Global Stock Market Rallies on U.S.-China Trade Optimism and Fed Watch
Equities surged as renewed hopes for a U.S.-China trade deal ignited risk appetite. Dow futures advanced 0.5%, while the Nasdaq 100 outperformed with a 1.3% gain, fueled by semiconductor and megacap tech stocks. The rally builds on last week's record highs as both nations described weekend negotiations as productive ahead of a critical Trump-Xi meeting.
Market participants now pivot to the Federal Reserve's impending rate decision, with a 25-basis-point cut fully priced in following subdued inflation data. The liquidity tailwind coincides with earnings season's crescendo—Microsoft, Alphabet, and Meta report midweek, with Apple and Amazon rounding out the 'Magnificent Seven' whose performance disproportionately impacts major indices.