Wall Street stocks surged to new records on Monday as investor enthusiasm for artificial intelligence propelled the Nasdaq and S&P 500 to all-time highs. Tech giants like Apple, Microsoft, and Nvidia led the charge, boosting the indices to new heights.
In Europe, despite the political uncertainty in France following President Emmanuel Macron’s decision to call snap elections, both Paris and Frankfurt markets saw gains. While the situation in France raised concerns about instability in the region, European markets rebounded from last week’s lows, albeit cautiously.
The recent US inflation data provided a glimmer of hope for monetary policy, hinting at the possibility of interest rate cuts in 2024. This news, coupled with the rally in tech stocks, fueled optimism in the US market.
Meanwhile, in Asia, Tokyo’s Nikkei 225 closed down nearly two percent amid concerns about the US economy and risk aversion among investors.
Looking ahead, market watchers remain wary of the political landscape in France and the upcoming elections. The outcome could have significant implications for the European economy, especially if far-right parties gain control.
In London, the Bank of England is expected to maintain interest rates ahead of the upcoming UK elections, with the ruling Conservative Party facing challenges due to the cost-of-living crisis.
Overall, markets are treading cautiously amid political uncertainties and economic concerns, with investors closely monitoring developments in France and the global economy for cues on the future direction of financial markets.
