World stocks rise as U.S. holiday pauses Wall Street trading
European and Asian markets advanced after a Dow record, while chip shares remained under pressure from AI valuation concerns.
By Sofia Marchetti · World Affairs Correspondent
3 min read
Stocks in Europe and Asia moved higher Friday, with U.S. markets shut for the Independence Day holiday, the Associated Press reported. The gains followed another record close for the Dow Jones Industrial Average, even as pressure on chipmakers kept major U.S. indexes mixed.
U.S. stock futures also pointed higher, according to AP. Futures tied to the S&P 500 rose 0.4%, while Dow futures added 0.2%.
In early European trading, Germany’s DAX gained 0.7% to 52,643.30, AP reported. France’s CAC 40 rose 0.3% to 8,497.30, and Britain’s FTSE 100 advanced 0.4% to 10,689.77.
Asian markets also climbed after two difficult sessions led by technology selling, according to AP. South Korea’s Kospi rebounded 5.8% to 8,088.34 after falling nearly 8% Thursday. Samsung Electronics rose 8.2%, while SK Hynix gained 10.9%.
Japan’s Nikkei 225 climbed 1.5% to 69,744.07, AP reported. Tokyo Electron added 0.4%, and memory maker Kioxia rose 9.2%. Hong Kong’s Hang Seng increased 1.3% to 23,345.28, while the Shanghai Composite added 0.4% to 4,043.64.
Elsewhere in the region, Taiwan’s Taiex edged up 0.1%, India’s Sensex rose 0.7% and Australia’s S&P/ASX 200 gained 1.4% to 8,844.40, according to AP.
Stephen Innes of SPI Asset Management said in commentary cited by AP that Asian stocks had steadied after tech-driven losses, with South Korea showing how quickly a crowded trade can reverse.
On Wall Street Thursday, the Dow rose 1.1% to 52,900.07, a record close, AP reported. The S&P 500 ended almost flat, rising less than 0.1% to 7,483.24, even though about 70% of its components gained. The Nasdaq composite fell 0.8% to 25,382.67.
AP reported that stocks received some support from U.S. labor data showing employers added 57,000 jobs last month. Economists had expected 100,000 jobs, and the figure marked a slowdown from May.
The softer hiring number could reduce pressure on inflation, AP reported, after oil prices had climbed because of the war with Iran. With oil prices now below prewar levels, slower inflation in coming months could leave the Federal Reserve with less reason to raise interest rates several times this year, according to AP.
Crypto-linked shares gained after bitcoin rose about 2% Thursday, a day after trading near its lowest level since 2024, AP reported. Robinhood Markets rose 3.8%, and Coinbase Global gained 3.9%. Bitcoin was up 0.5% early Friday.
Chip stocks remained a drag on U.S. indexes, according to AP, as investors questioned whether AI-driven spending on chips and data centers would deliver the profits and productivity gains implied by share prices. Micron Technology fell 5.5% after a 10.6% drop the prior day, Nvidia declined 1.4% and Lam Research sank 10.2%.
Nvidia’s market value stood near $4.7 trillion, giving its shares the heaviest influence in the S&P 500, AP reported.
In commodities and currencies early Friday, Brent crude rose 0.6% to $72.26 a barrel, and U.S. crude gained 0.5% to $69.05, according to AP. The dollar slipped to 160.97 yen from 161.11 yen, while the euro rose to $1.1450 from $1.1431.
This story draws on original reporting from Fortune.