Nasdaq 100 Futures Rally in Lively Start to 2026: Markets Wrap
(Bloomberg) — A fresh burst of optimism around artificial intelligence sent stocks off to a strong start in 2026 on a day that also saw precious metals pushing higher.
Nasdaq 100 futures advanced 0.9% on a flurry of AI news out of Asia that also drove the regional benchmark to the best open of a year since 2012. Nvidia Corp. rose 1.4% in premarket trading to lead gains among the Magnificent Seven. Europe’s Stoxx 600 hit an all-time high while the S&P 500 was set to climb 0.5% at the open. In the UK, the FTSE 100 briefly rose past 10,000 for the first time.
A strong debut in Hong Kong for chip designer Shanghai Biren Technology Co. Ltd. helped to set the buoyant tone early in the day. Baidu Inc. rallied after its AI chip unit confidentially filed for an IPO. Meanwhile, DeepSeek published a paper outlining a more efficient approach to developing AI.
Treasuries strengthened after the 30-year yield initially climbed to the highest since September. Precious metals rallied following days of sharp swings, with silver rising 3.3% to around $74 an ounce. Gold advanced alongside gains in industrial metals such as copper and aluminum. The dollar was little changed.
Tech and AI were among the dominant themes for stock investors in 2025, helping power the S&P 500 to a third year of double-digit gains. Forecasts signal more of the same for 2026 despite lingering wariness over already stretched valuations and fears that vast amounts of capital expenditure could fail to pay off.
“What we are seeing today is a continuation of the run higher in equities, with AI and tech again at the forefront,” said Tim Waterer, chief market analyst at KCM Trade. “Traders are still in a buying mood, with many of the bullish themes from 2025 carrying forward into 2026.”
Friday’s upbeat mood is defying historic trends after the S&P 500 recorded declines on the first trading days of the previous three years. Since 1953, the S&P 500’s median change to kick off a new year has been a 0.3% drop, with gains less than half the time, according to a note by Bespoke Investment Group.
Barclays Plc strategists warned equity markets could get choppy as they enter 2026 at record highs that are “over-reliant on AI success.” The team still expects further gains this year, thanks to resilient corporate earnings and a favorable trade-off between growth and monetary policy.
“The first trading day has been an incredibly poor guide in recent times to how the rest of the year plays out,” wrote Deutsche Bank AG strategists including Henry Allen. In fact, “2022 saw an all-time high on the first day, before the index fell into a bear market and its worst year since 2008. Whatever happens today, we really shouldn’t overegg the day one moves.”
The strategists noted that several key themes apart from AI will shape markets in 2026, including new developments in US trade policies and specifically a Supreme Court case that will rule on the legality of levies. The Fed will be another major focus, with President Donald Trump expected to name a successor to Jerome Powell early in the year.
“The scope for further gains driven purely by valuation expansion in 2026 may be limited,” wrote Linh Tran, an analyst at XS.com. “Shocks related to interest rates, earnings, or policy could therefore trigger faster and more pronounced corrections than in earlier phases of the cycle.”
Corporate News:
Shares in RH gain 4.3% and Wayfair Inc. advances 2.4% in premarket trading after the Trump administration delayed tariff increases on upholstered furniture, kitchen cabinets and vanities. Tesla Inc. finished off a dismal year in Europe with steep declines in several of the region’s major markets for new-car sales. BYD Co. met its full-year sales target and likely surpassed Tesla Inc. to become the world’s largest electric-vehicle maker in 2025 — a milestone overshadowed by a challenging outlook for the Chinese auto market in the year ahead. Orsted A/S filed a legal complaint after the Trump administration suspended the lease of a wind project that’s near completion off Rhode Island. Some of the main moves in markets:
Stocks
S&P 500 futures rose 0.5% as of 8:26 a.m. New York time Nasdaq 100 futures rose 0.9% Futures on the Dow Jones Industrial Average rose 0.3% The Stoxx Europe 600 rose 0.6% The MSCI World Index was little changed Currencies
The Bloomberg Dollar Spot Index was little changed The euro fell 0.2% to $1.1726 The British pound was unchanged at $1.3455 The Japanese yen was little changed at 156.86 per dollar Cryptocurrencies
Bitcoin rose 1.4% to $89,498.06 Ether rose 2.2% to $3,051.09 Bonds
The yield on 10-year Treasuries declined one basis point to 4.16% Germany’s 10-year yield advanced two basis points to 2.88% Britain’s 10-year yield advanced three basis points to 4.51% Commodities
West Texas Intermediate crude fell 0.9% to $56.88 a barrel Spot gold rose 1.4% to $4,381.49 an ounce This story was produced with the assistance of Bloomberg Automation.
–With assistance from Anand Krishnamoorthy and Subrat Patnaik.
©2026 Bloomberg L.P.
