AI enthusiasm returns with Meta's Muse, buoying chipmakers and Nasdaq
Investor optimism for AI has resurfaced following strong demand for Meta Platforms' AI assistant, Muse, which has boosted chipmakers and pushed the Nasdaq to a record high. Stalling oil prices have also supported risk sentiment. Attention will be on a potential meeting between Donald Trump and Xi Jinping later this week.
S. launch revived optimism, while easing oil prices also supported risk sentiment. Investors will also be watching later this week for a high-stakes meeting between Donald Trump and Xi Jinping, looking for signs the leaders of the world's two largest economies can prevent a further deterioration in relations. AI is expected to be near the top of the agenda after a proposal for a new safety notification mechanism for the two leaders to consider.
S. and has since seen strong demand and usage. That helped lift chipmakers and send the tech-heavy Nasdaq to a record high. 6% and Taiwan stocks gaining about 1%.
European futures pointed to a higher open. The early signs of success for Muse come in the wake of a series of cascading events Over a 10-day stretch, concerns have grown among the largest AI labs that their creations could threaten to break humanity. Brent crude futures were above $100 per barrel after falling for four straight sessions on hopes of US-Iran talks, following Trump's comment that he would be open to meeting Iranian President Masoud Pezeshkian, who is expected in New York this week for the UN General Assembly. French markets will also be in focus as investors weigh worries about the country's long-term finances.
The cost of insuring French government debt against default rose on Monday to the highest since March 2020, while French bonds, or OATs, were the worst-performing major-economy bonds in 2026. Key developments that could influence markets on Tuesday include euro zone consumer confidence for September and Kingfisher Plc earnings.