Despite overall market growth, major technology stocks face hurdles amid earnings reports and economic shifts.
Wall Street Ends Higher, But Tech Faces Pressure
Wall Street closed with positive momentum as investors reacted to strong corporate earnings and shifting economic policies. The S&P 500 gained 0.4%, the Dow Jones Industrial Average climbed 317 points (+0.7%), while the Nasdaq Composite saw a smaller 0.2% increase, hindered by tech stock struggles.
Leading the winners, Mattel soared 15.3% after surpassing profit expectations, and Amgen rose 6.5% due to strong earnings. However, Alphabet (Google’s parent company) dropped 7.3%, as concerns over slowing cloud growth overshadowed its earnings beat. Advanced Micro Devices (AMD) also saw a 6.3% decline, despite exceeding revenue forecasts.
Asian Markets Reflect Mixed Sentiment
Following Wall Street’s lead, Asian markets posted varied performances. Japan’s Nikkei 225 edged up 0.2%, closing at 38,888.04, while Australia’s S&P/ASX 200 surged 1% to 8,600. The Shanghai Composite increased 0.6%, settling at 3,248.34. In contrast, South Korea’s Kospi and Hong Kong’s Hang Seng remained largely unchanged. Reports indicating potential issues in Honda’s merger talks with Nissan led to stock adjustments, with Nissan rebounding slightly.
European Markets Set for Positive Open
European stocks are poised for gains, with the FTSE 100 (U.K.) expected to open 53 points higher at 8,672. Germany’s DAX is projected to climb 92 points to 21,640, while France’s CAC 40 is expected to add 26 points. Italy’s FTSE MIB is likely to rise 70 points. Earnings releases from ING, ArcelorMittal, Carlsberg, AstraZeneca, and L’Oréal are on investors’ radars. Meanwhile, all eyes are on the Bank of England, with expectations of a potential interest rate cut.
Currency & Commodities Market Update
The U.S. dollar hit an eight-week low against the yen, reflecting easing trade concerns. Meanwhile, the Indian rupee depreciated to an all-time low of 87.49 per dollar, closing at 87.463.
The World Gold Council (WGC) predicts a slowdown in India’s gold consumption in 2025 from last year’s nine-year high, as rising prices dampen jewelry demand. However, investment demand is projected to remain stable.
