AI Stocks Drive Wall Street Rally, European Equities Climb
Global equities markets open strong on Tuesday following a significant improvement recorded the previous day, driven by an AI stock rally ahead of key economic data.
A rebound in technology shares set the tone for global markets as investors positioned themselves ahead of key US inflation data and Chinese trade figures.
Wall Street’s session saw the S&P 500 close up 0.30% and the NASDAQ advance 0.86%, with chipmakers driving the rally, while the Dow Jones slipped 0.16% as the broader market lagged.
European equities followed suit, with the FTSE 100 closing 0.05% higher and the Euro Stoxx 50 unchanged, both benefiting from easing tensions in the Middle East and a recovery in cyclicals.
In Asia-Pacific, the Nikkei 225 is surging 2.07%, and the Hang Seng Index is up 0.08% as technology strength spills over, with investors also assessing the latest round of Chinese trade data.
China’s trade surplus widened to $105.43 billion in May 2026 from $102.72 billion in the same period in 2025, surpassing expectations of $92.1 billion and marking the largest trade surplus since January.
The ASX 200 bucked the upward trend and is trading 0.12% lower, pressured by broad-based declines and softer consumer confidence.
The Johannesburg Stock Exchange (JSE) is set for a firmer open on Tuesday, with global futures trading higher and Asian markets posting gains across most regions amid a rebound in the tech sector, robust Chinese trade data, and easing tensions in the Middle East.
In addition, Tencent’s 2.60% gain provides a supportive read-through for Naspers and Prosus. However, resource counters could face some pressure given that the S&P/ASX 300 Metals & Mining Index has declined 2.32% so far.
The JSE started the week on the back foot, losing further ground during Monday’s session amid a sharp sell-off in resources stocks. The All-Share Index and Top 40 closed in the red, declining 0.17% and 0.29% to 111 090 and 103 118 points, respectively.
Resources (-2.04%) were impacted by a sharp sell-off in PGM’s, with Implats (-5.42%), Northam (-4.34%) and Sibanye Stillwater (-4.05%) among the top decliners.
Industrials (+0.61%) and Financials (+0.63%) closed defensively, buoyed by gains in the Food Producers Index (+2.38%) and the Non-life Insurance Index (+2.37%). Local investors now look ahead to the first-quarter GDP print due on Tuesday. FirstBank Breaches Capital Compliance Amidst Heavy Oil, Gas Lending
