Markets Face Gold Highs, Shutdown Uncertainty and Bold Corporate Moves

Global markets kicked off the week with a mix of caution and opportunity as gold hit record highs near $3,900, the U.S. government entered a shutdown, and major corporate deals reshaped investor sentiment. From crypto’s stalled rally to shifting energy dynamics, traders are navigating heightened volatility across asset classes.

Introduction

Global markets are entering the new week under pressure from record-breaking gold prices, a U.S. government shutdown, and fresh corporate shake-ups. While some sectors are benefiting from safe-haven demand and tech optimism, others face the brunt of tariffs, production halts, and rising costs. Traders are balancing caution with opportunity as volatility widens across equities, commodities, and crypto.

Gold Nears $3,900 Amid Shutdown Worries

Gold extended its rally, climbing toward $3,900/oz, as safe-haven demand spiked after the U.S. government officially entered a shutdown. Bets on Federal Reserve rate cuts added momentum, with silver, platinum, and palladium tracking higher. European metals and mining stocks also gained traction, reinforcing gold’s role as the market’s crisis hedge.

Equities in Motion: Pharma, Tech, Retail

Corporate and sector-specific moves grabbed attention:

• Greggs reported a 6.1% rise in Q3 sales, but maintained a cautious full-year outlook.
• Pharma stocks remained volatile, with Trump’s tariff threats still weighing heavily despite exemptions for some U.S. players.
• In tech, Nvidia’s $100 billion investment into OpenAI sparked debate over whether AI bets are inflating a bubble, even as chipmaker shares gained.
• Meta is reportedly acquiring AI chip startup Rivos, doubling down on its semiconductor push.

Crypto Rally Stalls

Bitcoin, which recently surged past $114,000, paused as U.S. shutdown risks dented momentum. Ethereum and altcoins saw mixed moves, with traders watching whether regulatory and liquidity concerns will curb the broader crypto rally. Still, institutional interest remains a key driver in the background.

Oil and Energy Trends

Oil prices steadied after sharp losses tied to reports of a potential OPEC+ output hike. Supply-side risks remain elevated, but traders see the possibility of additional production as a cap on further price rallies. In parallel, energy equities were active: Tamboran struck a $239 million deal to acquire Falcon Oil & Gas, highlighting continued deal flow in the sector.

Asia and Europe Markets

• Asia FX stayed steady as the RBI left rates unchanged, while the Indian rupee firmed slightly on central bank support.
• BHP shares fell after reports of China blocking iron ore shipments, dragging sentiment in mining names.
• In Europe, stocks gained modestly, led by leisure and consumer plays, while shutdown risks in the U.S. tempered enthusiasm.

Summary

Markets are being pulled in opposite directions — with gold and safe havens surging, corporates reshaping through M&A, and shutdown politics rattling confidence. For traders, the focus remains on near-term catalysts: U.S. jobs data, Fed commentary, and how long the shutdown may last. These factors could set the tone for October trading across FX, equities, and commodities.