Daily News – 1st Sep ’26
Daily News
Dow Tumbles 370 Points as U.S., Iran Trade Fire; Oil Tops $86 and Gold Slips to Two-Week Lows; India's Economy Grows 7.8%; Nvidia Invests $3.5 Billion in MediaTek
01 September 2026
Today in Brief
Wall Street ended August on a sour note Monday after the U.S. and Iran traded fire for the first time in a month, with the Dow sliding 374.09 points, or 0.7%, to 53,185.90, the S&P 500 slipping 0.33% to 7,686.14, and the Nasdaq shedding 0.12% to 26,370.89, even as all three still closed out a fifth straight winning month; Asian markets were mixed, with Japan's Nikkei down 0.13% and Hong Kong's Hang Seng off 1%. Gold traded below $4,450 an ounce on Tuesday near two-week lows as rising oil prices and hawkish comments from Fed Chair Kevin Warsh lifted September rate-hike odds above 65%, while crude oil climbed above $86 per barrel after U.S. forces struck Iranian rocket launchers on Larak Island and Tehran retaliated with attacks on the UAE and Jordan.
In other news: India's economy expanded 7.8% in its fiscal first quarter, beating estimates as the Iran war left growth largely unscathed; a tanker was struck by three projectiles in the Strait of Hormuz amid fears of further escalation; Indian PM Narendra Modi urged Vladimir Putin to end the war in Ukraine at the Shanghai Cooperation Organization summit; China's Xi Jinping is set for rare state visits to Egypt and India ahead of an expected U.S. trip in late September; the FTC sued Amazon over alleged advertiser overcharging; Microsoft Outlook and OpenAI's ChatGPT Work both suffered user outages Monday; Boeing and its engineers' union agreed to resume contract talks on September 8; and Nvidia said it will invest $3.5 billion in Taiwan's MediaTek to widen its ties across the AI industry.
In Asia, Japan's Nikkei 225 fell 0.13%, while the Topix gained 0.60%
In Asia, Japan's Nikkei 225 fell 0.13%, while the Topix gained 0.60%. The Kospi was flat, while the small-cap Kosdaq fell more than 1%. Australia's benchmark S&P/ASX 200 was 0.41% lower. Hong Kong's Hang Seng index was down 1%, and mainland China's CSI 300 was marginally lower. Wall Street ended the month on a sour note. The Dow dropped more than 370 points in regular trading, as oil prices climbed — pushing rates higher — following the U.S. striking two rocket launchers on Iran's Larak Island. The S&P 500 and Nasdaq Composite also fell on the day.
Dow tumbles 370 points after U.S. strikes Iran, but index posts fifth straight winning month
Stocks fell on Monday after the U.S. and Iran traded fire for the first time in a month, though the major averages still closed out August with gains. The S&P 500 slipped 0.33% to 7,686.14, while the Nasdaq Composite shed 0.12% to close at 26,370.89. The Dow Jones Industrial Average slid 374.09 points, or 0.7%, lower, to end at 53,185.90. The 30-stock index was dragged down by losses in Goldman Sachs and Alphabet. On Sunday, U.S. Central Command confirmed to MS NOW that the U.S. struck two rocket launchers on Iran's Larak Island. Sunday's attack was the first publicly acknowledged U.S. strike on Iranian positions since late July, with Iranian state media reporting that Tehran had attacked U.S. bases in Jordan in retaliation.
Gold traded below $4,450 an ounce on Tuesday, hovering near two-week lows
Gold traded below $4,450 an ounce on Tuesday, hovering near two-week lows as rising oil prices and hawkish remarks from Federal Reserve Chair Kevin Warsh strengthened expectations for a US rate hike this month. Oil prices advanced for a second straight session after US forces struck an island in the Strait of Hormuz, while Iran responded with attacks on the UAE and Jordan. Higher energy costs stoked inflation concerns, strengthening the case for a near-term Fed rate increase, which is typically negative for bullion. Meanwhile, Chair Warsh said the Fed would "have work to do" without clearer evidence that inflation is moving back toward its 2% target. Markets are now pricing in a more than 65% chance of a September hike, up from around 36% before his remarks.
Crude oil climbed above $86 per barrel on Tuesday, extending gains from the previous session
Crude oil climbed above $86 per barrel on Tuesday, extending gains from the previous session as renewed hostilities in the Middle East raised concerns about further disruptions to energy flows from the region. US forces targeted two Iranian rocket launchers on Larak Island, while Tehran responded with attacks on the UAE and Jordan, marking a resumption of hostilities between the US and Iran after roughly a month of relative calm. President Donald Trump also extended military threats to Kharg Island, Iran's key oil export hub. Meanwhile, oil shipments continue to pass through the Strait of Hormuz, with major Gulf producers including the UAE, Saudi Arabia, Kuwait, and Iraq still exporting some volumes. However, a supertanker caught fire in the strait after hitting two naval mines, underscoring the persistent risks facing Hormuz shipping.
India's economy expands 7.8% in fiscal first quarter, beating estimates
India's economy grew by 7.8% in the quarter to the end of June, mainly driven by strong performance of the financial, real estate, information technology and professional services sectors. The reading is comfortably above a Reuters poll of expectations for 7.1% growth and follows 7.8% growth in the previous quarter. While agriculture and allied sectors reported tepid growth, the performance of manufacturing and services sectors sharply improved in the June quarter, India's Ministry of Statistics and Program Implementation said in a release on Monday. The Iran war has not impacted India's growth as feared, Aastha Gudwani, India chief economist at Barclays, told CNBC's Inside India earlier. Of the 20 high-frequency indicators tracked by Barclays, only seven put the April-to-June quarter average growth rate slower than the Jan-March quarter, she explained, adding that consumer demand has stayed "robust."
Tanker struck in Hormuz, raising worries over escalation, as Trump vows to hit Iran 'hard'
A tanker was struck by three unknown projectiles while transiting the Strait of Hormuz on Monday, stoking worries that the Middle East conflict could once again escalate. The tanker was sailing in the southern shipping lane close to the Omani coast, the UK Maritime Trade Operations agency said in a post on Tuesday, Asia time. No casualties were reported. Iran launched an attack on two American bases in Jordan on Monday in retaliation for the U.S. attack on its Larak Island. American forces targeted two Iranian rocket launchers on Larak Island on Sunday, reportedly killing three, saying that Tehran intended to launch rockets carrying sea mines into the Hormuz Strait.
Indian PM Modi implores Putin to end Ukraine war amid U.S. tariff threat on Russian oil
Indian Prime Minister Narendra Modi has urged Russia to end the Ukraine war and for a cessation of hostilities during his meeting with Russian President Vladimir Putin on the sidelines of the Shanghai Cooperation Organization summit on Monday. "India supports all peace efforts in this area [Ukraine war], and we will continue to do so," Modi said, adding that "we must move from endless war to the end of war, to the cessation of hostilities." "Every day that the war continues, humanity takes a step backwards," Modi said. On Monday, Russia's Defense Ministry said it is planning "massive strikes" on Ukraine's energy infrastructure, days after launching a devastating attack on an ammunition warehouse, amplifying fears of another winter assault
China's Xi builds diplomatic clout with multiple state visits ahead of Trump summit
Chinese President Xi Jinping is set to make rare state visits to Egypt and, likely India, before his expected trip to the U.S. in late September. Xi has "sharply curtailed foreign travel in recent years, so his busy upcoming travel schedule is a significant gauge of his priorities," Gabriel Wildau, managing director at Teneo, told CNBC in an email. The Chinese leader this year has so far only ventured abroad once: a state visit in June to North Korea for the first time in seven years. Meanwhile. the world has come to China, with more than 20 leaders — including U.S. President Donald Trump — visiting Beijing in the first half of the year, pointed out U.S.-based think tank Center for Strategic and International Studies. The global stakes have only risen, with the Iran war, U.S.-China trade tensions and growing security risks from artificial intelligence. For Beijing, that's building the case for an evolution in its global role.
FTC sues Amazon, accusing the e-commerce giant of misleading advertisers
The Federal Trade Commission on Monday sued Amazon, alleging the e-commerce giant "secretly and systematically overcharged" advertisers on its platform by manipulating its pricing and auction systems. The lawsuit, which was joined by 22 state attorneys general, argues that Amazon may have reaped more than $20 billion from advertisers by using "hidden surcharges" dating back to a change to its auction rules that took effect in 2019. "Amazon has millions of advertising customers who were misled into paying significantly higher prices," FTC Chairman Andrew Ferguson said in a statement. "These higher costs were largely passed on to American consumers."
Microsoft Outlook and OpenAI's ChatGPT Work are experiencing user outages
Longtime partners OpenAI and Microsoft both indicated they were suffering from outages for key products on Monday, though there were no reports that the outages were connected. OpenAI said ChatGPT Work, its enterprise artificial intelligence agent, has been experiencing elevated errors and latency for roughly three hours. Microsoft said it was having issues with Exchange Online. "Users across multiple subscription plans may be unable to start or continue tasks in ChatGPT Work," OpenAI said on its status page. "We are continuing work on implementing a mitigation. "As of 2:24 p.m. ET on Monday, over 1,100 users reported issues with OpenAI's products on Downdetector, a website that tracks outages. For Microsoft Outlook, the number shortly after that was close to 4,600. Both peaked a little earlier in the day.
Boeing, engineers union to resume contract negotiations on Sept 8, union says
Negotiators from Boeing and the union representing engineers and technical workers in Washington and other states will resume contract talks on September 8, the union announced on Monday. Talks ended after members of the Society of Professional Engineering Employees in Aerospace overwhelmingly rejected Boeing's four-year contract offer on August 21. The two sides met on Monday to discuss resuming negotiations. SPEEA members said in an internal survey that their top priority is getting higher general wage increases from Boeing in the next offer. "We look forward to taking in SPEEA's feedback and reaching a resolution that works for our employees and keeps our company and team competitive for years to come," a Boeing spokesperson said.
Nvidia to invest $3.5 billion in chipmaker MediaTek, expand partnership
Nvidia said on Monday it was investing $3.5 billion in Taiwan's MediaTek, the latest deal to widen the U.S. chipmaker's financial ties across the AI industry. The move follows Nvidia's up to $105 billion guarantee earlier this month for OpenAI's Ohio data-centre lease and could intensify scrutiny of arrangements where the chipmaker funds companies that help drive demand for its AI products. Nvidia's investment is part of MediaTek's record $3.9 billion overseas convertible bond offering. The Taiwanese chipmaker said Alphabet, a key AI infrastructure partner, also took part in the offering, but did not disclose the size of the search giant's investment. "This is not circular because obviously they do their own business and we do our own business," Nvidia CEO Jensen Huang said in an interview with Bloomberg TV, about its investment in MediaTek. As part of Monday's deal, MediaTek will let customers use Nvidia's technology to design their own AI chips that connect directly to Nvidia's larger computing systems.
