US STOCK MARKET HITS RECORD HIGH ON CORPORATE EARNINGS

The S&P 500 surged 1.8 per cent on Tuesday to exceed 7,700 for the first time, surpassing its previous record of 7,620.90 set on 2 June. The Dow Jones Industrial Average climbed 1.7 per cent to 54,085.88, setting a record for a second consecutive day, whilst the Nasdaq composite jumped 2.6 per cent. The rally extended into Asia on Wednesday morning, with Tokyo's Nikkei 225 up 3 per cent and Seoul's Kospi up 4.6 per cent as of 01:00 GMT.

The gains reflected strong corporate earnings across major firms. Palantir Technologies, a data analytics company, surged 29.5 per cent after reporting second-quarter revenue of $1.94bn and announcing a 93 per cent increase in overall revenue. Chief Executive Alex Karp described the quarter as "otherworldly" and raised the company's full-year revenue forecast. Caterpillar, the heavy-equipment manufacturer, climbed 5.6 per cent after reporting stronger-than-expected profit and revenue, with its Chief Executive Joe Creed noting strong order rates and a growing backlog. According to FactSet, companies in the S&P 500 index were on track to deliver earnings-per-share growth of nearly 50 per cent for the spring quarter compared with a year earlier, the largest such increase since 2021. Oil prices fell, with Brent crude dropping 5.3 per cent to $79.36 per barrel, as market sentiment shifted following reports of progress in talks between Iranian and Omani officials aimed at restoring shipping through the Strait of Hormuz. The S&P 500 has risen 12.80 per cent so far this year, exceeding its historical average of approximately 10.5 per cent.