Saudi Oil Exports Face 4% Global Supply Threat as Pipeline Remains Shut 
Houthis Escalate Saudi Attacks as Red Sea Oil Risks Grow 
Dollar Rises as Fed Hike Bets Weigh on Asian Currencies 
EUR/USD Eyes 1.17 as Fed Decision Could Weigh on Dollar 
Central Banks Could Buy 20,000 Tonnes of Gold: BofA 
BOJ Set to Raise Rates to 1.25% as Inflation Risks Build 
Gold Prices Fall as Hot U.S. Inflation Boosts Fed Rate Hike Bets 
BOJ Flags Import Costs and Yen Shocks as Persistent Inflation Risks 
China Industrial Output Beats Forecasts as Exports Support Growth 
Asian Currencies Subdued as Yen Weakens Ahead of Fed, BOJ Decisions 
Asian Bank Stocks Slide as BofA Warning and Rising Yields Hit Sentiment 
Oil Prices Surge as Houthi Attacks Deepen Hormuz Supply Fears 
Oil Prices Surge as Houthi Attacks Raise Saudi Supply Fears 
Asian Tech Stocks Slide as AI Concerns and Rising Bond Yields Hit Chipmakers 
US Treasury Yields Near 5% as Oil Fuels Inflation Fears 
Japan Producer Inflation Eases to 7.6% in August 
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Asian stocks stabilized on Tuesday as a rebound in artificial intelligence and semiconductor shares helped markets recover from Monday’s technology selloff. However, oil prices above $107 a barrel and elevated bond yields kept investors cautious ahead of the Federal Reserve’s closely watched interest rate decision.
Nasdaq 100 Futures edged higher during Asian trading, while S&P 500 Futures slipped to 7,691.50. Investors reassessed technology stocks after leading AI executives called for stronger safeguards and a slower pace of advanced model development, raising questions about future corporate spending and earnings across the AI supply chain.
Bond markets remained under pressure after the U.S. government repurchased fewer 10- to 20-year Treasury securities than investors expected. Long-term government yields have also been supported by widening fiscal deficits, heavy debt issuance and financing requirements tied to AI infrastructure investment. Higher yields can weigh on stocks by increasing borrowing costs and reducing the present value of future earnings.
Japan’s Nikkei 225 gained 0.8%, while South Korea’s KOSPI rose 0.19%. The MSCI Asia Pacific index was broadly unchanged, while Hong Kong’s Hang Seng fell 0.5% to 24,791.
Semiconductor stocks recovered, with SK Hynix climbing 1.62%, Samsung Electronics gaining 0.9% and Kioxia advancing 2.73%. Anthropic CEO Dario Amodei has advocated stronger safeguards and independent evaluations for advanced AI models. OpenAI CEO Sam Altman also backed greater caution, while Elon Musk supported the proposal.
Chinese stocks posted modest gains as investors assessed mixed economic signals. The CSI 300 and Shanghai Composite each rose 0.1%. August figures showed resilient industrial activity but continued weakness in consumer spending and investment. Hong Kong-listed Alibaba rose 2.1%, Tencent gained 2.9%, Baidu advanced 1.06% and JD.com added 0.8%.
Elsewhere, Australia’s S&P/ASX 200 dropped 0.9%, Singapore’s Straits Times fell 1.04% and Indonesia’s Jakarta Composite declined 0.61%, while India’s Nifty 50 gained 0.2%.
Markets are pricing more than a 90% probability of a Fed rate hike on Wednesday. With oil above $100 and Middle East tensions fueling inflation concerns, investors are also preparing for Bank of England and Bank of Japan policy decisions later this week.
