Global Markets Rise as Inflation Fears Subside

Global stock markets opened the week on a positive note, with Tokyo's Nikkei 225 index leading the gains by surging 2.4%. Investors were buoyed by easing inflation concerns, which have reduced the likelihood of further interest rate hikes by the Federal Reserve. However, overall gains were moderate due to the lack of significant market-moving news.

In Europe, France's CAC 40 dropped 1.1% to 7,813.40, while Germany's DAX saw minimal movement, rising less than 0.1% to 25,242.92. The UK's FTSE 100 climbed 0.5% to 10,511.80. Meanwhile, futures for the S&P 500 and Dow Jones Industrial Average dipped 0.1%.

Asian markets showed mixed results, with Japan's Nikkei 225 reaching a three-month high above 70,000 points before closing at 69,946.86. Australia's S&P/ASX 200 remained nearly unchanged, edging up less than 0.1% to 8,686.40, and Hong Kong's Hang Seng gained 0.3% to 24,040.34. Trading was halted in Shanghai and South Korea due to national holidays.

Shares in artificial intelligence-related companies attracted significant interest. Tokyo Electron rose 5.5%, SoftBank Group gained 3%, and Taiwan Semiconductor Manufacturing Co. (TSMC) climbed 3%. This week will see key U.S. economic reports on the services sector, unemployment, and consumer sentiment.

Energy markets saw a decline, with U.S. crude falling 1.7% to $89.57 a barrel and Brent crude dropping 1.3% to $100.95 a barrel. Oil prices have been volatile due to uncertainties surrounding the impact of the war with Iran on global oil supply.

In currency trading, the U.S. dollar weakened to 157.71 Japanese yen from 157.83 yen, while the euro fell to $1.1204 from $1.1257.