Global markets saw significant volatility overnight, setting the tone for a rough start to trading on September 2nd. A-share benchmarks opened lower across the board, with the Shanghai Composite Index falling 0.42%, the Shenzhen Component Index dropping 1.01%, and the ChiNext Index sliding 1.35%. A broad selloff hit more than 4,300 stocks, with energy equipment, oil and gas, and coal sectors bucking the trend to trade higher. Precious metals took a heavy hit, while communication equipment, computer hardware, building materials, and semiconductors led the declines.

Investors have two new listings to watch today: 燧原科技 (Suiyuan Technology) on the STAR Market and 腾信精密 (Tengxin Precision) on the Beijing Stock Exchange. The former, a leading domestic cloud AI chip maker, has set its IPO price at 142.18 yuan per share, meaning one board lot of 500 shares requires a capital commitment of 71,100 yuan. This makes it the third most expensive new listing in A-shares this year, trailing only 频准激光 (Pinzhun Laser) at 186.88 yuan and 宇树科技 (Unitree Robotics) at 150.80 yuan. Suiyuan is offering 43.0352 million shares, with an online subscription cap of 6,500 shares per account, requiring a Shanghai market capitalization of 65,000 yuan for maximum allocation.

Suiyuan Technology is one of the "Four Little Dragons of Domestic GPUs" alongside Moore Threads, Muxi, and Biren Technology. With Moore Threads and Muxi already listed on the STAR Market and Biren trading in Hong Kong, Suiyuan's IPO will bring all four companies into the public capital markets. Historical performance suggests significant upside potential: Moore Threads closed up 425.46% on its first day, while Muxi surged 692.95%, generating per-lot profits of 243,100 yuan and 362,600 yuan respectively. If Suiyuan follows a similar trajectory with a first-day gain exceeding 400%, a single 500-share lot could yield paper profits of more than 280,000 yuan. Meanwhile, 腾信精密 (Tengxin Precision), a precision component manufacturer, is pricing its shares at 35.78 yuan apiece, carrying a price-to-earnings ratio of 14.99 times.

Japanese equities tumbled in early trading, with the Nikkei 225 shedding 2.58% to 64,509.92 points, a drop of over 1,700 points, while the broader TOPIX index fell 2% to 4,098.20. Notable losers included SoftBank Group down over 4%, Tokyo Electron off nearly 4%, and Kioxia and Advantest each declining more than 2%. The yen weakened past the 160-per-dollar mark for a second consecutive day on September 1st, while Japanese government bond yields surged, with the 10-year yield briefly breaking above 3% for the first time since 1996. 永井茂人 (Shigeto Nagai), a former Bank of Japan official now at Oxford Economics, projects the central bank will raise rates in September and December of this year, followed by another hike in April 2027, pushing the policy rate to 1.75%—a faster pace and higher endpoint than previously anticipated. South Korean shares also opened sharply lower but trimmed losses, with the KOSPI index trading down 2.30% at 6,678.42 points.

On Wall Street overnight, all three major indices closed in the red. The Dow Jones Industrial Average fell 0.79% to 52,766.88, marking its third consecutive daily loss, while the S&P 500 declined 0.71% to 7,631.47 and the Nasdaq dropped 1.03% to 26,099.77. Large-cap tech stocks were mostly weaker, with Tesla down over 3% and Amazon, Nvidia, Microsoft, and Google each losing more than 1%. Apple bucked the trend with a gain exceeding 2%, and Meta added over 1%. Semiconductor stocks dragged the market lower, with the Philadelphia Semiconductor Index falling more than 2% as Teradyne dropped over 4%, Lam Research and Applied Materials each fell over 3%, and Micron, AMD, and Qualcomm declined more than 2%.

Energy stocks provided some support, with ExxonMobil, Chevron, and ConocoPhillips all gaining over 2% and Occidental Petroleum up more than 1%, though Schlumberger slid nearly 5% by the close. Gold miners suffered across the board: Barrick Gold fell nearly 4%, AngloGold Ashanti and Gold Fields dropped over 3%, and Harmony Gold lost more than 2%. Chinese ADRs were mostly lower, with the Nasdaq Golden Dragon China Index slipping 0.34%. Nio fell over 4%, iQIYI and Qifu Technology dropped over 3%, and Bilibili declined more than 2%. Li Auto, XPeng, NetEase, JD.com, and Alibaba each shed over 1%. On the upside, TAL Education and Hesai gained over 4%, KE Holdings rose over 3%, and MINISO and New Oriental added more than 2%.

International oil prices surged dramatically on the day. West Texas Intermediate crude for October delivery jumped $4.46 to close at $90.22 per barrel, a 5.2% gain, while Brent crude for November delivery rose $4.16 to settle at $94.65 per barrel, up 4.6%. Escalating geopolitical tensions in the Middle East, coupled with soaring crude prices, have significantly stoked global inflation expectations. Government bond yields across major economies have spiked to new highs, with the U.S. 10-year yield touching 4.798%, its highest level since January 2025, and Japan's 10-year yield breaking above 3% for the first time in three decades. Germany, France, and the UK have also seen their long-dated yields climb in tandem.

Fed Governor Michael Barr stated on September 1st that if inflation fails to show sufficient signs of easing—and current price pressures remain too elevated—the central bank should act decisively to raise rates. He expressed readiness to support a rate hike should inflation persist. According to the CME FedWatch tool, market expectations for a 25-basis-point rate hike at the September meeting have jumped to approximately 68%, up from under 40% just a week ago.

The combination of rising global bond yields and a stronger dollar has weighed heavily on precious metals. COMEX gold futures plummeted 2.36% to $4,375.70 per ounce, while COMEX silver futures tumbled 3.48% to $64.66 per ounce. Spot gold experienced a sharp intraday plunge on September 2nd, breaking below the $4,300 per ounce threshold before stabilizing. Sprott Physical Gold & Silver Trust (CEF), a prominent precious metals investment vehicle, has been caught up in this broader selloff.

(Note: This article does not constitute investment advice.)