Market News

• Prior 48.1

Key findings:

• Fresh growth in output and new orders, ending two-month run of decline
• Brightest 12-month outlook in just over five years
• Intensification of cost and charge inflation

Comment:

Commenting on the PMI data, Jonas Feldhusen, Junior Economist at Hamburg Commercial Bank, said:

“In February, we saw tentative signs of improvement in Italy’s manufacturing sector, but this is not yet a meaningful step forward. The recent uptick, following two weak months, still rests on a fragile foundation. Only if a more sustained recovery emerges over the coming months, marked by continuous growth in production and new orders, can we then speak of a genuine upswing in manufacturing. Until then, the situation remains strained.

“In the latest…

• Prior 48.8

Hopes for a recovery in the Swiss industry were dashed with this being another contractionary reading in February. This marks a 38th straight month that Switzerland's manufacturing sector recorded below the 50-point growth threshold. Of note, production slumped back lower with new orders also softening once again. The details:

It reaffirms that the environment for the Swiss industry remains challenging. The only positive is that the Swiss economy relies much more on the services sector. However, the main focus right now is more on the inflation battle and that's what the SNB is also finding it tough to work out amid a stronger Swiss franc currency.

•  Asian Stock Markets : Nikkei down 1.31%, Shanghai Composite up 0.00%, Hang Seng down 1.70% ASX down 0.18%
• Commodities : Gold at $5,376.70 (2.46%) Silver at $93.433 (1.29%), Brent Oil at $77.44 (6.25%), WTI Oil at $71.04 (5.94%)
• Rates : US 10-year yield at 3.970, UK 10-year yield at 4.2360, Germany 10-year yield at 2.6527

• (CAD) GDP m/m  0.2% to 0.1%  expected

Asian stock markets plunged on Monday, tracking heavy losses on Wall Street Friday, as investors reacted to escalating geopolitical tensions after hostilities erupted between the United States, Israel, and Iran over the weekend. Diplomatic talks between Washington and Tehran regarding Iran’s nuclear program…

• Prior 49.2

That's a slight improvement to the January estimate, as production levels were seen broadly stable in February. That being said, the order books declined for a third straight month albeit at a slower rate at least. On the price front, Spanish manufacturers saw another steep rise in input prices with the rate of inflation edging up from the start of the year to a 13-month high. So, that's something to be wary about.

HCOB notes that:

“Spain’s manufacturing sector continues to struggle to gain traction. Following two slight declines in December and January, the current headline PMI reading of 50 signals stagnation, suggesting that the manufacturing sector entered this winter with less momentum than during large parts of the previous…

IC Markets Global – Asia Fundamental Forecast |02 March 2026

What happened in the U.S. session?

U.S. markets reacted negatively to mixed labor data showing rising jobless claims and tariff hikes on South Korea, pressuring major indexes like the Dow and Nasdaq, while oil surged on Iran tensions and the dollar weakened to multi-year lows, highlighting trade policy and geopolitics as dominant drivers over macro releases.

What does it mean for the Asia Session?

Asian traders face a packed Monday with key manufacturing PMIs across the region and escalating geopolitical risks driving commodities. Gold has surged to around $5,300 per ounce amid US-Iran tensions, boosting safe-haven demand, while oil prices are poised to climb above $90 on…

IC Markets Global – Asia Fundamental Forecast |02 March 2026

What happened in the U.S. session?

U.S. markets reacted negatively to mixed labor data showing rising jobless claims and tariff hikes on South Korea, pressuring major indexes like the Dow and Nasdaq, while oil surged on Iran tensions and the dollar weakened to multi-year lows, highlighting trade policy and geopolitics as dominant drivers over macro releases.

What does it mean for the Asia Session?

Asian traders face a packed Monday with key manufacturing PMIs across the region and escalating geopolitical risks driving commodities. Gold has surged to around $5,300 per ounce amid US-Iran tensions, boosting safe-haven demand, while oil prices are poised to climb above $90 on…

IC Markets Global – Europe Fundamental Forecast | 02 March 2026

What happened in the Asia session?

Today’s Asia session was dominated by US-Iran escalation, driving oil up 13%+ and gold higher, while equities like Nikkei (-1.5%) and Hang Seng (-2.5%) fell on risk aversion; Japan’s strong PMI (53.0) provided a positive counter-note for JPY, setting a volatile tone ahead of more PMIs.

What does it mean for the Europe & US sessions?

Traders face a pivotal day with China’s Manufacturing PMI and especially the US ISM Manufacturing PMI (10:00 EST), poised to dictate USD strength and risk sentiment, following January’s rebound to expansionary levels above 50. Markets open on a sour note, Dow futures plunging amid US-Iran escalations spiking…

IC Markets Global – Europe Fundamental Forecast | 02 March 2026

What happened in the Asia session?

Today’s Asia session was dominated by US-Iran escalation, driving oil up 13%+ and gold higher, while equities like Nikkei (-1.5%) and Hang Seng (-2.5%) fell on risk aversion; Japan’s strong PMI (53.0) provided a positive counter-note for JPY, setting a volatile tone ahead of more PMIs.

What does it mean for the Europe & US sessions?

Traders face a pivotal day with China’s Manufacturing PMI and especially the US ISM Manufacturing PMI (10:00 EST), poised to dictate USD strength and risk sentiment, following January’s rebound to expansionary levels above 50. Markets open on a sour note, Dow futures plunging amid US-Iran escalations spiking…

A Reuters source is reporting that Saudi Aramco's Ras Tanura refinery, which is the largest oil refinery in the Middle East, was hit by a drone attack and forced to shut down as a precautionary measure. The source did note that the "situation is under control" though.

However, the strike continues to highlight the kind of disruption that is hitting the oil market at the open. It's not just all about the Strait of Hormuz. There's tension and fears all over the region and oil refineries and tankers everywhere have to be mindful about the situation.

I would say it still isn't clear what is Iran's playbook in all of this. You would expect them to hit back at countries with US presence but they seem to be just trying to create a disruption…

Markets Under Pressure as Middle East Conflict Escalates – Dow down 1%
Traders are expecting a very busy start to the week today after hostilities increased dramatically over the weekend in the Middle East. US markets closed out last week on the back foot, and traders are expecting more pressure across financial products in the days ahead. The Dow declined 1.05% to finish at 48,977, while the S&P 500 fell 0.43% to 6,878, and the Nasdaq underperformed, shedding 0.92% to close at 22,668. Fixed income markets saw strong demand, with Treasury yields moving sharply lower. The US 2-year yield fell 5.3 basis points to 3.375%, while the benchmark 10-year yield declined 6.7 basis points to 3.937%, slipping back below the 4% threshold as investors…