Today’s Outlook :
• US MARKET : U.S. stocks closed lower on Monday after opening higher, amid a lack of economic data and the Federal Reserve’s blackout period. Investors shifted their focus to the earnings season, while tensions in the Middle East remained a key concern.
Sentiment remained pressured by profit-taking in AI and semiconductor stocks following concerns over elevated valuations and increasing competition from Chinese AI startup Moonshot AI. Nevertheless, semiconductor stocks began to recover, with the Philadelphia Semiconductor Index rising 0.6%.
The S&P 500 Index fell 0.2% to 7,445.94, the Dow Jones declined 0.6% to 51,841.28, and the Nasdaq Composite edged down 0.1% to 25,508.07.
Investors are now awaiting earnings reports from several technology companies, including Alphabet, Intel, and Texas Instruments, for further insights into AI infrastructure spending prospects and the broader market outlook.
• EUROPEAN MARKET : European stocks closed mixed on Monday as investors assessed diplomatic efforts in the Middle East that eased energy price concerns. The STOXX 600 Index fell 0.3%, the FTSE 100 declined 0.7%, the DAX gained 0.1%, while the CAC 40 ended flat.
However, geopolitical tensions between the U.S. and Iran, which entered their ninth day, continued to weigh on market sentiment. Meanwhile, investors are awaiting the European Central Bank (ECB) decision on Thursday, with policymakers expected to keep the benchmark interest rate unchanged at 2.25%.
• ASIAN MARKET: Asian stocks traded mixed on Monday. South Korean shares declined sharply due to concerns over stretched AI valuations, while Chinese equities gained on optimism surrounding domestic AI developments. Investors also monitored rising tensions in the Middle East, which lifted oil prices and prompted caution over the global central bank policy outlook.
The KOSPI Index fell nearly 4%, led by declines in Samsung Electronics and SK Hynix shares after the launch of the Kimi K3 AI model by Chinese startup Moonshot AI triggered profit-taking in global AI and semiconductor stocks.
Conversely, the Shanghai Composite Index rose 1.6%, the CSI 300 gained 2%, and the Hang Seng advanced 2.5%, driven by optimism that domestic AI innovation would enhance the competitiveness of China’s technology sector. Semiconductor Manufacturing International Corp (SMIC) shares rose more than 4%, while Hua Hong Semiconductor surged over 6%.
Meanwhile, China kept its benchmark lending rates (LPR) unchanged for the 14th consecutive month, in line with market expectations.
• COMMODITIES : Oil prices rose around 1% on Monday amid escalating tensions between the U.S. and Iran after President Donald Trump stated that Tehran would “pay” for the deaths of three U.S. service members. Gains were limited by reports of mediation efforts to ease the conflict, although supply concerns remained elevated after Yemen’s Houthi group announced plans for a naval blockade on Saudi Arabia.
September Brent crude futures rose 0.9% to USD 88.88 per barrel, while September WTI crude futures also gained 0.9% to USD 82.48 per barrel.
• INDONESIA : The JCI closed higher on Monday, gaining +0.91% to 6,231.78. Foreign investors recorded a net foreign buy of IDR 156.6 billion in the JCI, marking the second consecutive day of net inflows following Friday’s session. The JCI is currently facing resistance at the 6,240 level, with potential for a retest of the base support area, while the 6,000 level remains a psychologicalsupport level.
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