September 3, 2025 – World News Roundup | Beijing Military Parade (Xi, Putin, Kim Jong Un) / Russia’s Large-Scale Airstrikes on Ukraine / Ground Fighting Expands in Gaza City / Gold Hits Record High & Global Long-Term Yields Rise / OPEC+ to Discuss Production Hike This Weekend [Geopolitics × Market Impact]
A structured digest of key developments on Wednesday, September 3, 2025 (JST) in the format “Key Points → Impact → What’s Next.” Reference links at the end.
1) China: Beijing Holds 80th Anniversary Victory Parade over Japan — Xi, Putin, and Kim Jong Un Attend
- Key points: At the Beijing military parade, President Vladimir Putin and General Secretary Kim Jong Un were in attendance. Many Western leaders were absent, underscoring the China–Russia alignment and a message aimed at the U.S. and the West.
- Impact: Markets are reassessing China–Russia cooperation in energy, security, and payments, along with secondary-sanctions risks on exports to Russia. For supply chains highly dependent on China, secure alternative sourcing options.
- What’s next: Watch for post-parade bilateral deals (energy, defense equipment, currency settlement) to materialize and for spillovers into Russia-related dynamics.
2) Ukraine: Broad Airstrikes Hit Infrastructure — Zelensky Urges Tougher Pressure in Europe; Putin Says He’s “Ready to Meet in Moscow”
- Key points: Russia launched large-scale drone and missile attacks across 14 locations, damaging power transmission and transport infrastructure. President Zelensky, visiting Denmark and France, called for additional support and tougher pressure on Russia. President Putin, meanwhile, said he was ready to meet Zelensky in Moscow.
- Impact: Geopolitical premiums in marine insurance and freight are prone to re-accelerate, spilling over into European long-term yields (term premium). Winter power supply plans need rework on investment and inventory fronts.
- What’s next: Expect a tug-of-war between strikes on energy facilities and diplomatic signaling. Prospects for cease-fire / practical arrangements remain unclear.
3) Gaza: Ground Fighting Further Expands in Gaza City — Evacuations Continue, Humanitarian Situation Worsens
- Key points: Israeli forces pushed into central Gaza City (around Sheikh Radwan). Prolonged displacement and infrastructure destruction are intensifying.
- Impact: Insurance and freight costs along the Red Sea route remain elevated. Crude oil volatility faces upward pressure.
- What’s next: Without phased cease-fires and humanitarian accords, expect continued logistics bottlenecks and a sustained geopolitical premium in energy.
4) Commodities & Rates: Gold Sets a New All-Time High ($3,55x); Global Long-Term Yields Rise in Sync
- Key points: On expectations of a U.S. rate cut in September plus central bank independence risks and geopolitics, gold hit a record high. At the same time, concerns over fiscal sustainability and heavier issuance pushed long-dated yields to multi-year highs worldwide.
- Impact: WACC tends to rise for long-duration investments, while short-term policy rates still have room to fall on easing expectations—i.e., a “twist-shaped” curve persists. Preference likely strengthens for defensive assets such as gold and short-duration sovereigns.
- What’s next: U.S. payrolls and final Eurozone PMIs will guide risk assets. In gold, dips are likely met by buy-the-dip interest.
5) Crude Oil: OPEC+ to Weigh “Additional Production Hike” at Weekend Meeting — Oil Falls ~2% Intraday
- Key points: OPEC+ is reportedly meeting this Sunday to consider further output increases. Brent dipped into the $68s; WTI into the $64s. Despite sanctions and geopolitical supply worries, production-hike expectations outweigh supply fears for now.
- Impact: Alongside the seasonal fade in demand, refining and petrochemical margins in Asia could improve. Keep watching geopolitical surcharges in shipping and insurance.
- What’s next: Depending on the meeting outcome, prices could test the upper-$60s range from below. Ukraine/Middle East headlines remain near-term volatility drivers.
6) Europe & Japan: Eurozone Composite PMI at 51.0 (Sluggish Expansion) / Germany Services Back Below 50 / France Services at 49.8
- Key points: For August, the Eurozone Composite PMI printed 51.0, Services 50.5, indicating modest expansion. Germany’s services fell to 49.3, slipping back into contraction, while France’s was 49.8, showing improvement.
- Japan: The August Services PMI (final) was 53.1, maintaining expansion. Domestic demand and tourism offset weak external demand.
- Impact / What’s next: Europe’s economy is expanding slightly amid fiscal worries and elevated long-term yields. Japan is supported by wage hikes, power-sector investment, and tourism—but beware yen volatility.
7) United States: Lawsuit over Firing of Fed Governor Cook — Court Fight Continues (New Rebuttal Filed)
- Key points: Fed Governor Lisa Cook’s side flatly rejected the administration’s mortgage false-statement allegations. No injunction ruling yet, and independence risk is likely to linger.
- Impact / What’s next: A continued tug-of-war between lower short-term rates and higher term premia supports gold’s resilience.
Overall (Editorial View)
- Geopolitics: The China–Russia alignment on display at the Beijing parade, broad Russian airstrikes in Ukraine, and ongoing war in Gaza keep risk premia elevated. Oil is inclined to price in an OPEC+ production-hike scenario, depending on the meeting.
- Macro & Markets: The gold record and global upswing in long-term yields reflect fiscal and independence concerns. For now, expect a “short end ↓ / long end ↑” twist and a preference for safe assets.
Practical Actions (3)
- Re-calculate cost of capital assuming a September 25 bp U.S. cut × elevated term premium (make discount rates more conservative for long-duration projects).
- For supply chains, validate alternative routes and settlement options under secondary-sanctions on Russia / tighter controls on China scenarios.
- For fuel and shipping contracts, review surcharge clauses linked to OPEC+ outcomes / Black Sea & Red Sea developments.
Reference Links (Major Primary Reporting)
- China – Military Parade
- Reuters: Xi projects power at parade; Putin & Kim attend https://www.reuters.com/world/china/chinas-xi-projects-power-military-parade-with-putin-kim-2025-09-03/
- Ukraine
- Reuters: Broad airstrikes & Zelensky’s Europe trip https://www.reuters.com/business/aerospace-defense/sweeping-russian-air-attack-hits-ukraine-putin-attends-china-parade-2025-09-03/
- Reuters: Kyiv air raid (breaking) https://www.reuters.com/world/europe/russia-launches-air-attack-kyiv-ukraines-military-says-2025-09-03/
- Reuters: Putin “ready to meet” in Moscow https://www.reuters.com/world/europe/putin-says-he-is-ready-meet-zelenskiy-moscow-2025-09-03/
- Gaza
- Reuters: Push into Gaza City & expanded urban fighting https://www.reuters.com/world/middle-east/israeli-military-pushes-further-into-gaza-city-forcing-more-displacement-2025-09-03/
- Gold, Bonds, Equities
- Reuters: Gold at record; bonds sell off (wrap) https://www.reuters.com/world/china/global-markets-wrapup-5-2025-09-03/
- Reuters: Global rise in long-dated yields (analysis) https://www.reuters.com/business/long-dated-bond-yields-keep-rising-fiscal-concerns-linger-2025-09-03/
- Crude Oil / OPEC+
- Reuters: OPEC+ mulls further increase; oil drops https://www.reuters.com/business/energy/opec-consider-further-oil-output-hike-sunday-sources-say-2025-09-03/
- Reuters: Oil falls on meeting chatter https://www.reuters.com/business/energy/oil-prices-drop-opec-weighs-another-output-hike-2025-09-03/
- Europe & Japan PMIs
- Reuters: Eurozone composite 51.0 (Aug final) https://www.reuters.com/world/europe/euro-zone-economic-growth-remains-sluggish-august-pmi-shows-2025-09-03/
- Reuters: Germany services 49.3 https://www.reuters.com/world/europe/german-services-activity-returns-contraction-august-pmi-shows-2025-09-03/
- S&P/TE: Japan services PMI 53.1 https://tradingeconomics.com/japan/services-pmi
- Fed – Governor Cook Lawsuit
- Bloomberg: Cook rebuts administration’s claims https://www.bloomberg.com/news/articles/2025-09-02/trump-fed-firing-ruling-not-expected-until-after-sept-4-filing
- UPI: New rebuttal filed by Cook’s side https://www.upi.com/Top_News/US/2025/09/03/Cook-Trump-Federal-Reserve-firing-Governor-court-action/6781756898549/
Disclaimer: This article is a summary and outlook based on media reports and is not investment advice. Please consult primary sources and the latest market data before making important decisions.