Global Economic Briefing – September 01, 2025
Hello, here’s today’s economic issue briefing. We’ll review how global markets are reacting ahead of U.S. jobs data and explain the underlying macro trends.
Key Points Today
1. Awaiting U.S. Employment Data
- August nonfarm payrolls expected: +75,000 jobs
- Unemployment rate forecast: 4.3%
These figures are crucial for the Fed’s decision at the September 17 FOMC meeting. A weaker-than-expected report could support rate cut expectations, while a stronger figure might delay policy easing.
2. Weakness in Asian Equities
- Nikkei: −0.9%, KOSPI: −0.5%
- Key drivers: tech corrections and trade uncertainty
Companies linked to global supply chains showed heightened sensitivity.
3. Rising Tech Stock Volatility
- NVIDIA and major U.S. AI stocks declined
- Alibaba surged on in-house AI chip news
The AI race is intensifying. Company-level performance matters more than sector-wide trends.
4. Korea’s Manufacturing PMI Disappoints
- August PMI: 48.3 → 7th straight month of contraction
- Impacted by U.S. tariffs and weak global demand
Plunging export orders may weigh on South Korea’s economic outlook.
Market Reactions
- Equities: Asia down, U.S. cautious ahead of jobs data
- Bonds: U.S. Treasury yields slightly lower on dovish bets
- FX/Commodities: Dollar soft, gold up on risk aversion, oil down on demand concerns
Upcoming Watchpoints
- September 3–5: U.S. employment data (ADP, NFP, unemployment)
- September 17: FOMC rate decision
- Also watch: China & Eurozone PMIs, Korea’s September export numbers
Today’s Memo (Not Financial Advice)
- Safe-haven assets like gold and U.S. Treasuries gaining favor
- Tech divergence: AI competition = firm-specific volatility
- Currency caution: Dollar weakness = higher won/yen volatility
TL;DR
Markets corrected ahead of the U.S. jobs report, with tech stocks pulling back and Asia broadly weaker. Expect more volatility ahead of the Fed’s September 17 rate decision.
This post is for informational purposes only and does not constitute financial advice. Market conditions may change without notice.
