Daily Briefing · 2026-09-28

President Trump is expected to hold talks with Iran this week, drawing attention to the easing of tensions in the Strait of Hormuz and the impact on crude oil prices. In the UK, police have arrested 5 people in connection with a foiled terror plot that may have targeted an air base used by US forces. Iranian involvement has also been reported, raising concerns about geopolitical tensions and the impact on defense-related investment. Next, domestic market developments. On the Tokyo Stock Exchange, the number of IPOs from January to August 2026 reached 22 companies, the slowest pace on record, raising concerns about reduced fundraising opportunities for companies. While Uniqlo continues to maintain strong earnings, it is reducing the number of domestic stores, shifting its management strategy toward efficiency in response to a shrinking market and changing competitive environment. In the real estate sector, the trend of converting spaces under elevated railway tracks in central urban areas into commercial and dining facilities is spreading, bringing stable revenue to real estate owners and railway operators. On Middle East affairs, Israel's general election has put the focus on whether Prime Minister Netanyahu's government will continue, a development that will affect Middle East political stability and investment risk. In Europe, peace negotiations between Russia and Ukraine remain stalled. President Putin has shown a cautious stance toward negotiations, citing continued attacks, and the prolongation of economic sanctions along with upward pressure on energy and food prices is expected to continue. Ukraine's air defense system has an interception rate of only 55%, raising concerns about growing economic losses from drone attacks and increasing pressure on defense spending due to additional military expenditure. In South Africa, a shooting incident left 27 people dead, raising concerns about rising investment risk due to deteriorating security and adverse effects on the tourism industry. Domestically, prolonged rainfall has caused root rot in crops, significantly reducing farmers' harvests, raising concerns about serious financial damage to their operations. In China, Premier Li Qiang reiterated that the Taiwan issue is an inviolable red line, and the risk of instability in trade relations continues. Aboard cruise ships, suspected crew infections continue, and concerns persist about growing financial losses in related industries. Finally, two pandas from China have arrived in Japan. While the direct economic impact is limited, there are long-term expectations for tourism and cultural exchange.