Global equities remained near record highs on Monday, September 15, 2025, as investors prepared for crucial central bank meetings later this week. The U.S. Federal Reserve is widely expected to implement a 25-basis-point interest rate cut, with markets pricing in further reductions into 2026. Investors are closely watching Fed guidance from Chair Jerome Powell, as any less dovish stance could dampen market sentiment.
Mixed Performance Across Regions
Asian markets experienced a cautious start to the week, with trading volumes lighter due to a holiday in Japan. The MSCI Asia ex-Japan index dipped slightly, while South Korea’s stock index reached a record high following the scrapping of a proposed stock tax hike. Chinese markets outperformed despite weak economic data, including falling retail sales and continued housing price declines. Technology stocks in Hong Kong saw renewed interest amid ongoing U.S.-China trade talks.
In Europe, stocks traded steadily, supported by expectations of continued monetary easing. The euro remained stable despite a downgrade of France’s credit rating, and European Central Bank rate expectations provided additional support. However, bond markets faced pressure, with yields remaining elevated ahead of key U.S. economic data releases later in the week.
Commodities and Currency Movements
Oil prices rose in response to geopolitical tensions, including Ukrainian drone attacks on Russian refineries. Brent crude increased by 0.25%, while gold held near record highs, reflecting ongoing concerns about inflation and global economic uncertainty. The U.S. dollar remained firm against major currencies, with the euro and yen trading in a narrow range due to muted market reactions.
Outlook for the Week
Investors anticipate a busy week, with central bank decisions, economic data releases, and geopolitical developments all influencing market dynamics. The Federal Reserve’s policy stance will be a key driver, and market participants are also closely monitoring U.S.-China trade negotiations, which are expected to continue into a second day.
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