ASIA/PACIFIC
Asian markets closed mostly lower on Wednesday, as optimism from upbeat Chinese economic data was overshadowed by ongoing trade tensions. China’s GDP grew 5.4% year-on-year, exceeding forecasts, along with other key indicators. However, investor sentiment remained fragile after China suspended Boeing purchases amid escalating tariff threats. U.S. President Donald Trump urged China to seek a trade deal, emphasizing the country’s reliance on American consumers. The Shanghai Composite rose 0.3%, the Hang Seng Index declined 1.91% and Japan’s Nikkei 225 was off 1.0%. Australia’s S&P/ASX 200 closed the trading day at 7,758.9.
EUROPE
European markets ended the session mixed as investors evaluated fresh inflation data from the UK, Eurozone, and Italy, while awaiting the European Central Bank’s (ECB) monetary policy decision due Thursday. The ECB is widely expected to cut interest rates by 25 basis points, with Fitch Ratings forecasting deeper rate reductions ahead across Europe and emerging markets. The pan-European Stoxx 600 provisionally closed lower by 0.2%. The DAX improved by 0.21% , and France’s CAC 40 was flat. The FTSE 100 advanced by 0.26%.
AMERICAS
U.S. markets experienced a significant downturn, driven by rising trade tensions and weaker economic data. Mortgage applications and industrial production both declined. The tech sector led losses after Nvidia warned of a $5.5 billion revenue hit due to export restrictions. The S&P 500 fell 2.2%, the Dow Jones Industrial Average declined 1.7% and the Nasdaq Composite dropped 3.1%. The Bank of Canada kept interest rate unchanged at 2.75%.
AFRICA
In Egypt, the EGX 30 Index slipped 0.5%, led by a 2% drop in EFG Holding. The Central Bank of Egypt is expected to cut rates by 200 basis points on Thursday, but analysts caution that global trade uncertainty may limit aggressive monetary easing despite sharply lower inflation, according to a Reuters poll.
MIDDLE EAST
Gulf markets ended mixed, reflecting regional divergence and global economic anxieties. Saudi Arabia’s benchmark index added 0.2%, Dubai’s main share index dropped 0.5%, In Abu Dhabi, the index eased 0.3%. The Qatari index fell 0.2%, with Qatar Islamic Bank retreating 1%. Bahrain’s index rose 0.4%, Oman’s gained 0.6% while Kuwait added 0.1%.
COMMODITIES
GOLD
Gold rallied sharply as investors sought safety amid the escalating U.S.-China trade war and a weaker U.S. dollar. Spot Gold: +2.5% to $3,308.07/o, U.S. Gold Futures: +2.6% to $3,323/oz
OIL
Oil prices inched higher on speculation of potential diplomatic overtures between the U.S. and China. Brent Crude: +0.82% to $65.20/barrel WTI Crude: +0.85% to $61.85/barrel
