Global Market Today: Asian stocks fluctuate at open, oil stays above $100

Contracts for the S&P 500 Index dropped 0.4% and Brent advanced 1.3% to nearly $103 a barrel. Asian shares fluctuated at the open and advanced 0.1%.

The fluctuating moves at the open in Asia came after the S&P 500 rose 1.1% to a record Wednesday, placing the index on track for its best month since 2020. The Nasdaq 100 gained 1.7% to also set a closing peak. US chipmakers climbed for a 16th straight day, the longest-ever advance.

Stocks rose during the US session after President Donald Trump’s extension of the ceasefire marked a retreat from threats to resume bombing Iran if a deal wasn’t reached by a Wednesday deadline. The focus now is on whether talks can resume and the two sides can reach an agreement, especially as the closure of the Strait of Hormuz keeps energy prices elevated, risking higher inflation and weighing on economic growth.

Tensions remain high as the US and Iran failed to meet for a fresh round of peace talks, with both sides blocking the waterway to gain leverage during an extended ceasefire. Tehran says it has no plans to take part in negotiations imminently.

Strong corporate profits, the revival of the artificial-intelligence trade and an otherwise resilient economy have buoyed stocks despite lingering geopolitical risks. Nearly 80% of the S&P 500 companies reporting first-quarter results have beaten analyst earnings estimates so far, according to data compiled by Bloomberg. Focus is likely to shift to Asian semiconductor stocks after the Philadelphia Stock Exchange Semiconductor Index posted a record run, as investors bet on continued strength driven by artificial intelligence-related demand.The semiconductor sector is expected to grow revenue by about 57% in 2026, according to Bloomberg Intelligence data, which is twice the pace of the overall tech sector, and well above the 9.3% growth expected for the S&P 500 Index.

“There’s a huge amount of demand because of artificial intelligence, and I think we can expect the heavy spending on AI to continue for the foreseeable future,” said Mark Grant, chief global strategist at Alliance Global Partners. “The sector still looks attractive in terms of both valuation and growth, and that should be positive for both semiconductor stocks broadly, but also the market overall.”