Major stock indexes climbed yesterday as results and forecasts lifted sentiment about the earnings outlook, while France’s 10-year bond yield hit 5 per cent for the first time since 2002 amid concern about the outlook for the country’s economy.
Shares of SpaceX also shot up about 10pc after Elon Musk said late on Tuesday that a merger of his two companies SpaceX and Tesla would be ‘a good idea.’ SpaceX also posted its first profit as a public company.
Shares in companies in Japan and Taiwan that are suppliers to Tesla and SpaceX advanced as well.
Super Micro shares jumped more than 9pc after the AI server maker forecast quarterly revenue and profit margin above Wall Street estimates.
Investors have been worried about the strength of the AI trade and swings in prices of government bonds ahead of the third-quarter reporting period, with AI-related shares selling off recently.
“A lot of the concerns that we had over the last few weeks that sent the market lower are being alleviated,” said Adam Sarhan, chief executive of 50 Park Investments in New York.
The Dow Jones Industrial Average rose 76.77 points, or 0.15pc, to 52,572.65, the S&P 500 rose 27.15 points, or 0.35pc, to 7,739.72 and the Nasdaq Composite was up 226.91 points, or 0.86pc, at 26,651.94.
MSCI’s gauge of stocks across the globe rose 3.98 points, or 0.35pc, to 1,134.38. The pan-European STOXX 600 index rose 0.84pc. In Asia, Korean stocks gained 3pc, while Japan’s Nikkei 225 rose almost 1pc.
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