Eurozone Economy Remains Resilient

• The Indian stock market extended its losses on Thursday, with both the Sensex and Nifty 50 erasing early morning gains to close in the red. • Market declines were driven by investor anxiety surrounding elevated oil prices and rising bond yields.

• Indian stock markets showed early strength on Friday, with the Sensex rising 500 points and the Nifty50 approaching the 23,900 mark during the pre-open session. • This positive momentum aligns with gains across Asia-Pacific markets, including Japan’s Nikkei 225 and South Korea’s Kospi, which rose by 0.68% and 1.01% respectively.

• The Indian stock market closed lower, with the Sensex dropping 417 points and the Nifty falling below the 23,900 mark. • Sectoral performance was mixed, as IT, FMCG, Auto, and Pharma indices each declined by 0.5%, while Realty surged over 2% and Banking sectors rose by 0.5%.

• Indian benchmark indices are expected to open higher on Thursday, September 3, with GIFT Nifty futures trading 0.52% higher at 24,089. • Market sentiment is bolstered by positive trends in US and Asian markets, following comments from President Trump regarding US control over the Strait of Hormuz and limited strikes on Iran.

• Global markets showed mixed results on September 3, 2026, with S&P 500 futures rising to approximately 7,687 driven by strong AI investment in companies like Broadcom, Snowflake, and Dell. • In Asia, the Nikkei 225 closed 0.17% lower at 64,214.48 due to a stronger yen, while Hong Kong’s Hang Seng dropped 0.39% to 25,213.31 amid ongoing US-China tensions.

• Indian equity markets closed lower on Thursday, September 3, 2026, with the BSE Sensex dropping 417.49 points (0.55%) to 76,152.86 and the Nifty 50 falling 41 points (0.17%) to 23,873.45. • The decline was driven by investor caution stemming from surging crude oil prices, elevated global yields, and rising geopolitical tensions.

• Japan's 10-year bond yields reached a high not seen since 1996, while Prime Minister Takaichi has strengthened defense ties with India, Australia, Indonesia, and the Philippines amid pressure from Beijing. • India's foreign minister informed Kyiv on September 3 that India is prepared to assist in ending the Russia-Ukraine war, following tensions with Pakistan over the Indus Waters Treaty.

• Asia-Pacific stock markets rose following signals from President Trump that military action toward Iran would be limited, reducing geopolitical tension for investors. • Key indices saw gains, including South Korea’s KOSPI (+1.06%), Hong Kong’s HSI (+0.64%), Japan’s NIKKEI (+0.24%), and Australia’s ASX 200 (+0.33%).

• Financial markets reacted positively to dovish comments from Federal Reserve Governor Christopher Waller, leading to a rise in stock prices. • The remarks triggered a decline in both U.S. Treasury yields and the value of the U.S. Dollar (USD).

• Federal Reserve Governor Christopher Waller indicated that recent economic data is finally showing signs of disinflation, leaving the door open for the Fed to keep current policy unchanged. • The central bank is awaiting critical inflation indicators, specifically the US PPI data scheduled for release on September 10 and CPI data on September 11.

• Wall Street indices rallied on Thursday as investors reduced their expectations for further interest rate hikes following comments from Fed Governor Christopher Waller. • Market movement was further influenced by late second-quarter earnings reports, creating performance gaps between the software and semiconductor sectors.