Market Close Highlights: Global Stocks Rise on Nvidia’s AI Optimism

European stocks and US futures climbed following upbeat earnings from Nvidia Corp., reinforcing optimism over the global artificial intelligence boom. Europe’s Stoxx 600 rose by 0.3%, driven higher by a surge in the tech sector, while futures on the S&P 500 pointed to a 0.5% gain at the Wall Street open. US Treasuries remained steady after a slip on Wednesday when Federal Reserve minutes revealed that officials were in no rush to cut interest rates. The dollar traded steadily.

The equity markets are experiencing a renewed boost from tech after Nvidia’s highly anticipated earnings report showcased another bullish sales forecast. A Bloomberg gauge of Asian chipmakers jumped by as much as 1.9%, marking its fourth consecutive day of gains.

Robert Alster, Chief Investment Officer at Close Asset Management, commented, “For anyone in doubt that growth in AI and the supply chain is fading, Nvidia’s results, tone, and guidance completely disprove that thesis.”

In Europe, traders are keenly watching data on services, manufacturing, and consumer confidence due later. Meanwhile, Korea has unveiled a $19 billion package of incentives to bolster its chip sector, benefiting Samsung Electronics Co. and SK Hynix Inc. as they strive to stay ahead in an increasingly competitive industry.

Rajat Agarwal, Asia strategist at Societe Generale SA in Bengaluru, noted, “Nvidia’s earnings give more room for upside for Asian semiconductor stocks. It elongates the growth story and allays any concerns of slowdown for Asian chipmakers.”

Conversely, a gauge of tech shares listed in Hong Kong dropped amid a brewing price war between Alibaba Group Holding Ltd. and Tencent Holdings Ltd. over cloud services.

Commodities showed mixed results: gold extended its decline after a 1.7% drop on Wednesday following the Fed minutes, West Texas Intermediate slipped, marking a fourth daily loss, and copper prices fell on signs of weakening demand.

In Indian markets, the benchmark equity indices ended the second phase of a special trading session positively. The NSE Nifty 50 rose by 36 points or 0.16% to 22,502, while the BSE Sensex gained 90 points or 0.12% to 74,005.94. Broader indices also ended in positive territory, with the Bank Nifty index closing higher by 83.85 points or 0.17% to 48,199.50. Media and realty stocks outperformed other sectoral indices.

Indian stock markets were operational on Saturday, May 18, 2024, for a special trading session. The primary session commenced with a morning block deal window from 8:45 AM to 9:00 AM, followed by a pre-open session from 9:00 AM to 9:08 AM, and regular trading from 9:15 AM to 10:00 AM. After a break, the second session at the disaster recovery site included a pre-open session from 11:15 AM to 11:23 AM and normal trading from 11:30 AM to 12:30 PM, with post-close order modifications allowed until 1:00 PM.

European stocks and US futures climbed following upbeat earnings from Nvidia Corp., reinforcing optimism over the global artificial intelligence boom. Europe’s Stoxx 600 rose by 0.3%, driven higher by a surge in the tech sector, while futures on the S&P 500 pointed to a 0.5% gain at the Wall Street open. US Treasuries remained steady after a slip on Wednesday when Federal Reserve minutes revealed that officials were in no rush to cut interest rates. The dollar traded steadily.

The equity markets are experiencing a renewed boost from tech after Nvidia’s highly anticipated earnings report showcased another bullish sales forecast. A Bloomberg gauge of Asian chipmakers jumped by as much as 1.9%, marking its fourth consecutive day of gains.

Robert Alster, Chief Investment Officer at Close Asset Management, commented, “For anyone in doubt that growth in AI and the supply chain is fading, Nvidia’s results, tone, and guidance completely disprove that thesis.”

In Europe, traders are keenly watching data on services, manufacturing, and consumer confidence due later. Meanwhile, Korea has unveiled a $19 billion package of incentives to bolster its chip sector, benefiting Samsung Electronics Co. and SK Hynix Inc. as they strive to stay ahead in an increasingly competitive industry.

Rajat Agarwal, Asia strategist at Societe Generale SA in Bengaluru, noted, “Nvidia’s earnings give more room for upside for Asian semiconductor stocks. It elongates the growth story and allays any concerns of slowdown for Asian chipmakers.”

Conversely, a gauge of tech shares listed in Hong Kong dropped amid a brewing price war between Alibaba Group Holding Ltd. and Tencent Holdings Ltd. over cloud services.

Commodities showed mixed results: gold extended its decline after a 1.7% drop on Wednesday following the Fed minutes, West Texas Intermediate slipped, marking a fourth daily loss, and copper prices fell on signs of weakening demand.

In Indian markets, the benchmark equity indices ended the second phase of a special trading session positively. The NSE Nifty 50 rose by 36 points or 0.16% to 22,502, while the BSE Sensex gained 90 points or 0.12% to 74,005.94. Broader indices also ended in positive territory, with the Bank Nifty index closing higher by 83.85 points or 0.17% to 48,199.50. Media and realty stocks outperformed other sectoral indices.

Indian stock markets were operational on Saturday, May 18, 2024, for a special trading session. The primary session commenced with a morning block deal window from 8:45 AM to 9:00 AM, followed by a pre-open session from 9:00 AM to 9:08 AM, and regular trading from 9:15 AM to 10:00 AM. After a break, the second session at the disaster recovery site included a pre-open session from 11:15 AM to 11:23 AM and normal trading from 11:30 AM to 12:30 PM, with post-close order modifications allowed until 1:00 PM.

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