US Stock Futures Rise Amid Positive Tech Earnings; Asian Markets Decline
Global Market Today: US stock futures gain on tech earnings; Asian shares fall
The Economic TimesImage: The Economic Times
US stock futures saw gains, driven by strong earnings from major tech companies like Amazon and Alphabet, while Asian shares fell. Oil prices surged to $120.30 a barrel due to ongoing tensions in the Iran war, impacting global markets and Treasury yields.
- 01US equity-index futures rose, with the Nasdaq 100 up 0.9% and S&P 500 up 0.4%.
- 02Oil prices increased by 1.9% to $120.30 a barrel amid escalating conflict in Iran.
- 03Amazon's shares rose 5% after reporting the fastest sales growth for its cloud unit in over three years.
- 04The Federal Reserve left interest rates unchanged but indicated a divided outlook on future policy.
- 05Asian markets opened lower as rising oil prices and Treasury yields weighed on investor sentiment.
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US stock futures advanced as tech giants reported strong earnings, with the Nasdaq 100 rising 0.9% and the S&P 500 climbing 0.4%. Notably, Amazon.com Inc. shares jumped 5% after its cloud unit's sales growth outpaced expectations, while Alphabet Inc. also saw gains. However, Meta Platforms Inc. faced a 6.5% drop due to concerns over increasing AI spending. In contrast, Asian shares fell as rising oil prices surged to $120.30 a barrel, driven by ongoing tensions in the Iran war, which have disrupted the Strait of Hormuz. This geopolitical uncertainty has led to a spike in Treasury yields, with the 10-year yield rising to 4.43%, the highest since July. The Federal Reserve's recent decision to maintain interest rates has resulted in a divided outlook among officials, with traders now anticipating potential rate hikes in the future. As the market reacts to these developments, the focus remains on upcoming policy decisions from the European Central Bank and the Bank of England, as well as additional US economic data releases.
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Rising oil prices could lead to higher costs for consumers, affecting fuel prices and potentially increasing inflation. Investors may also face volatility in the stock market as geopolitical tensions persist.
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