US stock futures rise as the S&P 500 nears its all-time high, while Asian markets continue their losses.

US stock futures rose on Thursday after Wall Street closed another positive session, fueled by growing optimism about slowing inflation and continued strong corporate earnings. Meanwhile, Asian markets remained under pressure, led by semiconductor stocks. Dow Jones futures climbed nearly 50 points , while S&P 500 and Nasdaq 100 futures both rose 0.1% , indicating expectations of a positive opening for US markets.

The S&P 500 closed Wednesday’s session at 7,572 points , less than 60 points away from its all-time high, supported by continued positive momentum in major company stocks.

Technology stocks led the market gains, with Apple , Alphabet and Amazon shares rising by more than 3% each, offsetting the decline in chip stocks and contributing to the continued rise of US indices.

The positive sentiment followed the release of US Producer Price Index (PPI) data, which showed a greater-than-expected slowdown in price pressures, reinforcing investors’ bets that inflation will continue to decline. The PPI is seen as an early indicator of inflation trends because it measures the prices of goods and services before they reach the end consumer, and therefore can provide clues about the future path of the Consumer Price Index (CPI).

The decline in US Treasury yields also contributed to the support for stocks, as lower yields typically increase the attractiveness of growth stocks, particularly technology companies, by improving their future valuations. Meanwhile, strong earnings reports from major US banks bolstered investor confidence in the resilience of corporate profits, despite continued uncertainty surrounding the economy and monetary policy.

Markets are now awaiting the release of weekly retail sales and unemployment claims data, along with earnings reports from major companies such as UnitedHealth and Netflix , which could determine the direction of markets in the coming sessions.

In contrast, Asian markets continued their losses, with South Korea’s Kospi index falling by about 6.4% , prompting the exchange to activate a temporary trading halt mechanism after a sharp drop in chip company shares.

Shares of SK Hynix fell 11% , while Samsung Electronics shares lost about 8% , extending a sell-off that began in the US after SK Hynix’s American Depositary Receipts (ADRs) dropped by about 9% , along with declines in shares of companies like Micron and Intel . Japan’s Nikkei 225 index also fell 2.8% , as markets largely ignored developments related to monetary policy, despite South Korea’s first interest rate hike since 2023 and the Bank of Japan’s renewed warnings about the possibility of intervention to support the yen.

Analysts believe that investors are currently focusing more on the results of US companies and the path of inflation, at a time when volatility continues within the semiconductor sector, which has become the main driver of the performance of global markets in recent times.