Canada Grants C$7 Million to Greenland Molybdenum Mine to Strengthen Critical Minerals Supply 
Japan Targets 1%+ Real Economic Growth With ¥370 Trillion Investment Plan 
Trump Questions Housing Bill as He Prioritizes SAVE America Act 
Trump Urges Gasoline Retailers to Cut Prices to $2.50 Per Gallon, Warns of Legal Action 
South Korea’s KOSPI Plunges as Apple Price Hikes and OpenAI IPO Delay Shake AI Chip Stocks 
US Dollar Slips After PCE Inflation Data as Fed Rate Hike Expectations Stay Elevated 
Wall Street Ends Mixed as Micron Surges, Apple Drops After Price Hikes 
China Sets 1.25% Overnight Reverse Repo Rate Below Market Expectations 
Gold Prices Rise Above $4,000 as Inflation Data and Weaker Dollar Boost Demand 
Asian Stocks Sink as Apple Price Hikes Spark AI Valuation Fears, South Korea and Japan Lead Selloff 
Asian Currencies Stay Range-Bound as Investors Eye China Data, RBNZ Outlook and U.S.-Iran Ceasefire 
Iran Attack in Strait of Hormuz Pushes Oil Prices Higher 
Global Financial Firms Shift Asia Expansion Focus to South Korea as China, India Face Caution 
Asian Stocks Slip as US-Iran Ceasefire Hopes Lift Oil, Dollar Strength Persists 
Asian Currencies Trade Mixed as Yen Hovers Near 40-Year Low, Dollar Holds Firm on Fed Outlook 
Economic pessimism has set in – but there are reasons for Australians to be hopeful 
Oil Prices Rise as US-Iran Tensions Threaten Strait of Hormuz Oil Shipments 
MSCI's global equities index declined on Monday as Federal Reserve Chair Jerome Powell indicated that the central bank is not in a rush to cut interest rates, leading to a rise in the dollar. Brent crude also experienced its most significant monthly and quarterly losses since late 2022, driven by concerns about waning global demand and tensions in the Middle East.
Oil Futures Flat Amid Volatility
The global benchmark, Brent crude, saw a 17% drop in the third quarter, its most substantial quarterly fall in a year. While geopolitical concerns about Middle East conflicts initially caused market volatility, declining global demand played a more significant role in the downward trend.
Stock Markets React to Powell's Comments
U.S. stocks faced volatility after Powell's comments indicated a cautious approach to rate cuts, with the likelihood of two 25-basis-point reductions this year, depending on economic developments. Some investors had expected larger cuts, causing stocks to fluctuate throughout the day.
“That sounded less dovish than the market had priced in,” said Robert Phipps, director at Per Stirling Capital Management. Powell’s comments reduced expectations of a more substantial 50-basis-point cut by the end of the year.
Wall Street Ends Quarter Mixed
Despite volatility, U.S. stock indices closed the session with mixed results. The Dow Jones Industrial Average rose 17.15 points (0.04%) to 42,330.15, the S&P 500 added 24.31 points (0.42%) to 5,762.48, and the Nasdaq Composite increased by 69.58 points (0.38%) to 18,189.17. The S&P 500 gained 2.01% for the month and 5.53% for the quarter. MSCI’s gauge of global stocks reflected around a 2% monthly gain and a 6% quarterly rise.
Dollar and Treasury Yields Rise
The dollar appreciated following Powell's remarks, reducing expectations for a larger rate cut. The dollar index increased 0.32%, with the euro dropping 0.27% to $1.1133 and the dollar strengthening 1% against the Japanese yen. U.S. Treasury yields also edged higher, with the 10-year yield increasing to 3.785%, and the 2-year yield climbing to 3.637%.
Energy and Gold Markets
In energy markets, U.S. crude settled down 1 cent at $68.17 per barrel, showing a 7% decrease for September, its largest monthly drop since October 2023. Brent crude declined by 21 cents to $71.77 per barrel, posting a 9% monthly drop and a 17% quarterly decrease. Gold prices eased after recent gains, with spot gold down 1% to $2,631.39 an ounce and U.S. gold futures dropping 0.54%.
