Global stocks eke out modest gains on earnings cheer
SPY•Global stocks edged higher on Wednesday as early earnings results supported sentiment, with 86% of the 13% of S&P 500 companies that had reported beating estimates. Brent crude rose above $110 a barrel, while French bond yields climbed and Carrefour cut its guidance amid protests.
1. Earnings support stocks
Global stocks nudged higher on Wednesday as early earnings results helped offset concerns about AI-related shares and turbulence in government bonds. European markets were broadly higher, and U.S. stock futures pointed to a positive open ahead of reports from Meta and Tesla. Of the 13% of S&P 500 companies reporting, 86% had beaten earnings estimates.
2. Mixed regional moves
The MSCI Asia-Pacific index excluding Japan gained around 1%, led by a more than 3% rise in South Korea, while Japan's Nikkei 225 rose almost 1%. Australian data centre operator NextDC lost nearly half its market value after sharply cutting revenue forecasts and putting future developments on hold; South Korean AI infrastructure company Elice Group surged almost 30%.
3. Bonds and oil in focus
French 10-year bond yields rose more than 16 basis points during the week to just below 5%, while Brent crude moved back above $110 a barrel. Carrefour fell almost 13% after cutting its guidance due to recent protests in France. U.S. Treasury yields also rose in London trading.
