European and Asian stock markets experienced strong gains on Tuesday, with tech companies driving Wall Street to new highs overnight. This positive momentum spread across Europe, where the Stoxx 600 index increased by 0.42%, and the FTSE 100 rose by 0.62%. France’s CAC 40 saw a more modest gain of 0.38%, recovering from a slower start due to political instability earlier in the week.
In Asia, Japan’s Nikkei index surged by 1.91%, reflecting strong investor confidence in the tech sector, while the MSCI Asia index, excluding Japan, climbed by 1.16%. Australia’s stock market reached a new all-time high, gaining 0.56%. Meanwhile, futures for the S&P 500 and Nasdaq remained relatively flat, after both indices hit record highs the previous day, boosted by impressive performances from companies like Meta Platforms and Tesla, which both saw gains of 3%.
Timothy Graf, Head of Macro Strategy for EMEA at State Street, commented on the strength of companies with robust balance sheets, noting their ability to generate substantial cash flow. He also highlighted that while some investments, such as cryptocurrencies, have struggled recently, the trades that have performed well over the past two months remain resilient.
The broader optimism in global markets suggests a continued favourable outlook for stocks, particularly those in the tech sector.
Fidelity Asian Values Plc (LON:FAS) provides shareholders with a differentiated equity exposure to Asian Markets. Asia is the world’s fastest-growing economic region and the trust looks to capitalise on this by finding good businesses, run by good people and buying them at a good price.
