Gold Hits Another Record High While Oil and Cryptocurrencies Plunge

Market Overview

Market sentiment was torn between optimism and caution on Wednesday. Concerns over global trade tensions initially pressured U.S. equities, sending all three major indexes lower intraday. However, upbeat bank earnings helped restore investor confidence, allowing the S&P 500 and Nasdaq to close modestly higher, while the Dow Jones Industrial Average snapped its two-day winning streak.

Morgan Stanley and Bank of America surged nearly 5% and over 4%, respectively, after both delivered stronger-than-expected quarterly results. The Philadelphia Semiconductor Index rebounded 3%, with AMD soaring more than 9%, although NVIDIA pared earlier gains.

Safe-haven assets continued to rally, with gold closing higher for the third straight session and breaking above $4,200 per ounce intraday for the first time in history. Silver also rebounded sharply. In contrast, crude oil reversed early gains to settle at a five-month low for a second consecutive day, and the cryptocurrency market tumbled, with Bitcoin falling toward the $110,000 mark and Ethereum sliding more than 6%.

In the foreign exchange market, the U.S. dollar index extended its decline for a second day to hit a one-week low, while the offshore Chinese yuan strengthened past 7.13 per dollar. The U.S. 2-year Treasury yield rebounded after touching a one-month low earlier in the session.

Market Outlook

● Morgan Stanleys Q3 Earnings Exceed Expectations Across the Board

Morgan Stanley reported Q3 net revenue of $18.22 billion, up 18% year-on-year, beating estimates of $16.64 billion. Earnings per share came in at $2.80, with a return on equity of 18%, well above expectations of 13.4%.

Equity trading revenue jumped 35% to $4.12 billion, topping estimates of $3.41 billion and outperforming Goldman Sachs‘ $3.74 billion in the same segment. Notably, Morgan Stanley’s loan-loss provision was recorded at $0, reflecting improved macroeconomic conditions and reduced reserve requirements linked to portfolio growth.

● Nuclear Power Stocks Surge as U.S. Army Unveils “Project Janus”

The U.S. Army announced plans to deploy micro-nuclear reactors generating under 20 megawatts each to address energy challenges at domestic bases. These small reactors will be owned and operated by private companies, while the Army and the Department of Energy will provide technical and uranium-fuel support. The initiative aims to enhance energy security and independence through advanced modular nuclear technology.

Key Events to Watch Time (GMT+8)

20:30U.S. October Philadelphia Fed Manufacturing Index

21:00U.S. Fed Governor Waller speaks

21:00U.S. Fed Vice Chair Barr delivers remarks on stablecoins

21:00U.S. Fed Governor Miran speaks at the 2025 IIF Annual Meeting

22:00U.S. October NAHB Housing Market Index

22:00U.S. Fed Governor Bowman speaks at the 2025 Fed Stress Testing Conference

00:00U.S. Weekly EIA Crude Oil Inventories (to Oct 10)

00:00 G20 Finance Ministers and Central Bank Governors Press Conference