Global financial markets opened yesterday's sessions in a state of positive divergence tempered by caution, with relative stability on Wall Street, European stocks extending their gains supported by the technology sector, and strong performance from Asian markets that benefited from a wave of optimism linked to artificial intelligence and easing geopolitical tensions in the Middle East. Oil prices continued to retreat toward pre-war levels, while the dollar maintained its strength against the Japanese yen.
Wall Street's main indices opened yesterday's trading on a stable footing, in the final trading day of a quarter that saw the largest stock market gains in years. The Dow Jones Industrial Average fell 14.6 points, or 0.03%, to 52,168.18 points, the S&P 500 declined 0.8 points, or 0.01%, to 7,441.27 points, and the Nasdaq Composite rose 4.3 points, or 0.02%, to 25,824.474 points.
European stocks opened higher and were on course to post their biggest quarterly gains in more than 5 years, supported by optimism over artificial intelligence and signs of easing geopolitical tensions in the Middle East. The pan-European STOXX 600 rose 0.6% to 639.77 points, recording quarterly gains of 9.7%.
The technology sub-index rose 1.7% and was on track to post its strongest quarterly gains since October 2001, confirming robust demand for artificial intelligence infrastructure. The sector was also set to outperform its Wall Street counterpart both this month and this quarter.
Shares in chip-equipment maker ASML rose 3.33% yesterday, while ST Microelectronics gained 3% and Infineon climbed 2.7%. Siemens Energy shares rose 5% after the AI equipment manufacturer confirmed strong demand trends at its quarterly earnings conference held before the close of markets on Monday.
Signs of easing tensions in the Middle East were a key driver this quarter, as oil prices — a critical resource for energy-constrained Europe — retreated to pre-Iran-war levels. Shares in Abivax jumped more than 20% after the pharmaceutical manufacturer announced positive results from its study of the drug opevesostat. The healthcare sector index rose 0.9% overall.
Most Asian market indices rose, supported by Wall Street's gains and growing momentum in the artificial intelligence sector, despite continued volatility in some markets.
In Japan, the Nikkei rose 0.86% to close at 70,062.32 points, recording strong quarterly gains of 37%.
The TOPIX also climbed 0.73% to 4,010.88 points.
The Nikkei had retreated during part of the session, and closing performance was mixed, with 104 stocks advancing against 121 that declined.
Maki Sawada, an equity analyst at Nomura Securities, said: