1. Asia-Pacific markets traded mixed Tuesday.
In South Korea, the benchmark Kospi index added 1.01% to hit an all-time high of 3,646.67. The construction and mining sectors led gains on the index, with Korea Zinc up 17.95%, and Tongyang Inc soaring 17.49%. Meanwhile, the small-cap Kosdaq rose 0.84%. Japan’s benchmark Nikkei 225 index declined 1.34%, while the Topix lost 1.31%. SoftBank’s shares fell over 5% after its subsidiary, British chip designer Arm, was working with OpenAI on its deal with Broadcom, according to tech publication The Information. Hong Kong’s Hang Seng Index opened 0.75% higher, while the Hang Seng Tech Index added 0.9%. Mainland China’s CSI 300 advanced 0.87%.
2. Dow rebounds nearly 600 points, S&P 500 claws back more than half of Friday’s rout as Trump softens China stance
Stocks surged on Monday, rebounding from Friday’s sell-off after President Donald Trump said trade relations with China “will all be fine.” The Dow Jones Industrial Average closed up 587.98 points, or 1.29%, to 46,067.58, which equates to 67% of its Friday loss. The S&P 500 climbed 1.56% to finish at 6,654.72, retracing 56% of its prior decline. The Nasdaq Composite popped 2.21% to settle at 22,694.61 as beat-down technology stocks led the bounce. Those moves come after Trump’s Truth Social post on Sunday suggested to investors the president may not follow through on his threat to post a “massive increase of tariffs” on China.
3. Gold breaks $4,100 to hit high on trade jitters, rate-cut optimism
Gold broke through $4,100 per ounce for the first time on Monday, hitting another record high on renewed U.S.-China trade tensions and expectations of U.S. interest rate cuts, while silver also rose to an all-time high. Spot gold was up 2.21% to $4,106.05 per ounce, after hitting a record $4,116.77. U.S. gold futures for December settled 3.3% higher at $4,133. Spot silver rose 3.58% to $52.08 after touching a record high of $52.12 earlier in the session, buoyed by the same factors supporting gold and spot market tightness.
4. Oil recoups some losses as investors focus on U.S.-China trade talks
Oil prices rose on Monday after hitting five-month lows in the previous session, as investors focused on potential talks between the presidents of the United States and China that could ease trade tensions between the world’s two largest economies and oil consumers. Brent crude futures rose $1.07, or 1.71%, to $63.80 a barrel. U.S. West Texas Intermediate crude was at $60.05 a barrel, up $1.15, or 1.95%. Both contracts lost around 4% on Friday to settle at their lowest since May. An expected meeting between Trump and Chinese President Xi Jinping later this month was in doubt after Trump said on Friday there was no reason to meet his counterpart. U.S. Trade Representative Jamison Greer said on Sunday that meeting could still happen in South Korea on the sidelines of the Asia-Pacific Economic Cooperation forum.
5. ‘Long and painful nightmare’ is over, Trump says, on historic day for the Middle East
U.S. President Donald Trump on Monday declared the war in the Middle East is over, as he embarked on a trip to the region to finalize a peace deal for Gaza. Trump arrived in Tel Aviv earlier Monday to mark the release of Israeli hostages by Hamas after more than two years in captivity. Arriving at the Israeli parliament where he was set to address lawmakers, Trump told reporters that Hamas will disarm, according to comments reported. When asked whether the war was over, he told reporters “yes.” Greeted with a trumpet fanfare, standing ovation and cheers in the Knesset, Trump delivered a speech in which he said that the “long and painful nightmare” was finally over for both the Israelis and Palestinians. Trump said America joined its ally in two “everlasting vows”: “Never forget, and never again.”
6.Trump to meet Ukraine leader Zelenskyy at White House on Friday
President Donald Trump is expected to meet Ukrainian President Volodymyr Zelenskyy at the White House this week, NBC News reported Monday. The meeting was scheduled after the two leaders spoke twice on the phone over the weekend and discussed the possibility of the U.S. approving the transfer of Tomahawk missiles to Ukraine. Trump said Monday that he is considering sending Tomahawk missiles to Ukraine as “a new step of aggression” in an effort to pressure Russia to end the war against its neighbour. Zelenskyy last met with Trump at the White House in August, shortly after the American president met with Russian leader Vladimir Putin in Alaska. Ukraine’s use of Tomahawks — subsonic cruise missiles that can strike targets from 1,000 miles away —would give the country the ability to ramp up its counter-attacks on Russia.
7. Trump urges leaders to put ‘old feuds’ aside as he calls for a new era of harmony in the Middle East
President Donald Trump called for a new era of harmony in the Middle East on Monday during a global summit on Gaza’s future, trying to advance broader peace in the region after visiting Israel to celebrate a U.S.-brokered ceasefire with Hamas. “We have a once-in-a-lifetime chance to put the old feuds and bitter hatreds behind us,” Trump said, and he urged leaders “to declare that our future will not be ruled by the fights of generations past.” The whirlwind trip, which included the summit in Egypt and a speech at the Knesset in Jerusalem earlier in the day, comes at a fragile moment of hope for ending two years of war between Israel and Hamas. “Everybody said it’s not possible to do. And it’s going to happen. And it is happening before your very eyes,” Trump said alongside Egyptian President Abdel Fattah el-Sissi.
8. The U.S. stepped in with an extraordinary bailout of Argentina.
The Treasury Department has extended a financial lifeline to Argentina in apparent hopes of heading off an emerging market financial crisis that could spread to U.S. shores. In a move that Treasury Secretary Scott Bessent announced Thursday on social media site X, the U.S. is providing a $20 billion currency swap line with Argentina’s central bank — essentially exchanging stable U.S. dollars with volatile pesos. The move comes amid liquidity concerns in Argentina that threatened stability for the country as it faces key midterm elections. The immediate market reaction was for the peso to appreciate sharply against the dollar Friday. Oct. 26 elections will determine the fate of President Javier Milei’s government, which has become an important ally for the U.S. in the region. With investors jittery over global growth and election-year uncertainty, the bailout shows Washington is committed to keeping credit markets calm at home.
9. Trump warns Russia he may send Ukraine long-range Tomahawks if Moscow doesn’t settle war soon
President Donald Trump on Sunday warned Russia that he may send Ukraine long-range Tomahawk missiles if Moscow doesn’t settle its war there soon — suggesting that he could be ready to increase the pressure on Vladimir Putin’s government using a key weapons system. “I might say, ’Look: if this war is not going to get settled, I’m going to send them Tomahawks,” Trump told reporters aboard Air Force One as he flew to Israel. “The Tomahawk is an incredible weapon, very offensive weapon. And honestly, Russia does not need that.” Trump said, “I might tell them that if the war is not settled — that we may very well.” He added, “We may not, but we may do it. I think it’s appropriate to bring up.” His comments came after Trump spoke by phone earlier Sunday with Ukrainian President Volodymyr Zelenskyy, and Trump said he mentioned possibly sending Tomahawks during that conversation.
10. Big Oil forced to confront some tough choices as ‘monster profits’ fade into memory
Energy supermajors are being forced to confront some tough choices in a weaker crude price environment, with generous shareholder payouts expected to come under serious pressure over the coming months. U.S. and European oil majors, including Exxon Mobil, Chevron, Shell and BP, have moved to cut jobs and reduce costs of late, as they look to tighten their belts amid an industry downturn. It reflects a stark change in mood from just a few years ago. In 2022, the West’s five biggest oil companies raked in combined profits of nearly $200 billion when fossil fuel prices soared following Russia’s full-scale invasion of Ukraine. Flush with cash, the likes of Exxon Mobil, Chevron, Shell, BP and TotalEnergies sought to use what U.N. Secretary-General António Guterres described as their “monster profits” to reward shareholders with higher dividends and share buybacks.
11. India’s retail inflation slows to eight-year low in September, leaving room for rate cut
India’s annual retail inflation slowed to an eight-year low of 1.54% in September, government data showed on Monday, as food prices eased, leaving room for the central bank to cut rates one more time when it meets in December. Retail inflation was below a poll of 1.7% and the lowest since June 2017, when it stood at 1.46%. It was at 2.07% in August. The figure has also dropped below the Reserve Bank of India’s 2%-6% tolerance band for a second time in three months. It had eased below 2% in July. The RBI is mandated to not let inflation overshoot its tolerance range of 2%-6% for more than three quarters in a row. The RBI has reduced interest rates by 100 basis points so far this year. It left the policy rate unchanged at 5.5% at its October monetary policy review, but signalled scope for a rate cut in December.
12. IMF’s Georgieva says countries lack regulatory, ethical foundation for AI
Countries around the world lack the regulatory and ethical foundation to deal with the rapid advent of artificial intelligence, IMF chief Kristalina Georgieva said on Monday, urging civil society groups to “ring the alarm bells.” Georgieva said the rapidly advancing technological revolution unleashed by AI was dominated by advanced economies, with the U.S. having the lion’s share. Speaking with civil society groups on the first day of the annual IMF and World Bank meetings, Georgieva said the IMF was “quite worried” that the gap between advanced economies and low-income countries on readiness for AI was growing and making it harder and harder for developing countries to catch up.
13. JPMorgan Chase says it will invest $10 billion into industries critical for national security
JPMorgan Chase on Monday said it is launching a decade-long plan to help finance and take direct stakes in companies it considers crucial to U.S. interests. The bank said in a statement it would invest up to $10 billion into companies in four areas: defence and aerospace, “frontier” technologies including artificial intelligence and quantum computing, energy technology including batteries, and supply chain and advanced manufacturing. The money is part of a broader effort, dubbed the Security and Resiliency Initiative, in which JPMorgan said it will finance or facilitate $1.5 trillion in funding for companies it identifies as crucial. It said the total amount is 50% more than a previous plan.
14. Salesforce boosts AI capabilities with global launch of Agentforce 360
Salesforce said on Monday its artificial intelligence platform “Agentforce 360” would be available globally across its suite of cloud-based tools to help clients automate routine tasks. Software firms are racing to enhance their products with advanced features as competition intensifies in an industry where clients are increasingly turning to AI agents, which can take actions on behalf of users, to help rein in costs. “Agentforce 360 connects humans, agents and data on one trusted platform,” Salesforce CEO Marc Benioff said. Agentforce 360 has 12,000 customers, including social media company Reddit, restaurant reservation platform OpenTable and employment services firm Adecco, the cloud software provider said. Salesforce also said its workplace messaging tool Slack would allow employees to use conversational AI in chats to gather data and complete tasks, with enterprise controls and security guardrails.
15. Estee Lauder shares climb as much as 8.4%, the most intraday since June 16 as Goldman Sachs raises recommendation on the beauty company to buy from neutral.
Estee Lauder has meaningful exposure to China, so the stock is also benefiting from the latest US/China trade negotiations after Friday’s 6.7% pullback on Trump’s China tariff threat. “Ultimately, we believe investors need evidence of sustainable topline growth and share gains, and we believe this could happen earlier than expected,” possibly in 1Q, which will be release Oct. 30, according to Herzog Sales inflation, along with continued progress on improving profitability should drive a “re-rating in the stock” She’s “incrementally more optimistic,” given: Prestige beauty industry’s mid-single digit long-term growth potential Stabilizing business trends in China market, as EL’s mainland China sales returned to mid-single digit growth (with market share gains) in 2H 2025 Abating headwinds within travel retail, with Hainan returning to growth in May Improving market share trends in the US Strong productivity savings, which should support EBIT margin expansion in FY26 and beyond
