Global stocks rise ahead of US jobs data

Global stocks moved higher as investors positioned for key US labour market data, while oil prices gained after tensions flared in the Gulf, traders said. Market participants pointed to stronger corporate earnings and renewed enthusiasm around artificial intelligence as factors supporting risk appetite despite the geopolitical backdrop.

Data showed the MSCI All-World index has risen 2.3% over the week. Traders said the advance came as equities absorbed a run of better-than-expected company results and as investors rotated into technology shares linked to AI adoption.

MSCI All-World up 2.3% as earnings and AI-linked tech lead Traders described the week’s equity gains as driven by two main themes: corporate results that exceeded expectations and a shift in sector leadership toward technology. That rotation, they said, has been concentrated in names tied to AI adoption, helping offset concern about geopolitical risk.

Investors also highlighted that the current push higher has not removed caution from positioning. Market participants said futures trading remained relatively tight as investors balanced earnings signals against interest-rate expectations heading into the next major data point.

Oil climbs after Gulf tensions, lifting energy shares Oil prices rose after a fresh flare-up in Gulf tensions increased risk premia, traders said. The move supported energy equities and encouraged some portfolio adjustments toward commodities and more cyclical parts of the market.

Traders said the combination of higher oil and improved sentiment in parts of the equity market has led some investors to reassess allocations between growth-focused and cyclical exposures. However, they added that broader risk-taking remained constrained by uncertainty around the near-term path for rates.

Focus turns to the US nonfarm payrolls report on August 7 Attention is now on the US nonfarm payrolls report, due Friday, August 7, 2026, at 8:30 a.m. ET. Traders said the release is expected to be a key driver of near-term equity positioning, given its potential influence on rate expectations.

Market participants said investors are weighing the payrolls print against recent earnings momentum, with the possibility of shifting demand between growth and cyclicals depending on the size of any surprise. Traders added that uncertainty remains elevated until the data is released, leaving markets sensitive to headline moves.