Markets around the world opened with a clear risk-on tone, driven by optimism that the U.S. government shutdown may soon end and lift investor sentiment.

U.S. markets: Futures climbed as hopes of a resolution to the shutdown combined with positive AI chip guidance — particularly from AMD — reignited enthusiasm for tech stocks. However, volatility persisted in AI stocks such as Nvidia, due to recent profit-taking and insider stake sales, which occasionally weighed on the Nasdaq. Meanwhile, a shift towards cyclical exposure was evident as investors rotated into value and financial sectors, helping the Dow outperform.

In Europe: The DAX advanced to multi-week highs as Germany’s October inflation data met expectations, while corporate earnings (including those of Infineon) reassured investors. European financials also benefited from renewed global risk appetite linked to progress on the U.S. shutdown.

Asia: Japan’s Nikkei posted modest gains of around 0.4–0.5%, supported by improved outlooks from major firms such as Sony, as well as reduced losses from SoftBank. A weaker yen, hovering near multi-month lows, continued to bolster exporters and sustain momentum for Japanese equities.