Europe, Ukraine prepare 12-point proposal to end Russia's war, Bloomberg News reports
European nations are reportedly collaborating with Ukraine on a 12-point plan aimed at ending Russia’s conflict along the existing front lines, acco...
The U.S. government has shutdown on Wednesday after congressional Democrats and Republicans hit an impasse over how to continue to fund the federal government.
A shutdown could affect financial markets by limiting the operations of financial regulators and delaying the publication of key economic data.
How might markets react?
Historically, markets have tended to shrug off shutdowns. However, this time could be different.
A prolonged shutdown risks delaying or cancelling key economic data releases investors use to assess macroeconomic trends, such as the monthly employment and inflation reports. That could cause investors to rely more on alternative data or take on more defensive positions as they anticipate volatility in asset prices, Reuters reported on Monday.
Without key economic data, the Federal Reserve would be “flying blind,” making it more likely to stick with its own economic projections of two 25-basis-point rate cuts for the rest of 2025, analysts said.
With investors unable to assess the extent of a U.S. economic slowdown, the Treasury yield curve could steepen further as rate cuts get priced in with more conviction, leading to a wider gap between short- and long-dated Treasury yields, TD Securities said in a note.
A lengthy government shutdown could also affect some market participants' ability to conduct complex trades for which they may require regulatory guidance.
What happens to financial regulators?
A shutdown would reduce the U.S. Securities and Exchange Commission (SEC) to a skeletal staff of around 9%of current levels, according to its August 2025 plan for a lapse in government funding.
This would severely limit the agency’s ability to review corporate filings, investigate misconduct, and oversee markets.
Likewise, the Commodity Futures Trading Commission would furlough almost all of its employees and cease most market oversight activity, according to its contingency plan.
Previous government shutdowns have caused delays in the CFTC publishing reports on traders' positions in futures and options markets.
The banking regulators and consumer watchdog, which are not funded by congressional appropriations, will remain functional.
In 2019, a protracted government shutdown slowed down some of Trump's deregulatory efforts in part because of staff furloughs at the Office of the Federal Register, which must formally publish all steps in the rule-writing process, Reuters reported at the time.
Will IPOs and listed companies be affected?
Yes. A shutdown would likely freeze the IPO pipeline. Companies planning to go public would be unable to proceed without the SEC's approval, potentially dampening momentum in the equity capital markets, which have enjoyed an IPO boom in recent months.
According to the SEC's contingency plan, routine company filings to the SEC's "EDGAR" system would continue as long as funding for the contractors that run the system is available. It was not immediately clear how long that funding would last.
At least 69 people have died and almost 150 injured following a powerful 6.9-magnitude earthquake off the coast of Cebu City in the central Visayas region of the Philippines, officials said, making it one of the country’s deadliest disasters this year.
A tsunami threat was issued in Chile after a magnitude 7.8 earthquake struck the Drake Passage on Friday. The epicenter was located 135 miles south of Puerto Williams on the north coast of Navarino Island.
The war in Ukraine has reached a strategic impasse, and it seems that the conflict will not be solved by military means. This creates a path toward one of two alternatives: either a “frozen” phase that can last indefinitely or a quest for a durable political regulation.
A shooting in Nice, southeastern France, left two people dead and five injured on Friday, authorities said.
Snapchat will start charging users who store more than 5GB of photos and videos in its Memories feature, prompting backlash from long-time users.
European nations are reportedly collaborating with Ukraine on a 12-point plan aimed at ending Russia’s conflict along the existing front lines, according to Bloomberg News on Tuesday.
Syrian civil defence teams have discovered a new mass grave east of Douma, near the capital Damascus, recovering the remains of 20 people — most of them women and children.
China’s imports of Russian crude oil increased in September, highlighting Beijing’s continued energy cooperation with Moscow despite persistent pressure from the United States to desist.
Several countries and international organisations have welcomed the ceasefire agreement between Afghanistan and Pakistan, describing it as a vital step towards easing tensions and fostering regional stability.
U.S. Vice President JD Vance was holding talks in Israel on Tuesday as Washington tries to stabilise the first, shaky, phase of the Gaza ceasefire and push Israel and Hamas towards the harder concessions asked of each side in coming talks.
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