Prime Highlights :
- Asian markets rose as tech shares gained on strong global earnings results.
- Investor interest in artificial intelligence stocks returned after upbeat results from Apple, Google, Microsoft and Samsung boosted market sentiment.
Key Facts :
- Companies in the S&P 500 are on track to post earnings growth of 27.1%, the strongest pace in more than four years.
- The Strait of Hormuz handles around one-fifth of global oil and gas flows.
Background :
Asian stock markets mostly advanced on Monday as technology shares led gains after another strong session on Wall Street. Investor confidence improved after major global companies posted solid earnings and reports emerged that Iran had submitted fresh proposals aimed at ending its conflict with the United States.
Technology stocks drove the rally as investors returned to artificial intelligence-linked companies. Strong quarterly results from Apple, Google, Microsoft and Samsung renewed buying interest in the sector after recent volatility caused by tensions in the Middle East. Market data showed companies in the S&P 500 are on track to deliver earnings growth of 27.1 %, the strongest pace in more than four years.
At the same time, investors closely tracked developments between Iran and the United States. Reports said Tehran sent a new proposal to mediators in Pakistan seeking a complete end to the conflict within 30 days. The proposal also reportedly called for guarantees against future strikes, the lifting of blockades and the removal of sanctions. Iran’s foreign ministry said it had submitted a 14-point peace plan and was reviewing a response from Washington.
Despite optimism, the Middle East situation remained tense. The Strait of Hormuz, a key route for global energy shipments, remained restricted, affecting oil market sentiment. Oil prices moved unevenly after recent declines. Former US President Donald Trump said positive discussions were taking place and that US forces could soon begin escorting ships through the strait under a humanitarian initiative called Project Freedom. Investors will continue watching both corporate earnings and geopolitical talks for the next direction of global markets this week.
