Global markets ended Wednesday on a high note, driven by a surge in the technology sector. Nvidia, the chip giant, saw its stock skyrocket after reports emerged about potential chip exports to Saudi Arabia. This positive news helped offset investor disappointment over inflation data.
The Labor Department released data showing a 0.2% increase in the consumer price index for August, mirroring July’s rise. The core CPI, excluding volatile food and energy prices, climbed 0.3%, slightly exceeding economists’ projections of a 0.2% increase.
The U.S. presidential debate also played a role in shaping market sentiment.
Six of the S&P 500’s eleven sectors saw gains, led by communication services, information technology, and consumer discretionary. Energy and consumer staples stocks, however, declined. The Dow Jones Industrial Average closed 0.31% higher, reaching 40,861.71. The S&P 500 ended the day with a 1.07% increase, closing at 5,554.13, while the Nasdaq Composite surged 2.17%, finishing the session at 17,395.53.
Asian Markets Follow Suit
The positive momentum continued into Thursday in Asia. Japan’s Nikkei 225 closed 3.55% higher at 36,855.50, driven by gains in the Construction, Power, and Marine Transport sectors. Australia’s S&P/ASX 200 also saw gains, climbing 1.10% to close at 8,075.70, led by the IT, Energy, and A-REITs sectors. India’s Nifty 50 was up 1.77% at 25,350.90, and the Nifty 500 closed 1.51% higher at 23,886.85.
However, China’s markets closed lower. The Shanghai Composite ended the session down 0.17% at 2,717.12, and the Shenzhen CSI fell 0.43%, closing at 3,172.47. Hong Kong’s Hang Seng bucked the trend, closing 0.77% higher at 17,240.39.
European Markets Open Higher
European markets opened higher on Thursday morning. The European STOXX 50 index was up 1.38%. Germany’s DAX rose 1.28%, France’s CAC gained 0.93%, and the U.K.’s FTSE 100 index traded 0.85% higher.
Commodities Rise
Oil prices continued their climb, extending gains due to Hurricane Francine’s disruption of U.S. Gulf production. With nearly 39% of oil and half of natural gas output offline, Crude Oil WTI was trading 1.93% higher at $68.61/bbl, while Brent climbed 1.80% to $71.88/bbl. Natural Gas fell 0.97% to $2.248. Gold was trading 0.18% higher at $2,547.00, Silver gained 0.70% to $29.125, and Copper rose 1.88% to $4.22.05.
U.S. Futures Point to a Positive Start
U.S. futures were pointing to a positive start to the trading day on Thursday morning. Dow futures were up 0.15%, S&P 500 futures rose 0.14%, and Nasdaq 100 Futures gained 0.13%.
Forex
The U.S. dollar index edged up 0.05% to 101.74, the USD/JPY rose 0.23% to 142.69, and the USD/AUD gained 0.03% to 1.4988.
