CoreWeave brings silver lining to neocloud amidst Nvidia storm

Hello, this is Leonie Kidd from today’s Morning Squawk.

CoreWeave is providing a tailwind to the futures market today, helping drive neocloud stocks higher, while Nvidia’s rebound is also supporting the chip space.

But will it be enough to allay deep-rooted doubts surrounding AI trade?

Coreweave stock soared in pre-market trading, rising more than 16% overnight after NeoCloud Group posted a 168% jump in third-quarter sales.

The group also raised its outlook for 2026, and other neocloud stocks also rose.

However, keep in mind that the stock is down 65% from its May high and has lost more than 40% of its value in the last month alone.

Analysis: John Blank, chief equity strategist at Zacks, told CNBC early Wednesday morning that the stock is “so battered that you have to believe it’s worth more.” ‘Inflection point’: Freedom Capital Markets’ Paul Meeks was resolutely bullish on Coreweave, saying improving margins signal a tipping point has arrived. Upcoming: “Squawk on the Street” talks with CEO Michael Intrator. Check out the interview on CNBC.

Nvidia shares extended their gains in premarket trading, rising more than 3%.

This movement also broadcom, AMD, intel and Nevius.

Key developments include:

Nvidia’s board hired law firm Wachtell Lipton Rosen & Katz to investigate CEO Jensen Huang and whether trade secrets were violated. Sen. Charles Schumer accused President Donald Trump of defending Hwang at the expense of U.S. national security, citing reports that Trump was briefed on the spying allegations more than a year ago.

CNBC’s Seema Modi told sources inside Nvidia that Huang entered the group’s headquarters in Santa Clara, Calif., on Monday for a regular meeting with executives.

Read the full story about that meeting on CNBC.com.

Anthropic will offer 825 million shares at a price range of $70 to $78 per share.

The AI ​​giant plans to set the price on November 18th and trade on November 19th, a person close to the deal told CNBC.

Words matter: In its IPO filing, Anthropic uses the word “adverse” 257 times. Private Markets: CNBC’s Kate Rooney reports on how this is the first opportunity for retail investors to buy companies whose growth has generated significant returns for private market participants. Retail investors can receive about 20% of the offering through platforms such as Robinhood, Schwab, Fidelity, SoFi and E-Trade, according to Tuesday’s amended filing. Cramer’s take: Jim Cramer says Anthropic’s impressive revenue growth helps justify its $1 trillion-plus valuation, and the fact that an IPO is planned is itself “bullish for the technology and AI industry.”

The House of Representatives effectively rejected an attempt to impeach Defense Secretary Pete Hegseth.

The House of Representatives approved a bill to refer the impeachment resolution to a committee by a wide margin of 211-204, leaving little time for the resolution to be implemented before the Democratic Party takes over in January.

Security concerns: Reports that Treasury Secretary Scott Bessent has been moved from his home in Washington, D.C., to a military base due to threats on his life by Iran have raised questions about the next steps in the war with Iran. Frozen conflict: An American soldier has been arrested on suspicion of spying for Russia, according to the Metropolitan Police.

Tokenization: The next evolution of the stock market

While the basic structure of the U.S. stock market has changed repeatedly, the wealth itself, or the share of stocks, has remained largely unchanged.

Trading has moved from floors and telephones to electronic venues. Payment cycles have been shortened. Fees are now zero. Fractional shares and online securities have increased individual participation.

The next big change may already have begun.

—CNBC’s Jordan Novett, April Roach, Dan Mangan, Kiff Leswing, Alexa Lomonaco, Chloe Taylor, Isabella Gao and Garrett Downs contributed to this report.

John Meloy edited this version.