Nasdaq 100 Futures Rise 1% in an Exciting Year – Europe Market Wrap
On a day when precious metals were also rising, equities got off to a solid start in 2026 thanks to a new surge of optimism about AI.
Nasdaq 100 futures rose 1.1% on a flurry of AI news from Asia, propelling the regional index to its strongest start of the year since 2012. Tesla gained 2.3% in premarket trade, leading advances among the Magnificent Seven megacaps. Europe’s Stoxx 600 reached an all-time high, while the S&P 500 was expected to open 0.6% higher. In the UK, the FTSE 100 temporarily surpassed 10,000 for the first time.
Treasuries rallied across the curve after the 30-year debt yield rose to its highest level since September. Precious metals rebounded after days of dramatic fluctuations, with silver climbing 4% to $74.50 per ounce. Gold rose amid advances in industrial metals like copper and aluminium. The Dollar remained quite stable.
Tech and AI were among the top themes for stock investors in 2025, propelling the S&P 500 to its third year of double-digit gains. Forecasts predict more of the same in 2026, despite persisting concerns about already stretched valuations and suspicions that massive sums of capital expenditure would fail to pay off.
Aside from AI, the strategists believe that many significant issues will impact markets in 2026, including fresh developments in US trade policies and, notably, a US Supreme Court case ruling on the validity of levies. Another big focus will be on the Fed, with Trump anticipated to nominate a successor to Powell early this year.
