OCBC Investment Research
4 September 2025
Global Markets Rally as Tech Giants Surge and Rate Cut Expectations Rise: Comprehensive Equity Market Insights and Company Analysis
Market Overview: Sentiment Shifts as Tech Stocks Lead Global Gains
The latest market session saw a resurgence in investor optimism as major legal and macroeconomic developments shaped trading activity across the United States, Europe, and Asia.
United States: Tech Giants Drive Recovery Amid Mixed Broader Market
S&P 500 rose 0.51%, breaking a two-day losing streak.
Nasdaq Composite gained 1.03%, outperforming other indices.
Alphabet (Google) soared 9.1% to a record high after a favorable antitrust verdict.
Apple advanced 3.8%, posting its highest close since March.
Despite these tech-driven gains, most S&P 500 constituents ended in the red, with only 4 out of 11 sectors closing higher. Energy stocks suffered their steepest drop since June as OPEC+ signaled potential production increases, sending oil prices sharply lower.
The Dow Jones Industrial Average slipped 25 points (-0.1%), as Alphabet’s absence and Apple’s limited index influence muted tech’s upside effect. Bank shares declined amid concerns over a slowing economy and surging bond yields, triggered by a U.S. federal court ruling that could require refunds of billions in tariffs imposed during the Trump administration.
Economic Data and Fed Commentary
The Job Openings and Labour Turnover Survey showed job openings at a 10-month low, mainly due to weakness in healthcare, retail, and hospitality.
Treasury yields dropped, with the 2-year note at 3.61% and the 10-year at 4.21%, reinforcing expectations for imminent interest rate cuts.
Federal Reserve Governor Christopher Waller indicated support for a rate cut this month, minimizing tariff inflation risks and voicing concerns over a weakening labor market.
Europe: Renewed Optimism Lifts Equities
The Stoxx Europe 600 Index advanced 0.66%, reversing the previous session’s losses.
Healthcare and retail were top performers, while energy and telecom lagged behind.
Asia: Tech Headwinds Weigh on Regional Markets
The MSCI Asia Pacific Index fell by up to 1%, its sharpest decline in a week.
Regional technology shares dropped after a major chipmaker lost U.S. authorization to ship key equipment to China, raising fears of supply disruptions.
Singapore Market Update: STI and Sector Performance
Straits Times Index (STI): Closed at 4,289.3, down 0.2%
FTSE ST Financials: -0.4%
FTSE ST REITs: -0.3%
FTSE ST Real Estate: -0.1%
Market Volume: 2.0m (-99.9%)
Turnover: 6.6m (-99.5%)
Gainers/Losers: 311/221
Global Market Indices and Commodities Snapshot

Latest Company Research and Ratings
OCBC Investment Research has released multiple in-depth reports on leading Asian and Singapore-listed companies, focusing on performance, outlook, and investment recommendations. Below are the key highlights and ratings for each covered name:
Key Company Research Summaries

STI Component Stocks: Detailed Performance and Valuation Metrics
The following table showcases the largest STI stocks by market capitalization, including key financial ratios and current recommendations:

Conclusion: Market Outlook and Strategic Considerations
Global equity markets are navigating through a complex mix of macroeconomic signals, legal developments, and sector-specific catalysts. The recent surge in technology stocks, coupled with policy signals hinting at rate cuts, has boosted risk sentiment even as underlying concerns linger regarding economic growth and sectoral weaknesses, particularly in banking and energy.
OCBC Investment Research continues to provide actionable insights and robust coverage across leading Asian and Singapore-listed companies, helping investors identify both opportunities and risks in a dynamic investment landscape.
Disclaimer:
This article is for informational purposes and does not constitute investment advice. Please consult your financial adviser for tailored advice.