Wall Street ended in the green as investors looked past the risk of a US government shutdown, focusing instead on corporate strength and sector rotations. The S&P 500 gained 0.40%, the Dow Jones rose 82 points to a fresh record, and the Nasdaq added 0.30%. Lawmakers face a midnight Wednesday deadline to secure funding, but a lapse appears likely, raising the risk of delayed economic data releases, including September’s key jobs report. Market sentiment remained cautious amid weakening labour market trends, subdued consumer confidence, and stretched valuations. Healthcare was the standout sector, with Pfizer surging 2.60%, while airline stocks lagged, pressured by operational challenges at carriers such as Southwest (-2.80%) and United (-2.50%). Technology shares advanced modestly, supported by Nvidia-related optimism and solid earnings from select firms. On a monthly basis, the S&P 500, Dow, and Nasdaq posted gains of 3%, 1%, and 5% respectively, with quarterly increases of 7%, 5%, and 11%.

European equities closed firmly higher after a volatile session, as investors assessed the potential spillover effects of a US shutdown on labour markets and monetary policy. The Eurozone’s STOXX 50 rose 0.40% to 5 530, while the broader STOXX 600 gained 0.60% to 558. Bond yields eased globally, reflecting cautious positioning at quarter-end. Fresh inflation prints from Germany, France, and Spain showed price pressures ticking higher, reinforcing expectations that the European Central Bank will hold rates steady through year-end. Financials and energy names led gains, while defensive sectors trailed.

The JSE maintained positive momentum, closing 0.65% higher, led by resource-linked counters as global commodities steadied. However, trade figures underscored domestic challenges. South Africa’s trade surplus narrowed sharply to R4 billion in August 2025, down from a revised R19.6 billion the previous month. Exports fell 6.80% month-on-month to R171.3 billion, marking the smallest surplus since January’s deficit. The rand traded cautiously against the dollar, reflecting concerns about slowing external demand.

Asian equities advanced modestly, buoyed by improving manufacturing indicators in China. The Shanghai Composite rose 0.52% to 3 883, while the Shenzhen Component gained 0.35% to 13 527. Official data signalled a smaller-than-expected contraction in September, while private surveys pointed to stronger growth momentum. Beijing’s measures to tackle industrial overcapacity provided additional support, though trading volumes were light ahead of the week-long National Day holiday.

Gold prices pulled back to $3 845 an ounce after briefly touching a record high above $3 860 earlier in the session. The decline reflected profit-taking and reduced Chinese demand ahead of the Golden Week holiday. Despite the dip, bullion remains on track to finish September over 10% higher and notch a 16% quarterly gain, underscoring its safe-haven appeal in a volatile macro environment.