European and US Stocks Surge to Record Highs on AI Optimism

European and US Stocks Surge to Record Highs on AI Optimism

European and US stocks surged to record highs this week, driven by optimism in artificial intelligence and signs of a cooling labour market. The pan-European Stoxx 600 index and Wall Street's main indexes all closed higher on Friday, marking their third consecutive session of gains.

The Stoxx 600 index climbed 0.5 per cent on Friday, reaching an all-time high for the third day in a row. This brought its weekly gains to 2.8 per cent. In the US, the S&P 500 and Nasdaq Composite hit record intraday highs, putting them on track for weekly gains. London's FTSE 100 also logged its biggest weekly jump since April, closing at a record high on Friday, with financials leading the way up.

In Europe, shares logged their best weekly performance in five months. Healthcare and mining stocks led the advances on the day. World stocks were on course for a solid weekly gain and more record highs. The seemingly unstoppable rally in tech shares and expectations of lower US interest rates helped offset uncertainty from the US government shutdown. In Ireland, banking shares gained, with Bank of Ireland up 1.6 per cent and AIB up 0.76 per cent. The Irish index of shares ended the week on a high note, edging into positive territory.

The week saw a broad-based rally in global stocks, with record highs reached in Europe and the US. Optimism around AI and a potential slowdown in US interest rates fueled the gains. In Ireland, the banking sector contributed to the positive sentiment, with Bank of Ireland reporting a 1.6 per cent profit gain, led by Susan Russell, CEO of Bank of Ireland’s Retail Ireland division.

Read also:

• Thieves Steal Unique Sculptures from Redwood National Park's Grove of Titans
• Strategizing the Integration of Digital Menus as a Core Element in Business Operations
• Financial Actions of BlockDAG Following Inter and Borussia Agreements: Anticipating Future Steps
• International powers, including France, Germany, and the UK, advocate for the reinstatement of sanctions against Iran.