Early gains gave way to breadth-led weakness as trade tensions and the ongoing government shutdown added a layer of uncertainty. Labour data hinted at room for further Federal Reserve rate cuts, supporting a cautious bullish bias but leaving sentiment fragile.
Major European indices ended lower on softer data from key economies, with Germany’s industrial output plunging 4.3% in August, sparking fear of recession; however, technology names helped cushion declines.
Japan moderated gains as investors weighed domestic signals against global policy moves. China remained constructive but choppy, with policy stimulus continuing to influence risk appetite and earnings visibility.
News that AMD will supply AI chips to OpenAI underscores the ongoing scale and persistence of the current AI-investment cycle. By contrast, a prolonged government shutdown would complicate the central bank’s task, as key data releases from agencies would be delayed, hampering timely policy decisions.
Index |
Current Price |
1 Week Return % |
S&P 500 |
6,552.51 |
-2.79% |
DJIA |
45,479.60 |
-2.60% |
Nasdaq |
22,204.43 |
-3.21% |
Nikkei 225 |
48,088.80 |
0.30% |
FTSE 100 |
9,427.47 |
-0.55% |
Shanghai Composite |
3,853.99 |
-0.74% |
Sensex |
82,262.48 |
0.58% |
ADX Index |
10,113.91 |
0.50% |
Gold |
4,087.27 |
2.69% |
Brent Oil (Brent) |
63.67 |
-2.75% |
A combination of steady economic growth, rising corporate earnings, and falling interest rates provides a supportive environment for stocks and the debt market. While volatility is likely to remain, any market pullbacks - especially those triggered by concerns like the government shutdown should be viewed as attractive buying opportunities. US large- and mid-cap stocks, a mixed debt and equities fund, along with cyclical sectors, continue to stand out as preferred investment options in this landscape.
Let our investment specialists help you tailor your portfolio for what’s ahead.
Disclaimer
This commentary is provided for informational purposes only and does not constitute investment advice. For detailed insights, contact our investment team.
