Global markets rebound on tech strength

Global equities gained ground on Monday, with all three major US indices finishing higher. The S&P 500 rose 0.20%, the Nasdaq gained 0.40%, and the Dow Jones advanced 69 points, boosted by strong performances from AI-related stocks such as Nvidia, AMD, and Micron. Electronic Arts jumped 4.50% on news of a $55 billion take-private deal, underscoring robust M&A activity that has already surpassed $1 trillion this year. However, uncertainty over a potential US government shutdown lingers, raising the risk of delays to Friday’s nonfarm payrolls release and complicating the Fed’s rate-cut outlook.

European stocks tracked the positive momentum, with the STOXX 600 gaining 0.40% and the STOXX 50 rising 0.30%. AstraZeneca gained on plans for a direct NYSE listing, GSK rose after appointing a new CEO, and Lufthansa edged higher as it set ambitious free cash flow and margin targets.

Locally, the FTSE/ JSE All Share Index climbed 0.80% to a fresh record above 107 500 points, supported by a broad-based rally in gold miners as bullion prices benefitted from a softer dollar. Sibanye, Harmony, and AngloGold were among the top gainers, while Boxer jumped on double-digit turnover growth.

In Asia, the Hang Seng climbed 1.90% to 26 322 points, as sentiment improved on signs of stronger Chinese policy support and expectations for interest rate and reserve requirement ratio (RRR) cuts — the latter freeing up more liquidity for banks to lend — later this year. Regulatory moves to curb aggressive price wars further lifted confidence.

Meanwhile, oil prices slid sharply, with WTI crude down more than 3% to $63.40 per barrel. Exports from Iraq’s Kurdistan region resumed after a two-and-a-half-year halt, and expectations of an OPEC+ output hike reinforced oversupply concerns.