S&P 500 Gets Closer to Its Record in Broad Advance: Markets Wrap

Market Overview - The Nasdaq 100 is set to recover December's losses, driven by renewed interest in technology stocks, with global equity markets experiencing gains [1] - Futures on the Nasdaq 100 rose by 0.5% following a nearly 3% rally over the past two sessions, with tech and mining shares leading the advances in Europe [1] - Asian benchmarks, particularly South Korea's Kospi, which are heavily influenced by artificial intelligence demand, also outperformed [1] Commodity Movements - Significant price increases were noted in commodities, with gold, silver, and copper reaching record highs, while oil prices rose amid geopolitical tensions related to Venezuela [2][5] - Spot gold prices increased by over 1.5%, surpassing the previous record of $4,381 per ounce set in October, and silver also reached a new record [5] Economic Sentiment - There is growing optimism for a year-end rally in equities, as dip buyers helped US stocks rebound from previous declines, with the S&P 500 Index gaining 0.9% on Friday [3] - The market is experiencing a "risk-on" liquidity wave, supported by resilient US economic growth and expectations of lower Federal Reserve interest rates, which are easing financial conditions [4] Geopolitical Factors - The rise in oil prices is attributed to increased geopolitical tensions, particularly following the US's intensified blockade on Venezuela, which has implications for global oil supply [2][5]