Wall Street Surges to Record Highs as AI, Tech Stocks Rally
Wall Street powered to fresh record highs as AI and technology stocks surged on optimism following the United States (US)-China summit, according to a morning brief from First National Bank.
The global markets posted positive performance with the S&P 500 closing up 0.77%, the NASDAQ advancing 0.88%, and the Dow Jones rising 0.75% after the US approved key chip shipments to China, while upbeat corporate earnings also fuelled sentiment.
European markets followed suit, benefitting from positive summit rhetoric and strong results in the technology sector as the Euro Stoxx 50 closed 2.18% higher and the FTSE 100 added 0.46%, despite political uncertainty in the United Kingdom.
Despite broadly positive cues from Wall Street overnight, Asian markets are in the red, with the Hang Seng Index down 0.87% and the Nikkei 225 down 1.45%, First National Bank (FNB) said in a morning brief.
Also, the ASX 200 is edging 0.12% lower so far, as investors adopted a cautious stance amid ongoing negotiations in the Middle East and the possibility of higher US interest rates.
The JSE closed lower on Thursday, with the All Share Index edging down 0.01% as investors digested the Trump-Xi summit in Beijing. The Top 40 Index fell 0.09%, while the Resources declined 1.44%, weighed down by weakness in precious mining stocks (-1.53%).
Financials were the standout performer, surging 1.70% on strong gains in the banking sector, which jumped 1.92%. Industrials remained relatively flat, slipping just 0.08%.
Market sentiment was shaped by the ongoing Trump-Xi, with investors initially optimistic about diplomatic progress between the world’s two largest economies. However, gains faded by the close as traders also monitored inflation concerns stemming from the Iran conflict and its impact on oil prices.
South Africa’s March mining production data, released during the session, showed a 2.5% y/y increase, missing expectations of 6.1%, though gold production rose a robust 17.1%. IFC to Explore Livestock, Energy, Housing Investment in Nigeria
