Global Stocks Diverge as Europe Surges

European shares climbed broadly, with the STOXX 600 index advancing 1.26 percent to 656.52 points. Italy's FTSE MIB led the rise, gaining 2.69 percent to reach 51,399.88. The Euro Stoxx 50 also surged, adding 2.06 percent and closing at 6,297.65. The rally was supported by banking transactions, corporate earnings, and defence stocks.

Asia presented a mixed picture. Japan's Nikkei 225 rebounded about 2.3 percent, closing at 58,775.50 after touching a seven‑month low the previous week. In contrast, South Korea's Kospi fell roughly 0.8 percent, ending at 5,018.85 and extending its losing streak.

Taiwan delivered one of the strongest advances, with the TAIEX climbing nearly 5 percent. Semiconductor firms such as Taiwan Semiconductor Manufacturing Company drove the gain. Elsewhere, Hong Kong's Hang Seng slipped about 0.1 percent to 24,448.95, while the Shanghai Composite rose 0.3 percent to 3,660.79. Australia's S&P/ASX 200 edged up approximately 0.1 percent. Among Japanese winners were Renesas Electronics, Disco, and Furukawa Electric, all tied to chip production.

Investors continued to weigh technology valuations after last week's selloff. Concerns over AI spending and chip demand lingered, prompting a selective approach. Buyers returned to some markets and companies while staying cautious in others, highlighting the uneven recovery.