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Global Economy Braces for Turbulence as Umno Assembly Kicks Off

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The week ahead is expected to be filled with significant economic and geopolitical events. On September 9, the Umno general assembly will kick off in Malaysia, drawing over 50,000 attendees and debating key issues such as the party's direction and political cooperation.

In the US, fresh strikes on Iran last Wednesday have escalated tensions in the Middle East, raising concerns over global oil supplies and prices. US petrol prices surged last week, with diesel hitting a record $5.85 a gallon on Friday, surpassing its previous high of $5.81 set in June 2022.

In Asia, South Korea will announce its second-quarter GDP data on September 8, with economists expecting a 3.7% year-on-year growth rate. Japan will also release its final 2Q GDP reading, which is expected to show a 0.3% increase from the previous quarter.

The European Central Bank (ECB) has an interest rate decision on September 10, with all eight analysts polled by Bloomberg expecting a 25 basis points hike in the deposit facility rate, main refinancing rate, and marginal lending facility.

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