Global Stocks Surge Amid Cooling Inflation Hopes

Global stocks climbed as U.S. Treasury yields fell, driven by hopes of cooling inflation. The producer price index rose 0.4% last month. U.S. stocks, led by materials and consumer discretionary sectors, responded positively, while international markets also showed gains. The yield on 10-year Treasury notes decreased significantly.

Global markets witnessed a surge on Thursday, breaking a three-day slump, as U.S. Treasury yields dropped following inflation readings that suggested the Federal Reserve's preferred price measure might not be as high as anticipated.

The U.S. Labor Department revealed that the Producer Price Index (PPI) for final demand increased by 0.4% last month, surpassing economists' forecasted 0.3%. This comes on the back of Wednesday's Consumer Price Index (CPI) acceleration.

U.S. stocks, particularly within the materials and consumer discretionary sectors, saw substantial gains. The Dow Jones, S&P 500, and Nasdaq all posted increases, with similar bullish sentiment observed in international equity markets, driven by hopes for geopolitical resolutions and economic stability.

(With inputs from agencies.)