Australia markets rebound as Hong Kong cancels morning session; China falls after Golden Week

Goldman Sachs has a "fairly constructive view" on the fourth quarter for equities, despite the recent increase in geopolitical tensions, interest rates and oil prices.

The firm's Asia-Pacific chief strategist Timothy Moe explained that this was a "tactical" view. He added this was due to factors like the third quarter being a seasonally weaker quarter, and that the fourth quarter is likely to see a rebound for markets.

Furthermore, for China itself, Moe says that Chinese markets are "inexpensive" and he also believes that "a lot of the bad news... has been incorporated into share prices."

He added that "if we see some sequential improvement in in the fundamentals, combined with low valuation, expensive positioning and sort of a typical seasonal tailwind, we see all that should be helpful."

The last factor Moe sees is that the fastest part of the rate of increase for interest rates "seems to be toward the tail end."

He thinks that the "higher for longer environment" has been priced in significantly to the markets, and as such, will help markets moving forward.

— Lim Hui Jie

Hong Kong's markets are set to resume trade in its afternoon session, after the Hong Kong Observatory lifted its typhoon warning at 11:40 a.m. local time.

According to guidelines from the Hong Kong exchange, trading for the afternoon session will begin at 2 p.m.

Hong Kong earlier issued a Typhoon Signal 8 warning late on Sunday due to Typhoon Koinu, prompting the morning session on Monday to be canceled.

— Lim Hui Jie

Despite a surge in retail sales in China over the Golden Week holiday, analysts from Citi do not see any "upside surprise."

"We do not have high expectation on most retailers' sales in Sep or 3Q23 and are cautious on stocks where market's expectations are high," they said.

China's ministry of commerce reported a 9% year-on-year rise in retail sales of major retail and catering enterprises, but Citi said that this includes the positive impact of two festivals in the week.

Nonetheless, the analysts are still positive on stocks like hotpot chain Haidilao, sportswear company Li Ning and consumer electronics company Haier, citing a sales recovery, low market expectations and more diversified growth.

— Lim Hui Jie

Oil prices jumped 4% as the Israel-Hamas conflict extended into its third day following a surprise attack on Israel by Palestinian militant group Hamas.

Global benchmark Brent traded 4.53% higher at $88.33 a barrel Monday, while the U.S. West Texas Intermediate futures rose 4.69% to $86.63 per barrel.

At dawn on Saturday during a major Jewish holiday, Palestinian militant group Hamas launched a multi-pronged infiltration into Israel — by land, sea and air using paragliders. The attack came hours after thousands of rockets were sent from Gaza into Israel.

Read the full story here.

— Lee Ying Shan

The next 10 years will be unlike the last two decades for investors, according to investment advisors and wealth managers.

Charles-Henry Monchau, chief investment officer at Swiss private bank Syz, said investors risk making long-term decisions with a "cognitive bias" and urges those investing $1 million over the next decade not to extrapolate too much from recent history.

Jamie Cox, financial planner at Harris Financial Group, believes international stocks will outperform U.S. stocks in the coming decade as rising rates and inflation change market dynamics.

Both share with CNBC Pro their thoughts on how investors with $1 million should invest over the next decade.

Subscribers can read more here.

— Ganesh Rao

Attractive returns and the breadth of opportunities are among the many reasons the U.S. has long reigned supreme for investors.

However, according to one strategist, a different market has much better valuations right now.

CNBC Pro subscribers can read more here.

— Amala Balakrishner

China is not heading toward Japan-style stagnation because the government is behind the latest property slump, Yao Yang, dean of an economics department at a top Chinese university, told reporters in late September.

As bold as such a claim sounds, Bernstein took a similar view in a Sept. 29 note titled "The Long-View: 'Japanification' of China? — Not really."

CNBC Pro subscribers can read more here.

Benchmark oil prices were higher on Sunday as stock futures fell, seemingly responding to the outbreak of war between Israel and Palestine.

Global benchmark Brent crude climbed nearly 4% to $87.49, while U.S. West Texas Intermediate added 4% to $86.20.

— Brian Evans

The outbreak of war between Israel and Palestine on Saturday will likely add yet another factor to traders already navigating a difficult market.

Israeli Prime Minister vowed on Saturday to respond in kind to an attack from Palestinian militants, and said Hamas "will pay a price it has never known before."

The Palestinian militant group Hamas took Israel largely by surprise on Saturday morning, seemingly avoiding raising any suspicions of Israel's intelligence network. Israel responded with an attack on Gaza on Sunday, further drawing out the conflict and killing hundreds of fighters on both sides.

— Brian Evans

30-day fed funds futures pricing data on the Chicago Mercantile Exchange suggest a more than 45% probability that the Federal Reserve will raise its benchmark lending rate by a quarter-point, or perhaps as much as half a point, by the end of its December policy meeting.

On Thursday, the chance of further tightening stood at just 33.1%, according to the CME FedWatch tool. The probability is derived from the actions of traders in interest rate futures markets, the CME says.

— Scott Schnipper

The beaten-down utilities sector isn't seeing any relief. The Utilities Select Sector SPDR Fund is down 1.3% Friday, and has dropped nearly 20% for the year through Thursday.

The sector has been dragged down by energy and power companies AES Corp, NextEra Energy and Eversource Energy. Utilities posted large declines this week and has lost 20% year-to-date, making it this year's biggest loser so far.

Utilities are seen as bond proxies because of their high dividend yields. The stocks have been getting hit as the high rates in risk-free short-term Treasuries offer an attractive alternative to investors. U.S. Treasury yields rose again Friday, with the 10-year nearing a 16-year high after stronger-than-expected jobs data.

— Pia Singh