Equities: Global rally extends with tech leadership – Deutsche Bank

Global equities continued their upward trend, with tech stocks leading the charge, according to Deutsche Bank. The S&P 500 and NASDAQ played a crucial role in the US market, while the STOXX 600 advanced in Europe and major Asian indices, such as the Nikkei and KOSPI, also saw gains. Semiconductor shares played a significant role in driving performance across regions.

This positive momentum followed a series of three consecutive declines in the S&P 500. Semiconductor stocks led the gains, with the Philadelphia semiconductor index posting one of the biggest outperformances of the day. The NASDAQ also showed strength, jumping +1.69%. Europe saw a solid rebound as cheaper energy prices lifted assets across the continent, and the STOXX 600 posted its best daily performance in over two months.

The Nikkei and KOSPI both rose, with semiconductor stocks extending their gains from the previous day. Chinese equities also showed solid advances, with the CSI 300 and Shanghai Composite both up sharply. The Hang Seng, however, recorded more modest gains. As for the US markets, the S&P 500 and NASDAQ futures were up 0.14%. AUD/USD continued to trade with a positive bias above 0.7100, while USD/JPY saw a reversal to two-week highs due to the Bank of Japan's interest rate hike.

Gold also attracted follow-through buying and reached a fresh weekly high ahead of the European session. US bond yields retreated further from multi-year highs as concerns over runaway inflation diminished after a drop in oil prices.