected private payroll data and questions from the Supreme Court over President Trump's tariff powers.

The S&P 500 (^GSPC) rose 0.3%, while the tech-heavy Nasdaq Composite (^IXIC) rose 0.65%. The Dow Jones Industrial Average (^DJI) increased 0.4%.

Tesla (TSLA) shares rose nearly 4% as the EV giant awaited an important shareholder vote over CEO Elon Musk's proposed compensation package.

Robinhood (HOOD) is set to report earnings after the bell on Wednesday, with Wall Street expecting blockbuster results from the trading platform that has seen its stock serve as the S&P 500's (^GSPC) top performer this year.

Analysts expect Robinhood to post adjusted earnings of $0.53 per share on $1.2 billion in revenue for the third quarter, nearly double the $637 million reported in the same period last year.

Shares of the Menlo Park, Calif.-based company have surged nearly 40% since joining the S&P 500 in September and are up 280% year to date, the best among constituents in the index. Robinhood stock was up 4% on Wednesday ahead of the announcement.

The stock's rally has been fueled by new product launches this year, ranging from tokenized stocks in Europe to prediction markets and crypto staking, as Robinhood aims to grow customer wallet share.

Read more here.

Bitcoin (BTC-USD) rebounded on Wednesday after slipping to its lowest level since June in the prior session.

The world's largest cryptocurrency climbed above $104,000, trimming losses from Tuesday when it briefly slipped below $100,000.

Investors appeared to move risk-on again as private payroll data released on Wednesday morning came in better than expected, while diffeFed governors have been making the rounds this week on the prospects of a December rate cut.

Treasurys sold off on Wednesday following some positive signals on the US economy from private payrolls data and US services PMI, and after the Treasury Department issued its quarterly refunding statement.

The 10-year yield (^TNX) climbed 6 basis points to hit 4.15%, its highest level in about a month. Meanwhile, the 30-year bond (^TYX) also rose 6 basis points to 4.73%. The 5-year yield (^FVX) reached 3.75%.

Treasury prices and yields have an inverse relationship, meaning higher yields correlate with falling bond prices.

On Wednesday, the Treasury Department said it would maintain bond sales for now but is considering increasing bond sizes in the future.

\\"Looking ahead, Treasury has begun to preliminarily consider future increases to nominal coupon and FRN auction sizes, with a focus on evaluating trends in structural demand and assessing potential costs and risks of various issuance profiles,\\" the statement read.

Several of the Supreme Court's conservative-leaning justices questioned a US government lawyer over President Trump's authority to impose tariffs on trading partners, casting early doubt over their future.

Justice Neil Gorsuch, a Trump appointee, drew the most notice for his line of questioning to US Solicitor General D. John Sauer. Gorsuch posed a hypothetical in the case of a theoretical future Democratic president.

\\"Could the president impose a 50% tariff on gas-powered cars and auto parts to deal with the unusual and extraordinary threat from abroad of climate change?\\" Gorsuch asked.

Sauer responded that it was \\"very likely.\\"

Gorsuch also questioned Sauer over the president's ultimate authority and when Congress could delegate it to the executive.

\\"What would prohibit Congress from just abdicating all responsibility to regulate foreign commerce — for that matter, declare war — to the president?\\" he asked.

Chief Justice John Roberts, along with Justices Amy Coney Barrett and Brett Kavanaugh — the latter two of whom were appointed by Trump — also at times posed skeptical questions. Kavanaugh asked why no president before Trump had invoked this authority, while Barrett questioned the across-the-board nature of the tariffs.

Prediction markets have grown much more bearish on the odds of Trump prevailing in this case.

Polymarket has odds of the Supreme Court ruling in favor at 23%, down from around 40% before the oral arguments. Odds on Kalshi took a similar dive. On PredictIt, bettors saw about 80-20 odds that the court would \\"strike down\\" the tariffs.

Newly appointed Federal Reserve governor Stephen Miran told Yahoo Finance's Jennifer Schonberger on Wednesday that continuing to cut rates at the Fed's December meeting would be \\"reasonable.\\"

Miran's comments come after Chicago Fed president Austan Goolsbee, Federal Reserve governor Lisa Cook, and San Francisco Fed president Mary Daly suggested they are undecided about whether to cut interest rates in December,.

\\"Given the state of the labor market. I think that continuing to run policy that restrictive is to also run unnecessary risks,\\" Fed governor Stephen Miran tells @jenniferisms. pic.twitter.com/EQ4QcoshJz

— Yahoo Finance (@YahooFinance) November 5, 2025

Schonberger reports:

Miran, in an interview on Yahoo Finance, cited earlier policy projections calling for three rate cuts in 2025.

\\"The natural question that would follow from that is has anything changed?\\" he said.

Acknowledging the lack of official economic data due to the government shutdown, Miran said that inflation has come in below expectations and the labor market continues to trend steadily.

The Fed voted to cut interest rates by a quarter of a percentage point last week, bringing the target range to 3.75%-4%. Miran dissented — as he also did in the September meeting — preferring a jumbo half-point cut.

His goal, he said, is to get to a neutral policy stance — a level designed to neither spur nor slow growth.

Read more here.

Rivian stock spiked more than 16% on Wednesday.

Yahoo Finance's Pras Subramanian reports:

Rivian (RIVN) stock surged after it reported third quarter results that beat estimates after the bell on Tuesday, as the pure-play electric vehicle maker navigates the loss of federal electric vehicle tax credits and builds toward its future with its midsize SUV.

For the quarter, Rivian reported revenue of $1.55 billion vs. $1.49 billion, per Bloomberg consensus estimates, representing a 78% increase compared to the same period a year ago, as a pull-forward in deliveries boosted sales.

Rivian also reported gross profit of $24 million, snapping last quarter's loss after two consecutive quarters of gross profit for the automaker.

Read the full story here.

AI chipmaker Advanced Micro Devices (AMD) saw its stock waver on Wednesday after the Nvidia rival reported third quarter earnings that topped analysts' expectations and provided a strong fourth quarter outlook.

Citi analyst Chris Danely said investors may be focused on slowing growth in its AI business, as AMD's data center segment saw revenue rise 22% in its third quarter.

That's more than the 14% revenue increase recorded by the segment in the second quarter — but far below the revenue growth of more than 50% (and in some cases, 100%) seen in the five quarters before that.

AMD sells GPUs (graphics processing units, or AI chips) that are used in data center servers to train and run AI models.

But Danely lifted his price target on shares to $260 from $215, saying he expects AMD to raise its long-term revenue guidance at its analyst day next week.

The chipmaker recently inked big deals with OpenAI and Oracle.

Read more here.

The headline S&P US Services PMI rose to 54.8 in October from 54.2 in September but was lower than the 55.2 expected, according to economists tracked by Bloomberg.

The headline Purchasing Manager's Index measures business activity in the services sector with data from over 1,300 US companies that employ the majority of American workers. A reading above 50 signals expansion in the sector, while readings below 50 signal contraction.

The latest survey noted that businesses are absorbing higher input prices to remain competitive as consumers push back on prices.

\\"While good news in terms of inflation, this lack of pricing power hints at weak underlying demand and lower profits,\\" wrote Chris Williamson, chief business economist at S&P Global Market Intelligence.

Williamson added that business expectations for the year ahead have fallen sharply due to spending caution from consumers and heightened political and economic uncertainty — partly due to tariffs.

Meanwhile, the ISM Services PMI came in at 52.4 for October, above the expected 50.8, with 11 industries reporting growth, including food services, retail, real estate, healthcare, and technology.

But ISM's report noted that employment in the services sector continues to contract. ISM's employment index for the services sector registered a reading of 48.2 in October, up from 47.2 in September.

AI server maker Supermicro (SMCI) saw its stock drop more than 7% in early trading on Wednesday after its earnings and revenue for the first quarter fell below analyst expectations.

Supermicro's adjusted earnings per share of $0.35 were lower than the $0.41 projected by analysts, according to Bloomberg consensus estimates, but an increase from $0.07 in the year-ago period.

The company — which was embroiled in controversy last year related to allegations of accounting violations — reported revenue of $5.02 billion for the period, down from $5.94 billion during the first quarter of 2024 and less than the $6.09 billion expected by analysts.

To be sure, Supermicro's quarterly revenue was in line with its own recently revised guidance.

Tuesday's report marked the sixth consecutive quarter that Supermicro's earnings and revenue have fallen short of analyst estimates, per Bloomberg data.

Read the full story here.

US stocks recovered from earlier losses in premarket trading as the ADP payrolls report showed job growth in the private sector in October.

The S&P 500 (^GSPC) and the Nasdaq Composite (^IXIC) were roughly flat at the market open as a sell-off in tech stocks eased. The Dow Jones Industrial Average (^DJI) rose 0.1%.

The market action comes as the US government shutdown enters its 36th day, making it the longest in the country's history.

Private employers added 42,000 jobs to the US economy in October, according to ADP's private payrolls report, rebounding from an upwardly revised loss of 29,000 jobs in September.

Forecasters were expecting the economy to add 30,000 jobs during the month, according to S&P Global Market Intelligence.

\\"Private employers added jobs in October for the first time since July, but hiring was modest relative to what we reported earlier this year,\\" said ADP chief economist Nela Richardson. \\"Meanwhile, pay growth has been largely flat for more than a year, indicating that shifts in supply and demand are balanced.\\"

Job growth was led by gains in the trade/transportation/utilities sector (+47,000) and the education/health services sector (+26,000). The biggest job losses were seen in information services (-17,000), professional/business services (-15,000), and other services.

Wages rose 4.5% year over year, unchanged from the month before.

ADP's private payroll report is likely to get more attention than usual as the government shutdown — which officially became the longest federal shutdown in US history on Wednesday — has created a data vacuum. The Bureau of Labor Statistics' monthly jobs report, for instance, continues to be delayed during the stoppage.

Read more here.

Economic data: MBA mortgage applications (week ended October 31); ADP employment change (October); S&P Global US services PMI (October final reading); S&P Global US composite PMI (October final reading); ISM services index (October); ISM services prices paid (October); ISM services new orders (October); ISM services employment (October)

Earnings calendar: Toyota (TM), Novo Nordisk (NVO), McDonald's (MCD), AppLovin (APP), Qualcomm (QCOM), Arm Holdings (ARM), Robinhood (HOOD), DoorDash (DASH), Snap (SNAP), McKesson (MCK), Emerson Electric (EMR), Fortinet (FTNT), Sempra (SRE), Energy Transfer (ET), MetLife (MET), AllState (ALL), Cameco Corporation (CCJ), Fair Isaac (FICO), Humana (HUM), Targa Resources (TRGP), Fidelity (FIS), Iron Mountain (IRM), Atmos Energy (ATO), HubSpot (HUBS), Formula One Group (FWONK), Figma (FIG), Teva Pharmaceuticals (TEVA), IonQ (IONQ), Talen Energy (TLN), TKO Group (TKO), Performance Food Group (PFGC), Royal Gold (RGLD), Joby Aviation (JOBY), Duolingo (DUOL), Albemarle (ALB)

Here are some of the biggest stories you may have missed overnight and early this morning:

Trump tariffs' big test in Supreme Court arrives

Wall Street pros to see their biggest bonus bump since 2021

Musk's $1 trillion pay fight to dominate Tesla shareholder meet

Palantir's epic run-up gives the market a reason to sell

McDonald's US sales beat, but earnings miss the mark

Novo Nordisk cuts FY profit guidance as sales slow

Toyota reports profit drop as Trump's taxes hurt Japan automakers

China ends levies on US farm goods after fentanyl duties cut

Global chip selloff erases $500B in value as fears mount

Latest stock pullback shows how stretched this market has become

Norway suspends wealth fund ethics rules to shield Big Tech

McDonald's (MCD) stock rose modestly after the fast food chain reported better-than-expected same-store sales that topped forecasts for the second straight quarter. McDonald's continues to lean into its value menu to win back customers in what the company calls a \\"challenging environment.\\"

Yahoo Finance's Brooke DiPalma reports:

The company reported that its US same-store sales increased 2.5% over the same period last year, driven by higher check growth. That's more than the 2.2% Wall Street expected and in line with the 2.5% growth seen in the prior quarter, according to Bloomberg data.

Global same-store sales increased 3.6% during the quarter, in line with estimates after a 3.8% rise in Q2.

Adjusted earnings per share tallied $3.22, less than the $3.32 that was expected, on revenue of $7.1 billion, in line with estimates.

\\"We're fueling momentum by delivering everyday value and affordability, menu innovation, and compelling marketing that continue to bring customers through our doors,\\" CEO Chris Kempczinski said in a release.

Read more here.

Pinterest (PINS) stock fell more than 17% before the bell after the image-sharing platform announced that tariff related pressures and struggling to find new avenues for growth have dampened its forecast.

SMCI (SMCI) stock fell 9% before the bell after releasing its third quarter earnings on Tuesday, with its forecast falling below Wall Street expectations.

Lumentum Holdings Inc. (LITE) stock rose 15% in premarket trading on Wednesday after reporting third quarter earnings which beat Wall Street estimates.

Looking to experts for how the Supreme Court will rule on tariffs? They aren't sure either, writes Yahoo Finance's Ben Werschkul.

He reports:

Tariff watchers have had this Wednesday circled on their calendars for weeks now, as the Supreme Court is set to hear arguments on the legality of the authority President Trump has used to impose the lion's share of his tariffs.

That's in part because observers are split about how things will play out once deliberations begin and ahead of a decision that could come before the end of the year.

The case — formally known as Learning Resources, Inc. v. Trump — is one that experts in both the legal and trade space are calling a toss-up. And it's made all the more fraught by Trump's keen personal interest in the outcome and a White House public pressure campaign already in evidence.

As for the projections, the odds are notable in how little confidence there is in any outcome.

In Yahoo Finance interviews recently, both Raymond James managing director Ed Mills and Veda Partners managing partner Henrietta Treyz floated coin-flip level 50% odds, with Treyz adding a base case from \\"50% to 65% odds that the Supreme Court will side with two lower courts and say the president doesn't have this authority.\\"

Read more here.

Novo Nordisk (NVO, NOVO-B.CO) cut its forecasts for full-year profit and sales on Wednesday, as its new CEO drives a push to regain ground lost amid fierce competition in the weight-loss drug market.

US-listed shares in the Ozempic and Wegovy maker rose almost 3% in premarket as investors digested the Danish drugmaker's quarterly earnings release.

Reuters reported:

Fuelled by rapid sales growth of its blockbuster obesity drug Wegovy, Novo became Europe's most valuable firm last year, but sales growth has slowed this year.

It now expects full-year operating profit — measured in local currencies — to grow between 4% and 7% in 2025, compared with its earlier forecast of between 4% and 10%, Novo Nordisk said on Wednesday.

CEO Mike Doustdar, who took the helm in August, said the lower guidance was due to \\"the lower growth expectations for our GLP-1 treatments,\\" referring to the company's best-selling weight management and diabetes medications. ...

Doustdar, who presents his first quarterly results as CEO, is facing intense scrutiny from investors who have seen Novo's stock slide 50% this year under pressure from competition from U.S. rival Eli Lilly and compounded copycat drugs custom-made from the same ingredients as branded drugs.

Read more here.

Asian markets fell in tandem with US gauges as the global market followed a tech sell-off trend. Investor appetite for sky-high AI spend appears to have hit a ceiling as fears of over-inflated AI valuations spread.

South Korea’s Kospi (^KS11) fell over 6% before pulling back to a 3% drop.

Japan’s benchmark, the Nikkei 225 (^N225) levelled off at losses of 2.8%

Hong Kong’s Hang Seng index (^HSI) slipped 0.5%.

The fall came following a day of heavy losses for major American gauges as AI tech darlings like Palantir fell despite solid earnings reports.

Gold (GC=F) continues to struggle around the $4,000 mark following a record-setting run, as a strong dollar, combined with the Fed's rate cuts, has dampened haven demand.

Bloomberg reports:

Spot bullion steadied near $3,937 an ounce after sinking almost 2% in the prior session. A gauge of the US currency rose for a fifth day on Tuesday — its best run since July — as traders reassessed the likelihood of another interest-rate cut from the Federal Reserve next month. A stronger greenback makes commodities including gold more expensive for most buyers.

Earlier this week, a trio of Fed policymakers stopped short of supporting an additional cut in December as they weighed the competing risks from inflation and a softer labor market. Investors will the have opportunity to hear additional viewpoints this week, with St. Louis Fed President Alberto Musalem and Cleveland Fed chief Beth Hammack among officials slated to make remarks.

Gold remains about 50% higher year-to-date, with prices touching a record last month before retracing some gains. The pullback was accompanied by withdrawals from bullion-backed exchange-traded funds, although the pace of the outflows has tailed off in recent days.

Read more here.