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Global equity markets surged on Friday, with MSCI’s global equities gauge rallying 1.5 percent in its strongest advance in months, while bitcoin and precious metals also rebounded from recent sharp selloffs. The rally came after global stocks had fallen in five of the previous six sessions, driven by renewed investor appetite for U.S. technology stocks, particularly semiconductor shares.
Wall Street led the global equity rebound, with the Dow Jones Industrial Average climbing 2.47 percent to close above 50,000 for the first time at 50,115.67. The S&P 500 rose 1.97 percent to 6,932.30, while the Nasdaq Composite jumped 2.18 percent to 23,031.21, marking its biggest one-day gain since late November, according to market data.
Technology Stocks Drive Global Equity Rally
Technology shares led the recovery after suffering massive losses in the prior three sessions amid concerns about artificial intelligence spending and competitive disruption. The Philadelphia semiconductor index rallied 5.7 percent after three consecutive daily declines, while the S&P 500’s software and services index climbed 2.4 percent following a more than 17 percent drop over seven sessions.
Robert Pavlik, senior portfolio manager at Dakota Wealth in Fairfield, Connecticut, attributed the bounce to technical buying after the S&P 500 hit its 100-day moving average. He suggested investors recalculated the timeline for AI disruption to materialize in the software industry, noting that “the realization that this is not something that’s happening today brought a little bit cooler heads to the market.”
Amazon Spending Announcement Weighs on Tech Sector
However, Amazon.com shares finished down 5.6 percent after the company announced substantial spending plans late Thursday. The announcement brought the combined 2026 AI spending spree by Amazon, Microsoft, Alphabet, and Meta Platforms to an estimated $600 billion, according to analysts.
Additionally, concerns about AI-related disruption in the software and data services sectors continued to pressure certain technology stocks. Despite Friday’s rally, the Nasdaq still declined 1.84 percent for the week, while the S&P 500 eased 0.1 percent.
Bitcoin and Precious Metals Recover Ground
Cryptocurrencies managed a strong rally to stem a bruising selloff after Thursday’s wipeout, which formed part of a larger decline that erased $2 trillion in value from the crypto market since October. Bitcoin gained 10.79 percent to $69,909.01, while Ethereum rose 10.88 percent to $2,047.77.
Meanwhile, precious metals advanced with help from bargain-hunting and a slightly weaker dollar. Spot gold rose 3.93 percent to $4,957.39 an ounce, while spot silver surged 8.6 percent to $77.36 an ounce, recovering from a one-and-a-half-month low.
Oil Prices Edge Higher Amid Geopolitical Developments
Oil prices settled slightly higher as investors monitored talks between the United States and Iran. U.S. crude settled up 0.41 percent at $63.55 a barrel, while Brent settled at $68.05 per barrel, up 0.74 percent, as traders assessed the possibility of a supply-disrupting Middle East conflict.
Iran’s top diplomat said the nuclear talks with the U.S., mediated by Oman, were off to a good start and set to continue. In contrast, precious metals received support from lingering concerns over these diplomatic negotiations.
Currency Markets and Treasury Yields
In currency markets, the safe-haven dollar index fell 0.36 percent to 97.61 as risk assets rebounded. The euro rose 0.41 percent to $1.1823, while sterling strengthened 0.67 percent to $1.3616 after falling in the previous session.
U.S. Treasury yields moved mixed, with the two-year note yield rising 1.3 basis points to 3.496 percent after rebounding from a more than three-month low. Traders remained positioned for the next Federal Reserve rate cut in June, according to the CME Group’s FedWatch tool.
Market participants will turn their attention to January’s delayed payrolls report next week, which is expected to provide crucial clues about labor market strength and influence monetary policy expectations. The uncertainty surrounding technology sector valuations and AI investment returns is also likely to remain a focal point for investors in coming sessions.
