Nvidia shares hit an all-time intraday high of $237.88 on Friday, surpassing its previous May record and closing at $233.95, up more than 3 percent. The move reflects sustained demand for the company's AI chips, which drove Q1 FY2027 data center revenue to $75.25 billion, up 92 percent year-over-year.
The semiconductor rally extended across the sector. AMD advanced nearly 3 percent to a new high, while CrowdStrike and Palo Alto Networks also reached record levels. The Nasdaq Composite climbed 1.2 percent to 27,190.86, posting an all-time high intraday. The S&P 500 gained 0.7 percent to 7,722.72, and the Dow added 0.5 percent to 51,176.46.
The catalyst was a weaker-than-expected September employment report. The U.S. economy added just 29,000 nonfarm payrolls, well below the consensus estimate of 84,000, and the unemployment rate rose to 4.2 percent from 4.1 percent. Fed funds futures now price in a 77 percent probability of no rate change at the October meeting.
Saira Malik, chief investment officer at Nuveen, said the report could provide near-term market support ahead of earnings she expects to be "very strong." Phil Blancato, chief market strategist at Osaic, described the data as "not too hot, not too cold."
For Nvidia specifically, the weak jobs print could ease Fed pressure to raise rates, supporting valuations in capital-intensive AI infrastructure spending. Watch whether management guides to sustained hyperscale spending in Q2 FY2027 earnings and whether AI data center bookings extend into 2025.
Treasury yields initially fell after the report but later rebounded, pulling equities from session highs. Oil prices retreated on reports that European nations are considering releasing strategic fuel reserves.
For the week, the Dow fell 1.3 percent, the S&P 500 was down 0.3 percent, and the Nasdaq gained 0.6 percent.
