- US futures rise as Nvidia wins partial approval to resume AI chip exports to China.
- Indian markets bounce back after four-day losing streak; auto and pharma stocks lead.
- China’s stronger economic data boosts sentiment across Asia, lifting key indices.
Global markets received a fresh boost after Nvidia announced that it secured US government permission to ship select AI chips to China, reversing prior restrictions.
In India, markets rebounded smartly after days of declines, with the Sensex closing 317 points higher at 82,570.91 and the Nifty finishing above 25,195.
Stock Markets Rally Globally as Inflation Eases and Nvidia Powers Sentiment
Asian equities followed Wall Street’s positive lead, buoyed by upbeat Chinese economic data. China’s second-quarter GDP growth came in at 5.2% year-over-year, slightly exceeding expectations, while industrial production surged 6.8%. Despite retail sales underperforming, investor sentiment improved, pushing indices like the Hang Seng and Nikkei 225 into positive territory.
Tech stocks were the standout performers in US premarket trading, led by Nvidia’s nearly 5% surge on news of resumed chip sales to China. The Nasdaq 100 is approaching key resistance levels, suggesting potential momentum if earnings and inflation data support the rally. Traders are also assessing Trump’s proposed tariffs, which could further impact inflation and corporate margins.
In the Indian market, broader participation was evident as mid- and small-cap stocks outperformed large caps. PSU banks, real estate, and consumer durables sectors all posted gains, indicating a broad-based recovery. The rupee strengthened slightly against the US dollar, supported by falling crude prices and a softer dollar index.
With earnings season kicking off and inflation cooling, investors are treading cautiously but with renewed optimism. The upcoming weeks could define the trajectory for global equities, especially if macroeconomic data continues to support the narrative of a soft landing without derailing growth.
Markets across the globe are showing signs of resilience, driven by easing inflation, strong sectoral performances, and tech-led optimism. All eyes now shift to earnings and policy signals.
“In the midst of every crisis, lies great opportunity.” — Albert Einstein
