stock market rally

At a time of global economic turmoil, why are some global markets like the US, Taiwan and South Korea rallying? Why has the Indian stock market slipped from record highs, giving negative returns over the last few quarters?

In the cases of both South Korea and Taiwan, the stock market rally is fuelled by a powerful surge in semiconductor giants that are benefiting from the global artificial intelligence boom.

IBM shares have seen a significant surge, adding billions to its market value, following a resurfaced video of Donald Trump praising CEO Arvind Krishna. This renewed attention, coupled with optimism around AI and quantum computing developments, has fueled a rally, with analysts pointing to social media buzz and momentum trading as key drivers.

According to data compiled by Bloomberg, Taiwan’s overall market capitalisation rose to $4.95 trillion as of Monday, while India’s market value declined to $4.92 trillion.

Indian markets shrugged off rising oil prices due to US-Iran tensions, as tech giants like Nvidia propelled stocks near record highs. Strong corporate earnings, particularly from Science Applications International Corp., also bolstered investor confidence. Despite concerns about market concentration, the tech surge continues to drive Wall Street's optimism.

Indian markets saw a mixed trend. Wall Street's record rally paused on Tuesday. Alphabet's shares dropped significantly after the Google parent announced plans to raise capital for its artificial intelligence investments. Other tech companies like Hewlett Packard Enterprise and Broadcom saw gains. Oil prices eased slightly. Bond markets remained stable ahead of US labor data.

Adani Power’s market value currently stands at nearly Rs 4.85 lakh crore, higher than Infosys, whose market capitalization is around Rs 4.72 lakh crore. Following the latest reshuffle, Adani Power has emerged as India’s 11th most valuable listed company.

Stock market recommendations: AIA Engineering, State Bank of India (SBI), Hindustan Copper are the top stocks to buy on May 27, 2026, according to Mehul Kothari, DVP - Technical Research at Anand Rathi Shares.

India has dropped to seventh in global stock market valuation, overtaken by South Korea and Taiwan. This decline, attributed to sustained foreign fund selling and muted corporate earnings, contrasts with the AI chip leadership of South Korean and Taiwanese firms. Despite a recent Sensex uptick driven by domestic buying, foreign investors remain net sellers, impacting India's market cap.

US stocks continued their record-setting rally, driven by strong earnings and AI optimism, pushing major indices higher. Despite inflation and geopolitical concerns, investor sentiment was buoyed by hopes of a US-Iran ceasefire extension, easing energy market pressures. Technology stocks, particularly Dell, led the gains as markets closed the week on a positive note.

Wall Street neared record highs as falling crude oil prices eased inflation concerns, boosting investor sentiment. Major indices saw gains, with technology and retail stocks performing well. However, oil and gas companies faced pressure, while Treasury yields declined amid reduced inflation worries.

Stock markets surged on Monday, with Sensex and Nifty crossing significant milestones. Easing West Asian tensions and falling crude oil prices fueled investor optimism, particularly after US President Trump indicated a deal with Iran was largely negotiated. Banking stocks led the rally, while global markets also saw gains.

Stock market recommendations: Nuvama Wealth Management Ltd, and R R Kabel Ltd have been picked as the top stocks to buy in the June 1-June 5, 2026 week by Sudeep Shah, Head - Technical Research and Derivatives, SBI Securities:

NSE Report Shows 38.6% Jump In Equity Cash Turnover Amid Strong April Rally

Indian IT stocks surged Monday, with major players like Infosys and TCS gaining up to 5%. This rebound follows months of AI-driven pessimism, as investors reassess sector valuations ahead of a key US Federal Reserve meeting. Technical indicators suggest a potential short-term recovery, though analysts caution it might be a retracement within a broader trend.

Gold price prediction today: Momentum in gold prices remains weak, and markets will track the US-Iran developments for cues, says Manav Modi, Senior Analyst, Commodity Research at Motilal Oswal Financial Services Ltd.

Despite the bullish undertone in equities, several risk factors continue to keep investors on edge. The rupee touched a fresh record low after breaching the 95.8 mark against the US dollar for the first time.

Stock market recommendations: Sudeep Shah, Head - Technical Research and Derivatives, SBI Securities recommends buying Varun Beverages Ltd, and Elecon Engineering Company Ltd as the top stock picks for the May 25, 2026 week. The expert also shares his outlook for Nifty and Bank Nifty:

Gold price prediction today: While gold and silver prices are seeing some weakness, in the domestic market gold has managed to exhibit some resilience, says Vedika Narvekar, Research Analyst - Commodities & Currencies, Anand Rathi Shares and Stock Brokers.

Indian markets remained steady near record highs despite rising oil prices due to Iran tensions. Strong corporate earnings, particularly from Dollar Tree and Kohl's, bolstered investor confidence. While some companies faced headwinds from higher fuel costs, others like Snowflake saw significant gains driven by AI growth. Inflation data showed a slight acceleration, impacting Treasury yields.

Stock market recommendations: Bajaj Broking Research has chosen Garden Reach Shipbuilders & Engineers (GRSE), NBCC as the top stocks to buy on May 22, 2026:

Micron Technology briefly surpassed a $1 trillion market value, driven by surging investor demand for memory chips essential for AI data centers. This significant rally, with shares rising over 17%, highlights Micron's central role in the AI hardware supply chain and the growing need for advanced memory solutions.

In fact, ⁠IT has been the worst-performing major sector in the Indian market over the past 12-18 months. In May, 2026, the Nifty IT index touched a near 3-year low, losing more than a fourth of its value since the start of the year.

Indian markets mirrored global trends as US stocks dipped, pressured by rising oil prices and Treasury yields, despite Nvidia's stellar earnings. While AI enthusiasm cooled, a resilient US economy and strong export data from Japan offered some bright spots. However, concerns over geopolitical tensions and inflation persisted, impacting investor sentiment.

India's top companies saw a significant market valuation surge last week, with Reliance Industries leading the gains. Despite a volatile trading period, the BSE Sensex managed a modest advance. While several giants added billions, others like Bharti Airtel and Hindustan Unilever experienced notable dips. Analysts point to global optimism and domestic buying as drivers for the market's recovery.

Renowned investor Michael Burry, famous for predicting the 2008 housing crash, warns the current AI boom mirrors the dot-com bubble. He highlights excessive venture capital and debt funding, noting many AI startups are unprofitable. Burry questions AI's long-term enterprise value and consumer willingness to pay, suggesting a market crash is imminent.

The widespread online attention surrounding the gift exchange seemingly led to speculative activity in the stock, despite there being no business link between the company and the confectionery brand. In fact, Parle Products is not a listed company.

Stock market recommendations: Ashok Leyland, Bikaji Foods International, and Waaree Energies have been picked as the top stocks to buy on May 20, 2026: