Asia-Pacific markets traded mixed Thursday after Wall Street closed lower amid rising geopolitical tensions and comments from U.S. President Donald Trump. U.S. defense stocks fell after Trump said he “will not permit” defense companies to issue dividends or stock buybacks until they address his complaints about the industry, including executive pay packages and production issues. Oil prices also dropped overnight after Trump said that Venezuela’s interim authorities would turn over as much as 50 million barrels of crude to the U.S., raising concerns about an increase in global supply. Brent crude futures fell 0.51% to $60.39 a barrel, while the U.S. West Texas Intermediate crude added 0.61% to $56.33 per barrel, as of 7.30 a.m. Singapore time (Wednesday 6.30 p.m. EST).
The S&P 500 and Dow Jones Industrial Average pulled back from record levels on Wednesday as areas of the market that were hot to start the year lost steam. The broad market index dropped 0.34% and closed at 6,920.93. The 30-stock Dow fell 466 points, or 0.94%, settling at 48,996.08. Both indexes rose to fresh all-time highs earlier in the session. The Nasdaq Composite gained 0.16% and ended at 23,584.27. Financials and energy — two of the sectors that started off 2026 strong — saw losses during the trading day, with both declining more than 1%. Bank stocks that ended the session lower included JPMorgan, Bank of America and Wells Fargo. Meanwhile, Exxon Mobil, Chevron and ConocoPhillips were key laggards in the energy space.
Gold dipped to around $4,440 per ounce on Thursday, extending losses from the previous session, as investors assessed mixed US economic data while geopolitical developments remained a key focus. Job openings dropped more than expected in November, signalling softer labour demand, while private payrolls in December increased less than expected. However, ISM data showed stronger-than-expected growth in the services sector. Investors are now looking ahead to Friday’s nonfarm payrolls report for guidance on the central bank’s policy direction, with markets pricing in two rate cuts for the year. On the geopolitical front, Washington outlined plans to take long-term control over Venezuelan crude sales, while US authorities seized additional Venezuelan-linked tankers.
WTI crude oil futures rose to above $56 per barrel on Thursday, following a two-day decline as markets assessed fresh US actions involving Venezuela. Washington outlined plans to take long-term control over Venezuelan crude sales, starting with the release of stored oil and followed by supervised sales of future production. Simultaneously, US authorities intensified sanctions enforcement by seizing additional Venezuelan-linked oil tankers. This followed President Trump’s statement that Venezuela would transfer between 30 and 50 million barrels of crude to the US, a move seen as adding supply to the world’s largest oil consumer.
U.S. President Donald Trump on Wednesday signed a proclamation withdrawing the United States from 35 non-United Nations organizations and 31 U.N. entities that “operate contrary to U.S. national interests,” the White House said in a statement. The White House did not list the organizations but said they promote “radical climate policies, global governance, and ideological programs that conflict with U.S. sovereignty and economic strength.” It said the move was the result of a review of all international intergovernmental organizations, conventions and treaties that the U.S. is a member of or party to. The White House did not immediately respond when asked for further details and a list of the organizations.
Amid rising global trade uncertainties, India’s economy is projected to grow 7.4% in the fiscal year ending March 2026, higher than 6.5% in the last fiscal year, according to first advance estimates released by the Indian government on Wednesday. In 2025, the advance estimates offered the first official sign of a slowdown in the world’s fastest-growing economy, pegging India’s growth at 6.4%, the weakest since the pandemic. This figure was later revised to 6.5% in May. Private consumption is expected to expand by 7%, down slightly from the previous year’s growth of 7.2%. Meanwhile, government spending is projected to rise 5.2%, up from a 2.3% increase in the previous year. Indian exports to the U.S., its biggest trading partner, have been subject to 50% tariffs since August last year.
President Donald Trump said Wednesday that Venezuela will purchase American products with revenue from its oil sales. “I have just been informed that Venezuela is going to be purchasing ONLY American Made Products, with the money they receive from our new Oil Deal,” Trump said in a post on his social media platform Truth Social. The president said the purchases will include agricultural products, medicine, medical devices and equipment to improve Venezuela’s grid and energy facilities. Trump said Tuesday that Venezuela would turn over 30 million to 50 million barrels of oil to the U.S. after the overthrow of President Nicolás Maduro. The oil will be sold at market prices, Trump said. The sales, if executed, would total more than $2 billion at oil’s Wednesday closing price.
Shares of major institutional landlords and asset managers tumbled Wednesday after President Donald Trump announced plans to "immediately" ban large corporations from purchasing single-family homes. The move, aimed at restoring the "American Dream" of homeownership for individuals, sent shockwaves through a real estate sector that has become increasingly dominated by Wall Street capital. The President’s Truth Social post triggered an immediate sell-off across firms with heavy exposure to the single-family rental (SFR) market. Invitation Homes Inc, the nation’s largest owner of single-family rentals, saw its shares slide 6.1%. American Homes 4 Rent followed closely, dropping 6.3%. "People live in homes, not corporations," Trump wrote, citing record-high inflation as a barrier for younger Americans. He pledged to call on Congress to codify the ban and promised more details during his upcoming address at the World Economic Forum in Davos.
JPMorgan Chase and Apple on Wednesday announced a deal under which the bank will become the new issuer of the Apple Card, replacing Goldman Sachs, further expanding the biggest U.S. bank’s credit card franchise. The deal would cement JPMorgan’s position in the credit cards segment and mark another win for CEO Jamie Dimon, under whose leadership the bank has become a dominant force in retail and investment banking. The move is estimated to bring over $20 billion in card balances to Chase’s platform once completed, the companies said. JPMorgan expects to record a $2.2 billion provision for credit losses in the fourth quarter of 2025 tied to the forward purchase commitment of the portfolio. The deal is subject to regulatory approvals and is not expected to close for roughly two years.
Constellation Brands reported third-quarter sales and profit above Wall Street estimates on Wednesday, driven by steady demand for its Modelo Especial and Corona beer brands. Shares of the company were up 3% in extended trading. They had lost 37% of their value in 2025. Constellation Brands has benefited from improving demand for popular beers such as Pacifico, Victoria, Corona Sunbrew and Corona Familiar, helped by lower prices and sharper marketing, defying a challenging U.S. alcohol market backdrop. Peers such as whiskey maker Brown-Forman also beat sales estimates and reaffirmed its forecast during its latest quarterly results in December. Constellation Brands’ net sales fell 10% to $2.22 billion for the quarter ended November 30, while analysts estimated a 12.4% decline to $2.16 billion, according to data compiled by LSEG.
Shares of major packaged food companies declined Wednesday following the Trump administration’s release of revamped dietary guidelines that emphasize protein consumption while declaring "war on added sugar." Conagra Brands fell 3.8%, General Mills dropped 1.3%, and Kraft Heinz declined 1.85%, while beverage giants PepsiCo and Coca-Cola each slipped 1% amid a broader market that traded slightly positive. The new guidelines flip the traditional food pyramid upside down, prioritizing fruits, vegetables, healthy fats and protein while limiting whole grains. They recommend Americans consume no added sugars if possible, and no more than 10 grams per meal - a potential challenge for companies whose product portfolios include sugary processed foods and beverages.
President Donald Trump on Wednesday said he “will not permit” defense companies to issue dividends or stock buybacks until those firms speed up their production of military equipment and address his other complaints about the industry. Trump, in a lengthy Truth Social post, also took aim at defense contractors’ executive pay packages, calling them “exorbitant and unjustifiable.” “Defense Companies are not producing our Great Military Equipment rapidly enough and, once produced, not maintaining it properly or quickly,” he wrote. Until those companies build new production plants, “no Executive should be allowed to make in excess of $5 Million Dollars,” Trump declared. Shares of General Dynamics, Lockheed Martin and Northrop Grumman each fell about 3% following Trump’s comments. It was not initially clear what impact or binding force, if any, Trump’s announcement would have on major defense companies’ financial activities.