ASIA/PACIFIC
Asian stocks advanced on Thursday, driven by renewed optimism after U.S. President Donald Trump announced a one-month exemption for automakers from newly imposed tariffs on Mexico and Canada. The move raised hopes for further negotiations and eased trade concerns. China’s Shanghai Composite Index jumped 1.2%, Hong Kong’s Hang Seng Index surged 3.3% while Japan’s Nikkei 225 index rose 0.77%. Australia’s stock market extended losses into a third consecutive session, with energy stocks leading the decline. In fixed income markets, Japanese government bond (JGB) yields surged, with the 10-year JGB yield hitting its highest level since 2009, as investors speculated on further Bank of Japan (BOJ) rate hikes.
EUROPE
European markets closed in positive territory as investors digested the European Central Bank’s (ECB) latest monetary policy decision. The ECB cut its deposit facility rate to 2.5%, a move that had been widely anticipated by the markets.The pan-European Stoxx 600 index ended around 0.13% higher reflecting cautious optimism. The ECB updated its policy stance, noting that monetary policy was becoming “meaningfully less restrictive.” Investors are now closely watching inflation data and upcoming economic reports for further signals on the ECB’s policy trajectory.
AMERICAS
The U.S. stock market was marked by notable declines driven by trade policy uncertainties and sector-specific challenges. The Nasdaq Composite fell by 2.6%, entering correction territory as it declined over 10% from its December 2024 high. The S&P 500 decreased by 1.8%, briefly dipping below its 200-day moving average, a critical technical support level. the Dow slumped 427.51 points or 1%.
AFRICA
Egypt’s EGX30 blue-chip index gained 0.2%, led by a 4.2% rise in EFG Holding. Minister of Planning, Rania Al-Mashat, stated that Egypt’s economy is expected to grow by 4% in FY 2024/2025 and 4.5% in the next fiscal year, during an interview with CNN’s Richard Quest. South Africa’s rand strengthened more than 1% against the U.S. dollar, trading at R18.17/$, reaching its strongest level since mid-December.
MIDDLE EAST
Most Gulf stock markets ended lower, as U.S. tariff uncertainties weighed on sentiment. Saudi Arabia’s benchmark index declined 0.7%, dragged down by a 2.3% drop in Saudi Telecom Company. Dubai’s main index closed 0.7% lower, mirroring regional losses. Abu Dhabi bucked the trend, with the First Abu Dhabi Bank (FAB) pushing the index 0.1% higher. On the fixed income front, sustainable bond issuances in the Middle East are projected to reach $18 billion to $23 billion in 2025, with the UAE and Saudi Arabia contributing 60%, according to S&P Global Ratings.
COMMODITIES
GOLD
Spot gold fell 0.2%, settling at $2,912.82 per ounce, as rising U.S. Treasury yields prompted profit-taking.
U.S. gold futures slipped 0.2%, trading at $2,921.50 per ounce.
OIL
Brent crude futures climbed 0.4%, gaining 28 cents to $69.58 per barrel. U.S. West Texas Intermediate (WTI) crude rose 0.5%, adding 32 cents to $66.63 per barrel. Oil prices remained supported by supply concerns and geopolitical risks, but global economic uncertainty continues to cap gains.
