The S&P 500’s forward P/E ratio hit its highest in decades, largely driven by mega-cap tech and AI stocks, while the equity risk premium narrowed to multi-decade lows, highlighting reduced compensation for risk. Analysts warn that rapid narrative shifts and social media-driven momentum resemble past bubbles, urging focus on fundamentals.

Gold continues its strong rally near $3,900, supported by inflation concerns and safe-haven demand, while Brent crude rises on limited OPEC+ output increases. Bitcoin holds firm near $120,000 after briefly surpassing $125,000.

Economic data showed deepening U.S. private-sector job losses and prolonged factory weakness due to tariffs, raising the likelihood of further Fed easing. Meanwhile, inflation ticked up in the Eurozone, U.S. auto sales surged, and the IMF flagged uneven global growth.

The week ahead focuses on the U.S. government shutdown, FOMC minutes, ECB and RBNZ policy updates, and key data from Europe, Japan, and emerging markets.

Please take a look at our detailed weekly bulletin file below for further analysis.