Global stock markets have risen as investors remain optimistic about the future of major tech companies driving the artificial intelligence (AI) sector. On Tuesday, all three major U.S. stock indexes experienced gains, with the Nasdaq Composite leading the way, up 1.18 percent. The benchmark S&P 500 increased by 0.6 percent, while the Dow Jones Industrial Average saw a slight rise of 0.03 percent.
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Among the “Magnificent Seven” tech stocks, five saw gains, with Tesla leading at a 4.04 percent increase. Amazon rose by 1.61 percent, and Apple and Alphabet gained 0.93 percent and 0.9 percent, respectively. Nvidia, the world’s most valuable public company, increased by almost 1 percent after announcing a $3 billion investment in Meta's equity offering. Conversely, Meta fell by 1.64 percent, and Microsoft saw a decline of 0.24 percent. Other notable tech performers included CoreWeave, Western Digital, and Advanced Micro Devices, which rose 7.94 percent, 6.95 percent, and 5.45 percent, respectively.
Asian markets followed the upward trend on Wednesday, with South Korea’s KOSPI leading gains at 6.63 percent. This increase coincided with SK Hynix, a major memory chip manufacturer, reporting a third-quarter operating profit surge of approximately 630 percent, totaling 83.33 trillion won ($62.4 billion). Following this announcement, SK Hynix’s shares soared by 10.89 percent. Japan's Nikkei 225 ended the day up 1.08 percent, and Taiwan’s TAIEX climbed 2.04 percent, while Hong Kong's Hang Seng Index was up 0.33 percent before closing.
Dan Coatsworth, head of markets at AJ Bell in London, noted that the performance of AI-related stocks is crucial for market sentiment. He indicated that the current rally suggests that investor enthusiasm for the AI sector remains strong, although he cautioned that it is uncertain whether this represents a new rally or merely a respite after previous doubts about the sustainability of growth in AI investments.
Investors are keenly awaiting forthcoming earnings reports from major tech firms to assess whether their substantial investments in AI will yield returns. Microsoft and Alphabet are set to release their latest results on Wednesday, followed by Amazon on Thursday and Apple on Monday. On Monday, AI firm Anthropic filed paperwork for a highly anticipated IPO, reporting a net loss of $80.7 billion in the first half of 2026 against $16.3 billion in revenue.
Amid elevated oil prices linked to ongoing conflicts in the Middle East, including tensions involving Saudi Arabia and Iran-aligned Houthis, crude oil futures rose nearly 2 percent, with Brent crude exceeding $116 a barrel, marking over a 60 percent increase since the onset of the U.S.-Israel conflict with Iran.