London's FTSE 100 opens higher as US midterms shift AI trade outlook
The FTSE 100 rose at the start of trading despite global market uncertainty, while US midterm results are expected to influence the artificial-intelligence sector.
London's blue-chip FTSE 100 index opened higher on Wednesday, defying broader market uncertainty overseas. Brent crude fell below $103 a barrel, extending its weekly decline as investors considered the possible outcomes of ongoing peace talks between the United States and Iran. Qatar’s Foreign Ministry said both nations are reviewing new proposals from mediators, even as the United States completed defensive strikes against Iran.
In the United States, voters completed midterm elections in which Democrats regained control of the Senate and the House of Representatives. Analysts anticipate that the results could affect the artificial-intelligence trade, particularly regarding disputes over data-centre financing.
"The AI trade has spent months worrying about financing costs. Now it may have to start worrying about the politicians controlling the power grid," said Stephen Innes, head of market strategy at SPI Asset Management.
Asian markets fell overnight, led by losses in technology stocks. Japan’s Nikkei 225 dropped 3.6% to its lowest level since early May before partially recovering.