Global Stocks Reach New Highs Amid Earnings Optimism
Global stocks reached new highs on Wednesday, driven by solid corporate earnings and optimism surrounding a peace deal in the Middle East. However, momentum cooled as investors digested tech weakness and hawkish remarks from a Federal Reserve official.
The S&P 500 and Dow outperformed, while six sectors on the S&P 500 rose, with materials and healthcare leading the way at +1.5%. On the other hand, comms services and energy fell -2%.
Gold had its best day in six months, rising 4.5%, as the dollar dipped to a near-6-week low. The 10-year yield fell 5 basis points in Japan, while U.S. yields slipped around 2 basis points across the curve.
The SpaceX IPO lockup expiry on Thursday has investors on edge, with insiders poised to sell their stakes and add pressure on the stock, which is already 20% below its IPO price.