Global stocks get AI lift ahead of packed 48 hours
SPY•Global stocks rose 0.2% as enthusiasm for AI lifted markets ahead of earnings from Microsoft and Alphabet and central bank decisions. Brent crude gained 1.2% to $115.24 a barrel after an attack on a Saudi refinery, while New Zealand's central bank held rates at 2.75%.
1. Stocks and AI earnings
MSCI's All-World index rose 0.2% on Wednesday, while U.S. stock futures edged up between 0.1% and 0.4%. South Korea's Kospi jumped 6% after chipmaker SK Hynix reported blockbuster earnings. Investors awaited results from Microsoft and Alphabet, looking for evidence that the companies are monetizing AI investments and returns can justify the cost of the AI build-out.
2. Central bank decisions
The Reserve Bank of New Zealand held its policy rate at 2.75% in a narrow vote, contrary to expectations for a hike. The decision sent the New Zealand dollar down more than 1.2% to a session low of $0.5583. Investors also awaited policy decisions from the Bank of Canada and Federal Reserve.
3. Oil and regional markets
Brent crude rose 1.2% to $115.24 a barrel after an attack on a Saudi refinery renewed concerns about supply risks in the Middle East. European natural gas futures rose 1.1% to €97.08 per megawatt-hour. European shares fell 0.2%, weighed by financial stocks and a 12% drop in Adyen.
