Global Markets React Amid Political Shuffles and Economic Uncertainty

Major stock indexes rose as AMD announced a chip-supply deal with OpenAI, boosting equities. Political changes in Japan and France affected currency markets, while Bitcoin hit a record high amid U.S. government shutdown concerns. AI and crypto stocks showed gains, while oil prices rose modestly.

On Monday, stock markets mostly enjoyed gains, driven by AMD's deal with OpenAI for AI chip supply, pushing S&P 500 and Nasdaq to record highs. Currency markets faced volatility with the yen and euro weakening due to political changes in Japan and France. Meanwhile, Bitcoin surged to $125,295.33 as investors looked for alternatives amid U.S. government shutdown concerns.

The yen fell sharply after Japan's ruling party elected Sanae Takaichi, aligning with the previous 'Abenomics' approach to boost fiscal spending. In Europe, French Prime Minister Sebastien Lecornu's resignation added instability to an already fractured political scene. Stocks like AMD soared, with the Philadelphia Semiconductor Index seeing a favorable 2.9% increase.

Amid economic uncertainty, gold prices climbed to unprecedented levels, boosted by geopolitical tensions. U.S. government bonds saw yields up due to delayed economic data. Modest gains in oil prices followed OPEC+'s restrained production plans, while Wall Street's outlook remained mixed due to ongoing federal concerns.

(With inputs from agencies.)