- Global oil prices remained above $95 a barrel as Middle East conflict kept the Strait of Hormuz under threat, with shipping activity below average and traders pricing in a risk premium for potential supply disruptions.
- U.S. productivity data showed nonfarm business sector labor productivity up 1.4% in Q2 2026, with output rising faster than hours worked, a sign that AI and automation are beginning to lift efficiency despite inflationary pressures.
- European economists projected euro-area inflation to average 2.8% in 2026, 2.3% in 2027 and 2.0% in 2028, with Middle East tensions and fuel prices seen as the main drivers of elevated inflation through Q1 2027.
- China’s factory activity contracted in August despite stronger export demand, raising concerns about domestic consumption weakness and property-sector drag even as Beijing sought to boost manufacturing through stimulus.
- India’s wholesale inflation eased to 3.85%, while GST collections jumped 12% to ₹1.49 lakh crore and manufacturing PMI showed steady growth, painting a picture of resilient domestic demand amid global uncertainty.
- The RBI reported record $127 billion in forex deposits, a buffer that policymakers cited as evidence of external stability, even as reserves dipped modestly to $560.94 billion due to valuation effects.
- Russia remained India’s largest crude supplier in August, while the U.S. topped LPG and LNG volumes, reflecting New Delhi’s diversified energy strategy and bargaining power in a volatile market.
- Foreign investors continued to back Indian digital infrastructure, with a Canadian fund buying 24% in a tower company for $1.3 billion, signaling confidence in long-term data-demand growth.
- Tata Sons cleared a ₹10,000 crore investment plan for Air India, subject to conditions, as the carrier expanded fleet and routes, betting on India’s fast-growing aviation market.
- GIFT Nifty’s 105-point jump pointed to a positive open for Indian equities, with brokers citing easing inflation, strong GST numbers and hopes of further FII inflows as key drivers.
