Global equities pushed to new highs, with the Euro Stoxx 600 climbing 0.5% to an all-time record, while a broad gauge of Asian shares now sits less than 2% below its own historic peak. The risk-on sentiment extended across regions as investors continued to digest the implications of the Federal Reserve’s latest rate cut and a flurry of corporate announcements tied to artificial intelligence.
UBS surged 5% to a 17-year high after Swiss lawmakers proposed softer-than-expected capital requirements for the country’s largest bank, easing concerns that post-Credit Suisse regulatory tightening would weigh heavily on profitability.
On the geopolitical front, President Donald Trump intensified efforts to secure a Ukraine peace agreement, saying the US is prepared to offer security guarantees as part of a broader deal. Ukrainian President Volodymyr Zelensky, meanwhile, signaled openness to a referendum on territorial questions—an idea that would have been unthinkable earlier in the conflict.
In the corporate world, Walt Disney Co. unveiled a $1 billion investment and licensing partnership with OpenAI, a move aimed at accelerating the company’s AI capabilities across its entertainment properties. Spanish lender BBVA also signed an agreement with OpenAI, granting access to ChatGPT for all 120,000 employees, one of the largest corporate deployments of generative AI to date.
Safe-haven assets joined the rally. Gold rose to $4,338, its highest level since October, buoyed by expectations of a more accommodative Fed.
Markets extended gains on Wednesday: European equities rose another 0.7%, led by Spain’s Ibex — already up 44% year-to-date — while Japan and Hong Kong advanced between 1.5% and 2% in a strong Asian session. US futures traded near unchanged, suggesting investors may pause after the latest leg higher.