UOB Kay Hian Private Wealth Management
Report Date: September 2, 2025
Global Markets Pulse: Key Stock Moves, Strategic Sector Insights & Corporate Shake-ups – September 2025

Market Overview & Top News Drivers

The global financial landscape kicked off September with significant policy statements, notable index reshuffles, and corporate actions impacting stocks across continents. From tariff disputes and AI breakthroughs to sector-specific performance and executive changes, investors are watching a wide array of developments.

Key Headlines Shaping Markets

• US-India Tariff Tensions: Trump announced India’s willingness to cut tariffs to zero, following the US doubling duties on Indian exports to 50%. The dispute is linked to India’s ongoing purchases of Russian oil.
• Index Movements: Deutsche Bank is set to rejoin the Euro Stoxx 50 after a seven-year absence, alongside Siemens Energy and Argenx.
• Defence Stocks Surge: European defence shares rallied on EU troop deployment plans to Ukraine.
• Walmart’s Streaming Bundle: Walmart+ members will gain access to Peacock Premium and Paramount+, enhancing value against streaming rivals.
• Major Tech & Pharma Moves: Novo Nordisk posted positive real-world study results for Wegovy; Alphabet’s Google refuted major Gmail security scare rumors.

Global Index & Asset Performance

Americas: Stocks, Policy, and Corporate Moves

Tesla Faces Extended Sales Slump in Europe

• Registrations of new Tesla cars plunged 47.3% YoY in France for August, underperforming the overall car market (+2.2%).
• Sales dropped over 84% in Sweden (where the EV market was flat and total car sales rose 6%), 42% in Denmark, 50% in the Netherlands, and 4.4% in Italy.
• The data underscores mounting competitive pressures and consumer headwinds for Tesla in Europe.

US Housing: Potential Emergency Declaration

• The Trump administration is exploring a national housing emergency this fall, aiming to curb surging prices and address supply shortages.
• Rents are reportedly declining, bringing relief to non-homeowners.

Google Dismisses Gmail Security Rumors

• Alphabet’s Google confirmed its Gmail security remains robust, refuting widespread reports of a major security warning.

Goldman Sachs: Major Stock Transaction

• COO Waldron sold 18,244 shares for an estimated \$13.6 million, still retaining roughly 300,000 shares.
• Waldron is considered the leading candidate to succeed CEO David Solomon.

Domino’s Pizza UK: Share Buyback and Forecast

• Domino’s reaffirmed its 2025 forecast and launched a \$27 million share buyback.
• 2025 core profit forecast revised to £130–£140m (previously £141–£150m), citing high costs and muted demand.

Greater China: AI Breakthroughs, IPOs, and Sector Trends

Alibaba’s AI-Driven Surge

• Alibaba shares soared 18.5% on robust AI-driven growth and a breakthrough in AI chip technology.
• Market leaders see Alibaba’s progress as a watershed moment for China’s AI value chain.

Hong Kong IPO Calendar

China’s Military Parade Highlights Modernization

• China’s ‘Victory Day’ parade on Sep 3, marking 80 years since WWII, with Xi Jinping, Kim Jong Un, and Vladimir Putin attending.

BYD Production Declines

• BYD, the world’s largest EV maker, posted consecutive monthly production drops for the first time since 2020: 353,090 vehicles in August (-3.78% YoY), following a 0.9% drop in July.

CATL Divests Valmet Automotive Stake

• CATL is selling its 20.6% stake in Finnish car maker Valmet Automotive to the Finnish state and another shareholder.
• Finland injects an additional €35 million (\$40.97 million) into Valmet Automotive, amid sluggish EV sales in Europe.

China Internet Sector: Strong Growth, Margin Pressures

• Robust 2Q25 topline growth, with AI and quick commerce driving incremental revenue.
• Profitability under pressure due to heavy investments amid fierce competition in on-demand delivery.
• Maintain MARKET WEIGHT stance.

China Merchants Bank: Downgrade to HOLD

• 2Q25 earnings in-line, but PPOP missed due to muted fee income and NIM compression.
• Asset quality stable, but retail risks remain elevated.
• Limited catalysts and less attractive dividend yield prompt downgrade to HOLD; target price: HK\$51.00.

Shenhua Energy: Coal Output Growth to Slow

• China caps coal production from July, leading to slower output growth and reduced imports for H2.

LONGi Green: Earnings Miss, Recovery Hinges on Cost Control

• 1H25 net loss of Rmb2,569.4m, driven by wafer/module ASP declines and negative gross margins (-0.8%).
• Sequential improvement in 2Q25, but full recovery depends on product mix upgrades and cost discipline.
• Maintain HOLD; target price: Rmb16.90.

Asia ex-China: Sector Opportunities & Earnings Insights

Malaysia Renewable Energy: Tariff Revision Boosts Solar

• PETRA’s 5 sen/kWh cut in system access charge (CRESS) is a positive for RE players, especially those targeting data centre clients.
• EPCC job opportunities for large-scale solar farms (~500MW) expected to rise.
• Maintain OVERWEIGHT; top sector pick: Pekat.

CIMB: Recovery Underway, Attractive Valuations

• 2Q25 results supported by cost discipline and strong trading gains; PPOP up 5% QoQ.
• Stock lags peers (-8% YTD vs KLFIN -4%), trading at 1.0x 2026 P/B.
• Maintain BUY; target price: RM8.25 (11.2% 2026F ROE).

IHH Healthcare: Weak Quarter, Brighter Outlook Ahead

• 2Q25 earnings missed expectations due to payer pressure and strong ringgit, offsetting Acibadem’s performance.
• Improvement expected in 2H25 with Mount Elizabeth Orchard reopening and new Acibadem hospitals starting operations.
• Maintain BUY; target price lowered to RM7.90.

EMEA & Others: Executive Shake-ups & Pharma Advances

Nestle: CEO Ousted After Disclosure Issue

• Nestle dismissed CEO Laurent Freixe for failing to disclose a romantic relationship with a subordinate.
• Philipp Navratil, formerly head of Nespresso, appointed CEO with immediate effect.

AstraZeneca: Blood Pressure Drug Approval Sought

• AstraZeneca plans to seek approval for a new blood pressure drug by year-end.
• Expected peak annual sales for the drug exceed \$5 billion, critical to long-term growth strategy.

Upcoming Must-Watch Events This Week

• Sep 1-2: HSBC China Conference, Shenzhen
• Sep 2: US S&P Manufacturing PMI (Final), US Total Vehicle Sales, NIO earnings
• Sep 3-4: Goldman Retailing Conference, NY
• Sep 3-5: Goldman’s Asian Leaders Conference, HK
• Sep 3: BNP APAC Conference, HK; China PMI-Services; CRM earnings
• Sep 4-9: Alibaba CoCreate 2025 Pitch Event, Las Vegas
• Sep 4: Miran Fed Confirmation Hearing; US Imports/Exports; US Initial Jobless Claims; AVGO, Sun Hung Kai Properties earnings
• Sep 5: US Labor Data (NFP/Unemployment Rate)
• Sep 7: China FX Reserves

Conclusion: Navigating Volatility & Opportunity

September 2025 starts with powerful market drivers, from geopolitics and policy pivots to sector-specific trends and executive moves. Investors should pay close attention to index changes, corporate earnings, and regulatory shifts, while leveraging sector insights for tactical positioning. Stay tuned to upcoming events for further market-moving news.