Stock Indices Rise Due to Strong Performance from Chip Manufacturers

Market Performance: The S&P 500, Dow Jones, and Nasdaq 100 indices are all experiencing gains, with the Nasdaq reaching a 1.5-week high, driven by strong performances in semiconductor and technology stocks, particularly MongoDB and Credo Technology Group.

Economic Forecasts: The OECD has maintained its global GDP forecast for 2025 at 3.2% but has raised the US GDP forecast to 2.0%. The organization attributes resilience in the global economy to strong AI investments and supportive fiscal policies.

Interest Rates and Bond Yields: The 10-year T-note yield has risen to a 1.5-week high, influenced by expectations of a 96% chance of a rate cut at the upcoming FOMC meeting. European bond yields are also increasing, with the German bund yield reaching a 2-month high.

Corporate Earnings: The Q3 earnings season is concluding with 83% of S&P 500 companies exceeding forecasts, marking the best quarter since 2021, with earnings rising 14.6% year-over-year, significantly above expectations.