AI Stocks Power Global Rally as Dow, Nikkei and Euro Stoxx Surge

Tech‑driven rally fuels global markets

Investors are practically riding a wave of excitement after a series of AI‑focused announcements hit the headlines this week. The biggest story? Nvidia said it will pour up to $100 billion into OpenAI, with the first data‑center gear slated for delivery in the latter half of 2026. That single headline lit a fire under a wide swath of tech stocks, turning what started as a sector‑specific bounce into a full‑blown market surge.

Nvidia’s own shares jumped almost 4 %, but the real headline‑grabber was Intel, which vaulted more than 24 % after reports surfaced of a separate, yet undisclosed, deal with the chip giant. The momentum was contagious – funds that chase short‑term price moves and options traders alike piled in, creating what analysts described as a self‑fulfilling loop of buying pressure.

Across the Atlantic, the Dow Jones caught the tailwind, climbing as the Federal Reserve’s recent dovish stance reassured investors that interest rates would stay friendly for risk assets. The index’s rise was modest compared with the tech‑heavy gains, but it underscored how a supportive monetary backdrop can amplify a sector‑led rally.

In Asia, the Nikkei 225 made history by hitting an all‑time high of 45,956 on September 18 2025, a record that briefly outshone the fear of a market correction. The index slid back 3.2 % the next day, settling around 44,485, just as the Bank of Japan announced its first plan to unwind a massive ¥79.5 trillion ETF portfolio. The unwinding will stretch over a century, but the explicit roadmap gave markets a clearer sense of future supply pressures.

Europe wasn’t left out. The Euro STOXX 50 nudged up 1.49 % to close near 5,450 points, while the broader STOXX Europe 600 added roughly 0.5 %. Heavyweights in tech and industry—SAP, ASML, Linde, Siemens and Schneider Electric—each posted double‑digit percentage gains, reinforcing the narrative that AI‑related growth is spilling over into more traditional sectors.

Even gold, the classic safe‑haven, joined the party, soaring to a fresh record of $3,755.47 per ounce. The metal’s rally reflected a paradox: investors were buying risk‑on equities while also hedging with a timeless store of value, a dual‑move that signals a high‑confidence, yet cautious, market mood.

Central bank moves and sector reactions

While tech headlines provided the spark, central banks supplied the oxygen. The Federal Reserve’s recent comments suggested a pause on rate hikes, a stance that typically fuels equities by lowering the cost of borrowing and boosting corporate earnings expectations. Meanwhile, the Bank of Japan’s decision to gradually shrink its ETF holdings—selling about ¥620 billion a year at market value—marked the first clear plan to dial back the ultra‑easy policy that has kept Japanese stocks buoyant for years.

European banks also felt the lift, with major lenders like Banco Santander, UniCredit, Intesa Sanpaolo and BNP Paribas all posting gains. The financial sector’s rally showed that investors aren’t just chasing tech; they’re also betting on broader economic stability after years of rate uncertainty.

Not everything was rosy, however. SIG Group plummeted 20 % after issuing a profit warning, and Britain’s retailer Next slipped 5.5 % amid worries over sales momentum. These outliers reminded traders that while the market is in a high‑gear forward march, individual stocks can still face headwinds.

Across the broader Asian landscape, the story was similar. South Korean equities ticked up 0.2 % after a near‑9 % month‑to‑date surge, Taiwan’s market rose close to 7 %, and Japan’s month‑long performance held strong at a 6.5 % gain, even though the market was closed for part of the month due to a national holiday.

Analysts are now asking whether the rally’s engine—chiefly AI stocks—has enough fuel to keep running. The combination of massive corporate partnerships, a still‑accommodative monetary environment, and a palpable investor appetite for risk creates a fertile ground for continued upside. Yet, the sheer scale of the BoJ’s ETF unwind and the inevitable need for profits to materialize in the AI space could test the market’s stamina later this year.

• Key winners: Nvidia (+3.8 %), Intel (+24 %+), SAP (+2.3 %), ASML (+2 %), Linde (+1.8 %).
• Major losers: SIG Group (-20 %), Next (-5.5 %).
• Indices: Dow Jones up modestly; Nikkei 225 hit 45,956 then retreated; Euro STOXX 50 +1.49 %.
• Commodities: Gold record high $3,755.47/oz, up ~9 % month‑to‑date.

The market’s current choreography—tech breakthroughs, strategic cash injections, and central bank signals—paints a picture of a tightly linked global financial system. Investors will be watching upcoming earnings, further AI‑related deals, and any shift in monetary policy tones very closely. For now, the rally remains robust, driven largely by the promise of AI and the confidence that policymakers will keep the environment supportive.