Getty Images / Spencer Platt Strong earnings for chipmakers are sending stocks higher.
- Stocks around the world are rallying into the weekend, with Asian markets hitting their highest level in more than seven weeks over renewed enthusiasm for the US tech sector.
- Several US-based chipmakers reported earnings on Thursday, many delivering better than expected results, helping to boost markets, a trend which spread into Asia overnight.
- "Asian markets focused on the technology rally, overshadowing the trade uncertainties, ahead of another round of talks in Washington next week," Jasper Lawler, head of research at London Capital Group said.
- Follow all the latest market moves with Markets Insider.
Stocks around the world are rallying into the weekend, with Asian markets hitting their highest level in more than seven weeks over renewed enthusiasm for the US tech sector.
Several US-based chipmakers reported earnings on Thursday, many delivering better than expected results, helping to boost their share prices. Semiconductor company Xilinx gained 20%, while Lam Research bounced 15% percent after reporting better-than-expected results.
"Investors who were already excited about the US chip sector's earnings the day before got even more reassured after they saw how their stocks moved," Shogo Maekawa, a global market strategist at JPMorgan Asset Management said Friday.
Optimism in the space provided a boost for the Nasdaq into the close on Thursday, which helped fuel a rally in Asian shares overnight.
"Whilst conflicting signals over US-China trade progress kept the Dow and the S&P in negative territory overnight, strong earnings for chipmakers allowed the Nasdaq a positive close," Jasper Lawler, head of research at London Capital Group said.
"Asian markets focused on the technology rally, overshadowing the trade uncertainties, ahead of another round of talks in Washington next week."
The Asian rally spread into Europe in the first hour or so of trading, and looks set to continue once US stocks open later in the day. Here's how things look just after 9.00 a.m. GMT (4.00 a.m. EST).
- Chinese shares were the big winners overnight, with the China A50 ending its week up more than 1.3%. Elsewhere, the benchmark Shanghai Composite was 0.4% higher.
- Outside mainland China, the Nikkei in Japan gained 1%, with Hong Kong's Hang Seng closing 1.6% higher.
- The MSCI's broadest index of Asia-Pacific shares outside Japan ended Friday higher by more than 1%, closing at its highest level since December 4, according to Reuters.
- In the European morning all major indexes are higher, with several up more than 1%. The Euro Stoxx 50 wide index is 1.1% higher, as Germany's DAX gains 1.3%.
- US futures point to a positive open for all three major indexes, with the Nasdaq leading the way on the back of Thursday's semiconductor rally. It is set to open just shy of 1% higher, while the S&P 500 and Dow Jones look to gain roughly 0.6%.