Global Markets Rally as Dollar Weakens and Dow Gains 1%
On October 21, global equity markets advanced — led by the Dow Jones rising 1% and Asian shares climbing — as a weaker US dollar and strong AI-sector earnings bolstered investor sentiment, while Brent crude held near $109 a barrel amid Middle East tensions.
Global financial markets struck a broadly positive tone on Wednesday, October 21, 2026. On Wall Street the previous session, the Dow Jones Industrial Average rose 1.02% to close at 52,496, the S&P 500 added 0.28% to 7,713, and the Nasdaq closed essentially flat at 26,425. The US dollar index fell 0.20% to 101.77, providing relief to emerging-market currencies across Latin America and Asia and easing some imported inflation concerns. US equity-index futures pointed higher early Wednesday, with S&P 500 futures adding 0.29% and Nasdaq-100 futures up 0.7%, largely driven by SpaceX's blowout earnings. In Asia, the MSCI Asia Pacific Index climbed 0.6%, with South Korea's Kospi Index rising 1.9% on the technology-driven tailwind. The VIX fear gauge dropped 6.13% to 17.31, signalling reduced near-term investor anxiety. On the commodity front, Brent crude settled at $108.79 per barrel, down 0.7%, while US crude fell 1.8% to $101.79, though prices remain historically elevated amid ongoing geopolitical pressure related to the Iran conflict. Gold slipped 0.44% to $4,114 per ounce. Markets are also pricing in an 86.5% probability that the Federal Reserve will hold rates unchanged at its October 28 meeting, with the current target range at 3.75%–4.00%.
