Global Markets Surge Amid Micron’s Forecast, Oil Prices Dip

Global stock markets surged to record highs, fueled by Micron Technology's positive forecast impacting the semiconductor sector. Concurrently, oil prices dipped due to Saudi Arabia's reported plans to increase output. Treasury yields rose as U.S. jobless claims dropped unexpectedly, impacting Federal Reserve's rate cut expectations. European and Chinese markets also showed strong performance.

Global stock markets hit record highs on Thursday following an optimistic forecast from chipmaker Micron Technology, which positively influenced the semiconductor sector. Meanwhile, oil prices fell as reports emerged that Saudi Arabia plans to raise oil output, ditching its $100 per barrel price target.

U.S. Treasury yields increased after a drop in jobless claims, shifting the odds against another 50-basis point rate cut by the Federal Reserve at its upcoming November meeting. Last week's rate reduction marked the first decrease in borrowing costs since 2020.

European shares closed higher, led by China-related stocks, as China hinted at further fiscal measures to sustain its economic growth. Micron's forecast bolstered optimism about AI-related chip demand, driving its shares up by over 15%, while an index of semiconductors rose by 3.6%.

(With inputs from agencies.)