Global Markets Mixed as U.S. Government Shuts Down

By Dow Jones Newswires Staff

U.S. stock futures were down early in European trading along with the dollar, while gold hit yet another fresh record after U.S. lawmakers failed to reach a funding deal, triggering a government shutdown. ADP private payrolls numbers for September will still land later, but other key data won't be published for the duration of the shutdown, clouding investors' ability to track the economy and plot the Federal Reserve's rate path. In terms of other economic data, final September PMIs for a range of countries are landing.

Pharmaceutical stocks jumped, meanwhile, after President Trump unveiled plans to launch a government-run website for consumers to buy drugs directly from manufacturers.

--U.S. stock futures for the S&P 500 were down 0.8%, futures for the Dow Jones Industrial Average decreased 0.7% and Nasdaq futures fell 0.9% early in Europe. In Asia, Japan's Nikkei 225 index declined 0.8%, while South Korea's Kospi gained 0.9%. South Korea's exports grew at a faster-than-expected pace in September despite U.S. tariffs, buoyed by solid chip demand and more working days. Markets in Hong Kong and China were closed.

--In Europe, the pan-European Stoxx Europe 600 climbed 0.1% shortly after the open with national stock markets narrowly mixed. The U.K.s FTSE 100 added 0.3%.

--European pharmaceutical stocks traded sharply higher after Trump's plans to launch the TrumpRx direct-to-consumer drugs site. The Stoxx Europe 600 Health Care index rose 3%. Amid individual stocks, Switzerland's Roche jumped 4.6%, Germany's Merck KGaA, France's Sanofi, Belgium's UCB, Denmark's Zealand Pharma and London-listed Hikma Pharmaceuticals all rose more than 4%, while Danish giant Novo Nordisk was up 3.7%. "[Tuesday's] announcement was specific to Pfizer, but may represent a blueprint for broader cooperation between the pharma industry and the Trump administration," analysts at Jefferies wrote.

--Gold prices climbed to a fresh record as investors turned to safe-haven assets after the U.S. government shut down. Gold futures were last up 0.5% to $3,894.60 a troy ounce after reaching $3,904.10 earlier in the session.

--The DXY dollar index, which measures the greenback against a basket of other major currencies, was 0.1% lower at 97.644 after hitting a one-week low of 97.584 overnight. Bitcoin was down 0.3% to $114,487, according to LSEG data.

--U.S. Treasury yields were little changed. The 10-year and 30-year Treasury yields were flat at 4.149% and 4.731%, respectively, according to Tradeweb data.

--Oil prices edged higher following a two-day slide, with Brent crude and WTI both rising 0.6% to $66.41 and $62.74 a barrel, respectively. The benchmarks settled lower in the previous two sessions on expectations that OPEC+ will agree to raise output again at its next meeting on Sunday, exacerbating concerns over excess supplies.

Write to Barcelona Editors at barcelonaeditors@dowjones.com

(END) Dow Jones Newswires

October 01, 2025 04:25 ET (08:25 GMT)