To The Moon

Overview

Global markets posted a mixed performance on September 26, 2025. US and European equities managed to recover ground, but lingering concerns about inflation and trade policies capped overall momentum. Meanwhile, Asian markets slipped on renewed uncertainties over US interest rates and tariff risks.

US Markets: Inflation Jitters Ease, but Losses Linger

US stocks ended the session higher, with the Dow Jones $DJIA(.DJI)$  rising 0.7% to 46,247.29, the S&P 500 $S&P 500(.SPX)$  up 0.6% to 6,643.70, and the Nasdaq Composite $NASDAQ(.IXIC)$  advancing 0.4%. Gains came after investors digested crucial inflation data, though the major indices still closed the week in negative territory.

Europe: Optimism on Trade Policy Support

European equities climbed as markets reacted positively to new US trade policy announcements. Germany’s DAX gained 0.9%, France’s CAC 40 rose 1.0%, and the UK’s FTSE 100 advanced 0.8%. Improved sentiment suggested investors were cautiously hopeful about potential easing in trade tensions.

Asia: Pressure from Rates and Tariff Warnings

Asian markets weakened, pressured by renewed tariff threats from President Trump and stronger-than-expected US data, which fueled uncertainty over the Fed’s interest rate path. Japan’s Nikkei lost 0.9%, Hong Kong’s Hang Seng $HSI(HSI)$  dropped 1.3%, and China’s Shanghai Composite fell 0.7%.

Outlook and Insights

Markets are caught in a tug-of-war between optimism over policy support and concerns about sticky inflation and trade frictions. While US and European equities show resilience, Asia’s weakness highlights broader global uncertainty. Looking ahead, inflation trends, central bank signals, and geopolitical developments will remain key drivers of market direction.