Global Stocks Hit New Highs as Gold Surges

Stocks around the world continued their upward trend on Wednesday, reaching new highs in Japan and Europe. The S&P 500 and Dow also made gains, with the S&P 500 outperforming its counterpart.

The rally was fueled by solid corporate earnings and optimism surrounding a potential peace deal in the Middle East. However, momentum cooled as investors digested weakness in the tech sector and hawkish comments from a Federal Reserve official on U.S. interest rates.

Gold had its best day in six months, rising 4.5% to move further away from the $4,000/oz level. The metal's gain was attributed to a softening dollar and lower bond yields, as well as strong demand from China.