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  1. Ethiopian Forces Retake Mekelle Amid Renewed Tigray Fighting, Raising Fears of Wider Conflict
  2. OPEC+ maintains oil output policy for November, aligning with market expectations · 2 sources
  3. Nikkei 225 Reaches 70,037 High, Faces Pullback Risk Due to Overbought Conditions
  4. Nikkei Rises 2.0%, Led by Electronics, Machinery Stocks
  5. Japan's Service Sector Activity Slows in September, PMI Eases from 5-Month High

Markets 109

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  • The Nikkei 225 index has reached a high of 70,037.
  • The index is currently considered to be in an overbought state.
  • There is an active risk of a market pullback for the Nikkei 225.
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  • Japanese Nikkei 225 index rose 2.0% in early trade.
  • Gains were primarily led by electronics and machinery stocks.
  • The rise was attributed to a weak U.S. jobs report.
  • Weak U.S. jobs data lowered expectations for further Federal Reserve rate increases.

Macro/Economy 51

  • Japan's Services PMI eased to 51.3 in September from a 5-month high of 52.5 in August, below the flash reading of 51.6.
  • Business activity and new orders grew at a slower pace, though new orders still rose for the 27th consecutive month.
  • Employment increased for the 13th straight month, at the fastest pace since February, with backlogs of work rising to a 7-month high.
  • Input cost inflation softened to a 6-month low but remained elevated, while output price inflation also eased from August.
  • The broader Composite PMI, including manufacturing, fell to 52.3 in September from 53.5, marking its weakest level since May.
  • Hong Kong's first five-year plan intentionally avoids setting overly rigid economic indicators.
  • This strategy aims to prevent concerns about the city moving towards a planned economy.
  • Constitutional affairs minister Janice Tse emphasized prioritizing target achievement over accountability for potential shortcomings.

Central Banks 12

  • The 8th ECONDAT conference will take place on October 5-6, 2026, at the Bank of Japan in Tokyo.
  • The conference focuses on data science, nontraditional data, and AI techniques (ML, NLP) in macroeconomics and financial economics.
  • It is organized by the Bank of Japan and co-organized with Banca d'Italia, Federal Reserve Board, Sveriges Riksbank, Bank of Canada, and CEBRA.

Energy/Oil 19

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  • OPEC+ agreed to keep oil production targets unchanged for November.
  • The decision was in line with expectations that further policy adjustments are unlikely until next year.
  • Many members are already pumping below their quotas, with exports averaging 60-80% of usual levels.
  • Following the announcement, West Texas Intermediate (WTI) crude oil was down 0.59% at $89.85.
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  • Saudi Arabia and the UAE will assist Asian nations in accumulating oil reserves.
  • Asia, highly dependent on oil imports, currently lacks sufficient strategic supplies.
  • The two Middle Eastern producers are expected to expand oil exports to the region.
  • They will also prioritize oil supplies to Asia during emergency situations.

Gold/Metals 18

Crypto 36

Geopolitics 38

  • Ethiopian federal forces and allied fighters have retaken Mekelle, Tigray's regional capital, following the TPLF's confirmed withdrawal.
  • The development revives fears of prolonged violence, displacement, and economic hardship, reminiscent of the 2020-22 Tigray war that killed hundreds of thousands.
  • The 2022 Pretoria agreement, which ended the previous war, is largely seen as having collapsed due to unresolved issues and renewed military tensions.
  • Fighting has spread beyond Tigray, with explosions reported in Addis Ababa and a diplomatic rupture between Ethiopia and Eritrea, raising fears of a wider regional conflict.
  • Residents in both Mekelle and Addis Ababa express deep concern over the return to full-scale war and its potential humanitarian and economic consequences.
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  • Yemeni government forces have initiated a new offensive.
  • The objective is to reclaim all territories currently held by Iran-backed Houthi rebels.
  • This marks a significant escalation in the ongoing conflict in Yemen.

Tech/AI 31

  • Restricting AI while harnessing it for prosperity is a major 21st-century challenge.
  • Preventing tech-driven catastrophe requires a quicker response than nuclear arms control efforts.
  • US President Trump and Chinese President Xi Jinping agreed to further discuss AI risks at their Sept. 24 summit.
  • The article draws parallels between the urgency of AI governance and the lessons from the Hiroshima and Nagasaki disasters.
  • Norway proposes a temporary ban on AI glasses in selected public places, becoming the first major country to do so.
  • The ban targets areas such as parks, beaches, schools, and kindergartens.
  • The government will establish an expert group to develop permanent national rules for the technology.
  • Digitalization Minister Torgeir Micaelsen expressed concerns about people being recorded without their knowledge.

Companies 2

  • Revolut is emerging as a significant challenger to established European banks.
  • The company's valuation is cited at $115 billion.
  • Its growth signifies a shift in the European financial landscape.
  • Aselsan, Turkey's largest state-linked defense company, is pursuing partnerships with Japanese firms.
  • Key areas for cooperation include underwater drones and air defense systems.
  • This initiative is part of Aselsan's strategy to expand into Asian markets.
  • The move comes amid a perceived worsening security environment in the region.
  • Aselsan's CEO emphasizes political alignment between Turkey and Japan as a basis for closer cooperation.

Thai Markets 13

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  • Thai activists are protesting against foreign companies, including those from China and Israel, for allegedly circumventing ownership rules.
  • The protests are fueled by Thailand's sluggish economic growth, potentially signaling a shift from its traditionally open stance on foreign business.
  • The Thai government is considering a crackdown on ownership loopholes, which could widen the scope of the issue.

Other 1

  • Stephen Schwarzman attributes his life's trajectory to his time at Yale University.
  • He emphasizes Yale's foundational role in his personal and professional development.
  • Schwarzman's reflection highlights the transformative impact of his university experience.