World equities started the week on a broadly positive note, lifted by optimism in Asia and the Middle East, gains in Africa, and modest advances across most of Europe. U.S. markets also opened higher, with investors eyeing housing data for fresh policy signals from the Federal Reserve. Only Japan diverged, weighed down by ex-dividend trading and caution ahead of the Bank of Japan’s survey.
ASIA/PACIFIC
Asian stocks rose broadly as Chinese data showed a return to growth in industrial profits, up 20.4% in August after July’s 1.5% decline. The Shanghai Composite climbed 0.9%, while Hong Kong’s Hang Seng surged 1.9%. Japan’s Nikkei 225 slipped 0.7% as numerous stocks went ex-dividend and investors awaited the Bank of Japan’s quarterly business sentiment survey due Wednesday. Australia’s S&P/ASX 200 advanced 0.85% ahead of the Reserve Bank of Australia’s policy meeting, where rates are expected to remain steady at 3.6%.
EUROPE
European markets ended mostly higher as investors digested mixed data. Spain’s inflation accelerated to 2.9% in September, with retail sales climbing 0.4% month-on-month and 4.5% year-on-year. In the UK, mortgage approvals fell to 64,700 in August, while Eurozone consumer confidence improved to -14.9. At the close, the STOXX 600 gained 0.18%. France’s CAC 40 rose 0.13% and London’s FTSE 100 advanced, while Germany’s DAX ended flat.
AMERICAS
U.S. equities posted modest gains as a broad decline in Treasury yields helped ease investor concerns over trade policy uncertainties and the risk of a potential government shutdown. Sentiment was further supported by data showing pending home sales in August reached a five-month high. The Nasdaq Composite advanced 0.5%, the S&P 500 added 0.3%, and the Dow Jones Industrial Average finished 0.2% higher.
AFRICA
African equities tracked global gains. South Africa’s FTSE/JSE All Share rose 0.51%, Nigeria’s NGX All Share added 0.17%, and Egypt’s blue-chip index advanced 0.6%. Zimbabwe’s Victoria Falls Stock Exchange (VFEX) continued its strong run, delivering a 34% year-to-date gain — more than double 2024’s 15% return. Market capitalization climbed 28.7% to $1.65 billion, adding $200 million since late August.
MIDDLE EAST
Most Gulf markets closed higher, buoyed by expectations of further U.S. rate cuts. With regional currencies pegged to the dollar, U.S. monetary policy shifts carry direct impact. Saudi Arabia’s benchmark index surged 1.8%, while Dubai rose 0.2%, Abu Dhabi dipped 0.1%, Qatar gained 0.2%, Bahrain added 0.1%, Oman advanced 0.7%, and Kuwait climbed 0.6%.