Different dynamics were observed in global stock markets on October 21. All major indices rose in the US and Europe, while most indices declined in the Asia-Pacific region. The largest declines were recorded in the Hong Kong and Japanese markets, APA-Economics reports.
In the US, the Dow Jones index rose by 360.21 points, or 0.69%, to 52,856.09 points, while the S&P 500 index increased by 44.60 points, or 0.58%, to 7,757.17 points. The Nasdaq Composite index, dominated by technology companies, rose by 278.04 points, or 1.05%, to 26,702.86 points.
The NYSE Composite index increased by 62.50 points, or 0.26%, to 24,253.12 points, while Canada's S&P/TSX Composite index rose by 217.03 points, or 0.60%, to 36,324.99 points.
All major indices in European stock markets also demonstrated positive dynamics. The Euro Stoxx 50 index rose by 85.86 points, or 1.40%, to 6,207.52 points, while the UK's FTSE 100 index increased by 19.88 points, or 0.19%, to 10,752.88 points.
Germany's DAX index rose by 340.62 points, or 1.35%, to 25,645.04 points, France's CAC 40 index increased by 83.19 points, or 1.06%, to 7,921.68 points, while Spain's IBEX 35 index rose by 231.10 points, or 1.21%, to 19,323.50 points.
Meanwhile, mainly negative dynamics were recorded in the Asia-Pacific region. Japan's Nikkei 225 index fell by 1,316.73 points, or 2.04%, to 63,304.51 points, while the TOPIX index declined by 34.31 points, or 0.85%, to 4,009.42 points.
Hong Kong's Hang Seng index fell by 679.94 points, or 2.87%, to 22,971.93 points, while China's CSI 300 index declined by 51.74 points, or 1.26%, to 4,060.19 points. Australia's S&P/ASX 200 index decreased by 0.29% to 8,805.70 points. Nevertheless, the region's overall MSCI AC Asia Pacific index rose by 1.03% to 263.43 points.
The main reasons for the different dynamics in the markets were strong quarterly financial results of companies in the US, growth in the artificial intelligence sector, and the persistence of political and financial risks in Europe.
In the US, SpaceX's better-than-expected financial results and a 7.8% increase in its share price boosted interest in the technology sector. Shares of Super Micro, a manufacturer of artificial intelligence servers, also rose by 9.5% following positive financial forecasts. These factors particularly supported the Nasdaq Composite index.
In Europe, positive expectations regarding corporate profits helped indices rise. Nevertheless, the yield on France's 10-year government bonds exceeding 5% and political tensions in the country remained risks for the markets.
In Asia, high financing costs for artificial intelligence projects and uncertainty in the Middle East increased investor caution. Pressure on technology stocks intensified particularly in Japan and Hong Kong. The different results across the region showed that the positive impact of corporate earnings expectations had not spread equally across all markets.