Same thing. I’ve been closely following the whirlwind of events that unfolded on Wednesday, March 6, 2025.

The global risk sentiment has undeniably taken a turn for the better, and the epicentre of this shift is Europe—specifically Germany—where an audacious fiscal proposal has sent shockwaves through the markets. German bunds, typically seen as the bedrock of stability in European fixed-income markets, are on track for their worst sell-off since 1990.

This isn’t just a blip; it’s a seismic event driven by Chancellor Friedrich Merz’s bold pledge to channel hundreds of billions of euros into defense and infrastructure, with a “whatever it takes” stance that echoes Mario Draghi’s famous 2012 vow to save the euro. The sheer scale of this proposal has caught market participants off guard, and the upside surprise has fueled a mix of optimism and unease.

Let’s unpack what’s happening in Europe first. The German bund sell-off reflects a dramatic repricing of risk. Yields on 10-year bunds spiked to 2.69 per cent, a level that signals investors are demanding higher returns to hold German debt amid this unprecedented fiscal expansion. The debt brake—Germany’s constitutional limit on borrowing—seems to have been tossed out the window, a move that’s both a departure from Berlin’s long-standing fiscal prudence and a gamble on future growth.

Posts on X suggest bond vigilantes, those hawkish investors who punish profligate governments with higher yields, are already circling, sensing fragility rather than strength in this shift. Yet, the equity markets are telling a different story. The MSCI Europe index climbed 0.8 per cent, buoyed by the prospect of massive government spending lifting economic activity.

The euro, too, has flexed its muscles, with EUR/USD soaring to a high of 1.0796 before settling at 1.0790—a robust 1.56 per cent gain. This currency surge reflects confidence in Europe’s economic prospects, at least for now, though the spectre of inflation and debt sustainability looms large.

Across the Atlantic, the US markets are enjoying a reprieve of their own, thanks to President Trump’s decision to delay automotive tariffs on Canada and Mexico by a month. This move, coupled with hints of exemptions for certain agricultural products, has dialed back fears of an all-out trade war that had been simmering since Trump’s re-election.

It’s a pragmatic step—autos and agriculture are deeply integrated across North America, and tariffs would’ve hit US consumers as much as they’d hurt exporters in Canada and Mexico. European carmakers, already reeling from earlier tariff threats, saw their shares stabilise, though the damage from Tuesday’s sell-off lingers. On the data front, the ISM Services Index came in stronger than expected, with a notable uptick in employment growth.

In my opinion, this is a reassuring signal that the US economy isn’t teetering on the edge of recession, though all eyes are now on Friday’s payrolls report for confirmation. The MSCI US index rose 1.1 per cent, with the Materials sector leading the charge at 2.8 per cent, likely reflecting optimism about infrastructure spending and industrial demand.

Also Read: Shifting sands: How trade fears and crypto hopes are redefining markets

Bond markets in the US are also stirring. The 10-year Treasury yield climbed 7 basis points to 4.28 per cent, while the 2-year yield ticked up nearly 5 basis points to 4.00 per cent. This steepening yield curve suggests investors are betting on stronger growth and, potentially, stickier inflation down the road.

Commodities, meanwhile, are a mixed bag. Gold eked out a 0.1 per cent gain, propped up by a softer dollar, but Brent crude slid 2.5 per cent for a third straight session. OPEC+’s plan to ramp up output in April is weighing on oil prices, despite the improving risk sentiment elsewhere. It’s a reminder that not every corner of the market is riding the same wave of optimism.

Turning to Asia, China’s National People’s Congress (NPC) has set an ambitious 5 per cent growth target for 2025, a number that’s raised eyebrows and sparked hopes of more stimulus. The Hang Seng Index in Hong Kong surged 2.8 per cent on Wednesday and looks poised for further gains today, Thursday, March 6.

Asian equity indices are mostly in the green, reflecting a broader appetite for risk. China’s policymakers seem determined to turn the tide after years of economic headwinds, and markets are lapping it up—for now. Whether Beijing can deliver remains an open question, but the mood is unmistakably upbeat. US equity index futures, however, are pointing to a softer open, suggesting some profit-taking or caution after Wednesday’s rally.

Then there’s the crypto saga, which is grabbing headlines of its own. Bitcoin staged a remarkable 8 per cent surge, reclaiming the US$90,000 level after dipping below US$80,000 just five days ago. This rollercoaster ride is fuelled by speculation around Trump’s rumoured US crypto reserve plan—a bold idea that’s got the market buzzing. Technical indicators like the Directional Movement Index (DMI) and Ichimoku Cloud are flashing bullish signals, hinting that buyers are firmly in the driver’s seat.

The US$100,000 mark is tantalisingly close, but volatility is Bitcoin’s middle name, and the upcoming White House Crypto Summit could either propel it higher or spark a pullback. Speaking of the summit, Cardano’s Charles Hoskinson found himself snubbed from the invite list, though he’s brushing it off, claiming he’s still a behind-the-scenes player in shaping US crypto policy.

Michael Saylor, meanwhile, is doubling down on Bitcoin as the “only neutral asset” for a US reserve, dismissing XRP as a mere digital token. Ethereum, too, is on the mend, climbing from its US$2,000 support zone and eyeing a break above US$2,350. A rising channel on the hourly chart suggests momentum is building, but resistance at US$2,275 and $2,350 will test its mettle.

Also Read: Global markets steady as PCE data softens, Trump names Bitcoin in strategic reserve

So, what’s my take on all this? I’m struck by the sheer pace of these developments. Europe’s fiscal gambit is a game-changer—Germany’s shift from fiscal hawk to big spender could jolt the continent out of its economic doldrums, but it’s a high-stakes bet. The bund sell-off is a warning shot; if yields keep climbing, borrowing costs could choke off the very growth Merz is chasing.

Yet, the equity rally and euro’s strength suggest markets are willing to give it a chance. In the US, Trump’s tariff delay is a savvy move—it buys time and cools trade tensions, though it’s hardly a resolution. The economy looks resilient, but the payrolls report will be the real tell. Asia’s optimism hinges on China’s ability to follow through, and crypto’s wild ride is a microcosm of the broader risk-on mood.

If I had to pick a standout, it’s Germany’s bold pivot. It’s shaking up Europe in a way we haven’t seen in decades, and the ripple effects—higher yields, a stronger euro, buoyant stocks—could redefine the region’s role in the global economy. But risks abound: inflation, debt overload, and geopolitical uncertainty could derail this fragile recovery. For now, though, the world’s investors are riding the wave, and it’s one heck of a story to watch unfold.

The post Global economic shake-up: Bitcoin hits US$90K, German bonds slide appeared first on e27.

India’s fintech giant Razorpay has announced its expansion into Singapore, marking its second market in Southeast Asia. The company aims to enhance the country’s digital payments ecosystem by offering AI-powered, cost-efficient, and scalable payment solutions to businesses.

Singapore has emerged as a global payments hub, but small and medium-sized enterprises (SMEs) face challenges such as high transaction fees and fragmented payment systems. Cross-border transactions currently incur charges of four to six per cent per transaction, limiting business scalability.

Razorpay’s entry into the market seeks to address these issues by reducing transaction fees by 30-40 per cent and improving access to real-time payments.

Razorpay’s platform in Singapore will include several innovations tailored to the needs of local businesses:

– Multi-currency transactions and Real-Time Payments (RTPs)
– Agentic-AI toolkit
– RAY – AI concierge for payments
– Magic Checkout
– Expanded payment options

As part of its launch strategy, Razorpay is collaborating with banks, financial institutions, and regulators to ensure compliance with Singapore’s financial framework. The company’s suite of services, including payment gateways, cross-border transaction solutions, and real-time financial analytics, is now available to businesses in Singapore.

Also Read: How fintech is disrupting the Southeast Asian payments market

Shashank Kumar, Managing Director and Co-founder of Razorpay highlighted the strategic significance of this expansion. “As one of the most advanced digital economies, Singapore is an ideal market for our next phase of growth. Our AI-driven payments suite, including Agentic-AI and RAY, will redefine financial operations, offering seamless transactions and intelligent automation to enhance business efficiency,” he said.

Angad Dhindsa, Razorpay’s Southeast Asia Head, emphasised the importance of cross-border payments for Singaporean businesses. “With 30-50 per cent of online payments being cross-border, SMEs need cost-effective solutions that empower them to transact globally. Leveraging our expertise from India and Malaysia, we aim to provide seamless financial operations and real-time settlements for businesses in Singapore.”

At the launch event, Dhindsa outlined the company’s user acquisition strategy, which includes partnerships, word-of-mouth referrals, technological innovation, and collaborations with Indian businesses expanding into Singapore.

Razorpay has a global workforce of 3,000 employees, 60 of whom are based in Malaysia and 10 in Singapore. The company is actively expanding its team in Singapore as part of its commitment to strengthening the local digital payments ecosystem.

With Singapore’s continued push towards a cashless economy, Razorpay’s expansion signals increased competition and innovation in the digital payments sector. As businesses seek more efficient cross-border transaction solutions, the company’s AI-driven approach positions it as a key player in Singapore’s evolving financial landscape.

—

Image Credit: Razorpay

The post Razorpay expands into Singapore, addressing cross-border payment challenges appeared first on e27.

e27 has been nurturing a supportive ecosystem for entrepreneurs since its inception. Our Contributor Programme offers a platform for sharing unique insights.

As part of our ‘Contributor Spotlight’ series, we shine a spotlight on an outstanding contributor and dive into the vastness of their knowledge and expertise.

In this episode, we feature Kevin Shepherdson, CEO and Founder of Straits Interactive, a data privacy solutions provider in ASEAN. Recently recognised as one of Singapore’s top 10 generative AI startup leaders for 2025, Shepherdson is also the author of 99 Privacy Breaches to Beware of and a Fellow in Information Privacy (FIP). With extensive experience consulting for over 50 multinational companies, he is an authorised regional trainer for privacy certification and corporate governance courses at IAPP, Singapore Management University (SMU), and Open Compliance Ethics Group (OCEG).

Thoughts, goals, and journey

After a successful career in senior management at Creative, Sun Microsystems, and Oracle, Shepherdson sought a mid-career shift to pursue more meaningful and impactful work. During a one-year break, he was approached by Savills’ Managing Director to help address Singapore’s 2013 Do-Not-Call (DNC) registry compliance challenge.

This led to the creation of SpiderGate, a Do-Not-Call management solution that quickly gained traction among real estate and insurance firms, surpassing revenue expectations and generating over a million dollars in its first year. This success introduced him to privacy and data protection, laying the foundation for Straits Interactive. The company pioneered a blended model of training, consulting, and software solutions, achieving double-digit growth. During the COVID-19 pandemic, it pivoted from compliance to broader AI and data governance solutions.

Shepherdson said, “By 2023, the launch of ChatGPT revealed the transformative power of Generative AI. We partnered with Microsoft and Rackspace Technologies to introduce the industry’s first AI-powered Data Protection Officer Assistant. Our digital transformation efforts leveraging Gen AI earned us the Most Promising and Outstanding Startup Award in Singapore’s first National Startup award (ACE) .

Today, Straits Interactive has expanded further, offering Generative AI Capability-as-a-Service (CaaS), enabling non-technical professionals to build and deploy AI chatbots, tools, and tutors securely and effectively. The Generative AI landscape is largely driven by developers and data scientists, yet the majority of professionals (trainers, consultants, and entrepreneurs) lack technical expertise to leverage it effectively.” 

Shepherdson aims to bridge the gap in Generative AI, making it accessible, practical, and secure for businesses, educators, and professionals worldwide. His goal is to empower them to harness AI’s full potential effectively.

With expertise in data protection and data governance, he authored 99 Privacy Breaches to Beware of and has designed over 20 courses covering these areas, as well as Generative AI—focusing on its value, risks, and constraints. He is currently pursuing a Doctorate in Business Administration, specialising in Generative AI.

Also Read: A recap of e27 Contributor Programme’s noteworthy offerings in 2024

Speaking about the growing adoption of Generative AI, Shepherdson said, “With the rise of Generative AI, we are seeing a significant uptick in interest from business professionals, including those from public agencies. A growing number of non-technical professionals with domain expertise are eager to leverage Generative AI to enhance productivity and learning, signalling a major shift in AI adoption beyond traditional developers and data scientists.

Additionally, organisations are increasingly looking to integrate Generative AI with their internal data while addressing concerns about security, privacy, and compliance. A common trend we’re observing is that many organisations are using off-the-shelf AI tools (e.g., Microsoft Copilot) in a generic manner. Now, they are exploring the development of custom AI solutions tailored to their specific needs.

The emergence of DeepSeek and other open-source LLMs is further disrupting the AI landscape, making AI adoption more cost-effective and accessible. As a result, demand for expertise in prompt engineering has surged—our prompt engineering classes are consistently fully booked, and we leverage our Capabara platform to empower professionals in this area. This trend underscores the broader shift towards AI democratisation, where organisations and professionals across industries are moving from passive AI consumption to actively building and customising AI tools.” 

The driving force

Shepherdson is a valuable and active member of our contributor community, sharing his vast insights with the broader ecosystem. He said, “I’m passionate about bridging the gap between technology and business professionals, and being an e27 contributor allows me to share practical insights, demystify AI for businesses, and engage with fellow entrepreneurs. Through this, I hope to drive responsible, sustainable AI transformation and empower startups and enterprises to adopt and scale AI effectively.”

“e27 plays a crucial role in Singapore’s startup ecosystem, serving as a vital platform for entrepreneurs, investors, and innovators to connect, learn, and grow. As a founder working in AI governance and Generative AI adoption, I see e27 as an essential bridge between emerging technology and real-world business applications. Many startups struggle with responsible AI implementation, commercialisation, and ecosystem partnerships, and e27’s community-driven approach fosters the collaboration and thought leadership needed to tackle these challenges,” he added. 

Advice for budding thought leaders

Based on his experience in senior leadership positions and writing for various technology publications, Shepherdson advises aspiring thought leaders to focus on three key areas. He said:

• Engage regularly with stakeholders and the media

To establish yourself as a trusted industry voice, make it a habit to engage with your stakeholders—whether they are clients, partners, or industry peers. If opportunities arise, interact with the media (yes, I know it can be nerve-racking), but remember that thought leadership is more than just promoting your products and services. Instead, educate and provide value by sharing industry insights, trends, and expert opinions.

By doing this, you position yourself as a go-to expert, and when the media or organisations need an industry voice, they will think of you first.

• Participate in industry events and panel discussions

One of the most effective ways to build credibility is by actively participating in industry events, conferences, and panel discussions (I know it is time consuming). These platforms allow you to: share your expertise in a public forum, engage in meaningful conversations with industry leaders, and gain visibility and recognition for your insights.

Additionally, be generous with your knowledge (I know a few of my competitors — especially consultants and legal firms will charge for giving professional advice). Offer guidance and advice to those who seek it without expecting immediate returns. Thought leaders give before they receive, and by providing genuine value, you build long-term credibility and influence.

• Leverage Generative AI for communication—but thoughtfully

Generative AI can be a powerful tool to help structure your key points, refine messaging, and enhance your communication. However, never rely passively on AI-generated responses. Instead, use it as an idea-generation tool to: organise and articulate your thoughts more effectively, validate your insights with additional perspectives, and fine-tune the clarity and impact of your message.

According to Shepherdson, authenticity is key; thought leaders should share their own expertise and insights, not just AI-generated content, to build credibility and impact.

Also Read: Celebrating community-driven growth: Top 27 contributors of 2024

Juggling too many things?

According to Shepherdson, staying updated in the industry requires continuous learning and active engagement with emerging trends. He ensures this by designing new courses that cover the latest developments, pushing himself to stay deeply connected with industry shifts. His dedication to lifelong learning was recognised with Singapore’s SkillsFuture Fellowship, awarded by the President, honouring individuals who consistently upskill, mentor, and contribute to knowledge sharing.

As the leader of a Generative AI capability platform, Shepherdson is immersed in AI daily, collaborating with developers, consultants, and industry experts. Through extensive research, experiments, and real-world applications, he explores how Generative AI can drive innovation across sectors. National-level prompt design competitions have further exposed him to how learning institutions and SMEs are integrating AI to enhance productivity and education.

He also highlights the value of social media and podcasts in staying informed. Engaging with relevant videos or discussions helps professionals leverage AI-driven content recommendations, ensuring they remain up to date with industry advancements.

Take a look at his articles here for more information and perspectives on his expertise.

—

Are you ready to join a vibrant community of entrepreneurs and industry experts? Do you have insights, experiences, and knowledge to share?

Join the e27 Contributor Programme and become a valuable voice in our ecosystem.

The post Kevin Shepherdson: Transforming data privacy and AI governance in ASEAN appeared first on e27.

Environmental impact and governance have emerged as central factors in digital infrastructure decision-making, with a substantial proportion of IT leaders prioritising sustainability.

According to the 2024 Digital Infrastructure Report by Colt, 38 per cent of IT decision-makers report that environmental and governance factors drive all strategic decisions, while another 36 per cent acknowledge their influence.

This growing emphasis reflects the increasing role of Chief Information Officers (CIOs) and senior IT leaders in shaping corporate sustainability strategies, with 71 per cent having a direct role and nearly a quarter (24 per cent) owning their company’s entire strategy.

AI as a key enabler of sustainability

Artificial intelligence (AI) is playing an integral role in advancing sustainability strategies, with 22 per cent of CIOs stating that AI actively facilitates their environmental impact and governance initiatives.

A further 42 per cent recognise AI as having a modest influence, highlighting its growing integration into corporate sustainability efforts.

However, AI’s impact is not uniform across regions and industries; for example, 36 per cent of CIOs in Hong Kong view AI as a facilitator of sustainability, compared to just 13 per cent in Italy. The education sector reports a 38 per cent adoption rate, while in government and local government, this figure drops to 11 per cent.

Also Read: Cloud, community, and cost-Savings: GCS’s triple play for startup success

1. AI-driven capabilities for carbon reduction

One of AI’s most significant contributions to sustainability is its role in reducing carbon emissions. Tools powered by the technology are helping businesses optimise energy efficiency by enabling intelligent infrastructure management.

Generative AI, cited by 24 per cent of respondents, is particularly relevant in this space, as organisations increasingly rely on smart systems to manage energy consumption in response to growing digital service demands.

2. Network-as-a-Service (NaaS) and optimised resource use

A major way AI supports sustainability is through its facilitation of Network-as-a-Service (NaaS) features. The report finds that 58 per cent of CIOs credit AI with enabling on-demand network capabilities.

NaaS plays a crucial role in carbon reduction by allowing organisations to use only the bandwidth they need, minimising unnecessary power consumption. This model contrasts with traditional network infrastructure, which often results in excess capacity and wasted energy.

3. Strengthening security and supplier evaluation

Security enhancements driven by AI are another contributing factor to sustainability. Some 61 per cent of CIOs report that AI has facilitated investment in improved security infrastructure. While security improvements may not have an immediately apparent link to sustainability, optimised cybersecurity reduces disruptions that could lead to increased energy use.

AI also assists businesses in evaluating their suppliers, with 60 per cent of CIOs leveraging insights to reassess vendor partnerships. This capability allows organisations to select environmentally conscious suppliers, reinforcing the broader push towards sustainability within the digital infrastructure.

4. Improving data quality for sustainability reporting

Accurate data collection and reporting are crucial for tracking sustainability efforts, and AI is playing a pivotal role in this domain.

According to the report, 59 per cent of CIOs state that AI has improved data quality for environmental impact assessments and governance reporting. This enhanced data accuracy enables organisations to measure their progress effectively, refine their sustainability strategies, and ensure compliance with regulatory standards.

Moreover, improved reporting is instrumental in addressing Scope 3 emissions, which cover indirect emissions associated with supply chains and business operations.

Also Read: 1337 Ventures backs Arus Oil to drive Malaysia’s waste-to-energy revolution

Addressing AI’s own environmental impact

While AI is a valuable tool for advancing sustainability goals, its energy-intensive nature presents challenges. The report acknowledges that the rapid adoption is contributing to increased carbon emissions, underscoring the need for organisations to adopt sustainable practices.

As AI models become more complex and require greater computational power, companies must balance the benefits of efficiency with the environmental costs of maintaining large-scale AI operations.

Recognising the environmental implications of AI, network providers are offering guidance to CIOs on minimising related carbon emissions. The report highlights that 22 per cent of CIOs have received advice from their network providers regarding AI’s environmental impact, while 21 per cent are actively seeking such insights.

This collaboration between IT decision-makers and service providers is crucial in developing more energy-efficient AI solutions and aligning digital infrastructure with sustainability objectives.

AI is increasingly influencing corporate sustainability strategies, enabling more efficient resource management, enhancing data quality, and facilitating environmentally conscious decision-making. However, the disparity in adoption across different regions and industries suggests that its role in sustainability will continue to evolve.

As businesses seek to harness AI for sustainability gains, they must also address their growing energy demands and environmental footprint. By adopting strategic implementations and collaborating with network providers, organisations can maximise its potential while mitigating its associated challenges, ultimately contributing to a more sustainable digital infrastructure landscape.

—

Image Credit: Procreator Global UI UX Design Agency on Unsplash

The post AI is reshaping digital infrastructure for a sustainable future, but disparity in adoption persists appeared first on e27.

As I sit down to unpack the whirlwind of events shaping global markets on March 5, 2025, it’s hard not to feel the weight of uncertainty pressing down on us all. The headlines are buzzing with escalating trade tensions, bold economic proposals, and a crypto landscape that’s both thrilling and divisive. Let’s dive into this market wrap and explore what’s driving these shifts, what the data tells us, and where I think this rollercoaster might take us next.

The big story dominating the financial world right now is the trade standoff sparked by US President Trump’s decision to slap 25 per cent tariffs on goods from Canada and Mexico, alongside an additional 10 per cent on China. True to his campaign rhetoric, Trump has followed through, and the fallout has been swift.

Canada and China didn’t waste a moment, hitting back with their own retaliatory tariffs, while Mexico’s president has promised to join the fray by Sunday. The result? Global equities took a beating, with the MSCI US index dropping 1.2 per cent, dragged down by a bruising 3.5 per cent plunge in financials. It’s a grim picture, and you can almost feel the collective sigh from Wall Street as fears of a full-blown trade war loom large.

But here’s where it gets interesting. After the US markets closed, Commerce Secretary Lutnick dropped a hint that talks with Canada and Mexico might yield a compromise. That’s a lifeline for markets desperate for some stability, though I’m skeptical about how quickly this can be resolved.

Tariffs aren’t just numbers—they’re bargaining chips in a high-stakes game, and unwinding them could take time. Still, the mere suggestion of a deal nudged US equity futures upward, hinting at a brighter open today. My take? This feels like a temporary breather rather than a resolution. Trade wars don’t end with a single press conference—they fester, and I’d wager we’re in for more volatility before clarity emerges.

Also Read: How is open-source collaboration empowering Asia’s fastest growing markets?

Over in the bond market, the reaction was equally telling. The benchmark 10-year Treasury yield climbed over 3 basis points to 4.21 per cent, reversing an earlier dip, while the 2-year yield slipped 3 basis points to 3.94 per cent. This widening gap—known as a steepening yield curve—screams uncertainty to me.

Investors seem to be betting on inflation from tariffs pushing up long-term yields, while the drop in short-term yields suggests some are seeking safety or anticipating a slowdown. It’s a classic push-and-pull, and I can’t help but think it reflects a market grappling with mixed signals.

Shifting gears to Europe, Germany’s conservatives and Social Democrats have unveiled a jaw-dropping plan: a 500 billion euro fund for infrastructure and a rewrite of borrowing rules to ramp up defense spending. It’s a bold move, and the markets loved it—the EUR/USD shot up to 1.0627 overnight. Other European currencies like the Swiss franc, British pound, Norwegian krone, and Swedish krona followed suit, flexing their muscles as the US Dollar Index stumbled 0.9 per cent to 105.49.

This feels like Europe seizing a moment to assert itself amid global chaos, and I’m impressed by the ambition. If Germany pulls this off, it could spark a ripple effect, boosting infrastructure and jobs while shoring up defenses—a win-win that might just give the eurozone an edge.

Meanwhile, commodities are painting a different picture. Brent crude slipped 0.8 per cent to below US$70 a barrel, the lowest since last October, thanks to OPEC+ signalling output hikes in April. That’s a supply glut waiting to happen, and with trade tensions clouding demand, I’m not surprised oil’s taking a hit.

Gold, on the other hand, rose 0.7 per cent, buoyed by a weaker dollar and its timeless appeal as a safe haven. It’s a tale of two commodities—one sinking under practical pressures, the other shining as a hedge against the unknown. I’d argue gold’s climb is a sign that, despite some optimism, fear still lingers in the market’s underbelly.

Across the Pacific, China’s National People’s Congress kicked off with a gutsy 5 per cent growth target for 2025, tariffs be damned. Investors are laser-focused on spending plans, especially around AI, which could be a game-changer for China’s tech sector.

Asian equity indices mostly rose in early trading, and with Trump set to address Congress today, all eyes are on what he’ll say about trade and beyond. My gut tells me China’s playing a long game here—pushing growth while quietly adapting to external pressures. That 5 per cent target might be ambitious, but if they lean into AI and innovation, it’s not out of reach.

Now, let’s talk crypto, because this is where things get wild. Vietnam’s Prime Minister Pham Minh Chinh has ordered a legal framework for digital assets, with a draft due this month. It’s a big deal—right now, cryptos like Bitcoin and Ethereum exist in a legal no-man’s-land there, forcing businesses to register in places like Singapore or the US.

A clear rulebook could unleash a wave of activity, and I’m excited to see Vietnam stepping up. Indonesia’s crypto scene is already on fire, with transactions soaring to 44.07 trillion rupiah (US$2.68 billion) in January 2025—a 104.31 per cent jump from last year. With 1,396 assets tradable as of February, it’s clear Southeast Asia is becoming a crypto hotspot.

Also Read: From crypto euphoria to economic unease: A world on edge in March 2025

Hong Kong’s not sitting idle either. On February 19, its Securities and Future Commission rolled out the ASPIRe Framework—five pillars and 12 initiatives to grow and secure its virtual asset industry. It’s a smart play to cement Hong Kong’s status as a financial innovation hub, and I’d bet it’ll draw in more players. But the real crypto drama is brewing in Washington.

Trump’s pushing for a strategic cryptocurrency reserve, originally pitched as a way to use seized assets like the US’s US$16.4 billion in Bitcoin and US$400 million in other tokens. The twist? He now wants XRP, SOL, and ADA included—tokens the US doesn’t even hold yet.

That’s sparked a firestorm, with critics crying foul over government meddling in markets and supporters cheering a bold embrace of crypto. Personally, I’m torn. It’s a visionary idea, but buying those tokens could spike prices and invite accusations of favoritism. The logistics alone are a nightmare—how do you stockpile volatile assets without distorting the market?

Stepping back, what strikes me most is the sheer breadth of these developments. Trade tensions are shaking equities and bonds, Europe’s flexing fiscal muscle, and Asia’s charging ahead with crypto and growth targets. The data backs this up: the MSCI US down 1.2 per cent, EUR/USD at 1.0627, Indonesia’s crypto boom, Brent at US$70—all pieces of a puzzle showing a world in transition.

My view? We’re at a tipping point. Trade wars could drag us down, but compromises and innovation—like Germany’s fund or Asia’s crypto push—offer hope. The US crypto reserve is a wild card; if executed poorly, it could backfire, but done right, it might signal a new era for digital assets.

I think markets will stay jittery until trade talks clarify—watch Canada and Mexico closely. Europe’s plans could stabilise things if they deliver, and Asia’s crypto momentum might just steal the spotlight. Trump’s speech today could set the tone, but I wouldn’t hold my breath for miracles. This is a marathon, not a sprint, and as a journalist digging into the facts, I’d say buckle up—we’re in for a ride that’s as unpredictable as it is fascinating.

—

Editor’s note: e27 aims to foster thought leadership by publishing views from the community. Share your opinion by submitting an article, video, podcast, or infographic.

Join us on Instagram, Facebook, X, and LinkedIn to stay connected.

Image credit: DALL-E

The post Shifting sands: How trade fears and crypto hopes are redefining markets appeared first on e27.

The work landscape in Southeast Asia has shifted dramatically since the pandemic began, and I have witnessed this transformation firsthand. Remote and hybrid working models have become the norm, and companies are now navigating the tricky balance between in-office presence and flexible work arrangements.

As we continue to adapt, I believe that employee well-being has become a crucial focus. Prioritising both mental and physical health isn’t just the right thing to do; it’s also a strategic move that boosts productivity, retention, and overall performance.

I recently came across research from Milieu Insight that sheds light on the concerning issue of employee burnout in Southeast Asia. Their survey of 3,000 employees across Singapore, Indonesia, and the Philippines revealed that 50 per cent experience burnout at least a few times a month, with 41 per cent struggling to disconnect from work.

The COVID-19 pandemic has exacerbated the mental health crisis globally, with prevalence rates particularly high in the region—70.71 per cent in the Philippines and 66.84 per cent in Singapore. These alarming statistics highlight the urgent need for companies to implement robust mental health support systems and foster sustainable work environments to effectively tackle this growing concern.

Employee well-being drives business success

Amid these challenges, many businesses have begun to recognise the tangible benefits of investing in employee well-being. Companies that prioritise mental health and work-life balance are reporting higher productivity, improved employee engagement, and better retention rates. This is also evident in companies offering hybrid work days and providing well-being tools and tips to their staff.

According to the latest Wellbeing Diagnostic Survey by WTW, companies in Singapore with effective well-being programs are twice as likely to experience better financial performance and human capital outcomes, including enhanced productivity and lower turnover rates.

Also Read: Our workplaces have changed a lot recently: Now here is the problem

To help organisations navigate this complex terrain, here are five practical strategies that can enhance employee satisfaction and retention:

Embrace work-life flexibility

In our rapidly changing work environment, flexible work arrangements have become essential for employee satisfaction. This flexibility can include options like remote work, adjustable hours, or the opportunity to work from different locations for a set period. For example, some companies allow employees to work from various global locations for up to 60 days a year.

This level of flexibility enables individuals to manage their personal and professional responsibilities more effectively. Additionally, offering benefits like extra leave days or community service leave can further support a healthier work-life balance.

Support family needs

Family is a cornerstone of our culture in Southeast Asia, and providing family-friendly benefits can significantly enhance employee loyalty and satisfaction. Comprehensive parental leave policies, such as 26 weeks of leave for both parents, demonstrate a company’s commitment to supporting employees during critical life stages.

This not only helps new parents manage their responsibilities but also fosters a sense of appreciation and loyalty. By extending support beyond the workplace, companies can build stronger connections with their employees, ultimately leading to higher retention rates.

Prioritise open communication

Effective communication is fundamental to understanding and addressing employee needs. Regularly engaging in open dialogues helps companies stay attuned to their employees’ concerns and preferences. Implementing feedback mechanisms, such as surveys or suggestion boxes, allows team members to voice their opinions and contribute to shaping workplace policies.

This approach not only shows that the company values employee input but also helps in crafting policies that resonate with their needs. For example, in the wake of a merger or organisational change, prioritising communication can ease transitions and reinforce a supportive work culture.

Also Read: Optimising workplace design for employee engagement and organisational success

Offer competitive benefits

Setting a high standard for employee benefits can distinguish your company as an employer of choice. In a competitive job market, offering exceptional benefits such as extended parental leave, flexible work options, and comprehensive health and wellness programs can attract top talent.

By providing benefits that exceed industry norms, companies can enhance their reputation and retain high-performing employees. Competitive benefits improve employee satisfaction and contribute to overall business success by creating a positive work environment.

Link employee happiness to customer satisfaction

Employees who feel supported are more likely to provide exceptional service. Many companies have observed a direct correlation between improved employee experiences and higher Customer Effort Scores (CES), a metric developed by Gartner to measure how easily customers can interact with a company and resolve their issues. Investing in employee satisfaction not only boosts internal morale but also enhances customer interactions, highlighting the far-reaching benefits of a supportive work environment.

Ultimately, the success of any organisation in Southeast Asia relies on its ability to effectively support and engage its employees. By implementing strategies that prioritise work-life balance, family support, open communication, competitive benefits, and linking employee satisfaction to customer outcomes, companies can cultivate a more resilient and productive workforce. Investing in employee well-being is essential for achieving long-term business success and maintaining a motivated, loyal team in today’s competitive market.

—

Editor’s note: e27 aims to foster thought leadership by publishing views from the community. Share your opinion by submitting an article, video, podcast, or infographic.

Join us on Instagram, Facebook, X, and LinkedIn to stay connected.

Image credit: Canva Pro

This article was first published on November 12, 2024

The post Enhancing employee well-being and retention in Southeast Asian businesses appeared first on e27.

Generative AI is reshaping the way we work and live, providing powerful tools that boost productivity, inspire creativity, and enhance learning. From simplifying communications to supporting creative projects, generative AI has opened new possibilities and unique benefits to our everyday lives.

With a value of US$40 billion in 2023, the generative AI market is projected by Bloomberg Intelligence to grow to US$1.3 trillion by 2032, driven by a compound annual growth rate (CAGR) of 42 per cent.

Let’s dive into how it differs from traditional AI and how we can harness the power of generative AI.

Understanding the difference: Generative AI vs traditional AI

Traditional AI: Task-specific intelligence

Traditional AI is programmed to perform specific tasks with precision through analysing data and patterns, to make decisions within a predefined set of rules. Operating within a fixed boundary does not generate anything new. An example is when you play chess against a computer, traditional AI predicts your moves and strategises based on pre-programmed rules and past data. Even though it follows the same chess rules as humans, it cannot invent new rules or play styles.

Traditional AI is task-oriented and focuses on pattern recognition rather than pattern creation. Its strength lies in its ability to provide reliable, data-driven insights within a focused scope, making it an invaluable tool for tasks like predicting customer preferences and offering personalised recommendations.

Other examples of traditional AI include voice assistants like Siri or Alexa, recommendation engines on Netflix or Amazon, and search algorithms used by Google. These systems are designed to process and interpret patterns to complete specific tasks such as setting reminders, suggesting content, or retrieving relevant information.

Generative AI: Creativity in action

Generative AI represents the next evolution of artificial intelligence, shifting from task completion to content creation. Unlike traditional AI, generative AI learns from data to create entirely new content, be it text, images, music, or complex strategies. Instead of merely following the rules, it can invent new ways to achieve results based on learned patterns. Generative AI excels in fields requiring creativity, such as content generation, design, and innovation, opening possibilities for personalised media, virtual assistants, and AI-driven product design.

Also Read: Rise of generative AI in search: Exploring opportunities for APAC brands

Imagine an AI that not only plays chess but also creates new strategies and variations of the game. generative AI models, such as GPT-4 by OpenAI, DALL-E for images, and Midjourney for AI-driven art, showcase this capability by generating original stories, artwork, or designs based on a prompt or dataset. Trained on vast datasets, these models allow the understanding of underlying structures to recreate those structures in new ways.

A brief history of generative AI

Generative AI began with the introduction of generative Adversarial Networks (GANs) in 2014. GANs brought generative AI into the spotlight, showcasing the capability to create realistic images and other media through learning patterns from extensive datasets. GANs operate using two neural networks—the generator and the discriminator—that work against each other to improve the quality of the generated content. This breakthrough allowed generative AI to go beyond basic data processing into media creation, paving the way for the development of tools capable of producing highly realistic visuals.

The next leap in generative AI came with transformer-based models, particularly OpenAI’s GPT (Generative Pre-trained Transformer) series launched in 2019, marking a milestone in language generation by producing coherent and human-like text. This sparked widespread interest in generative AI and established the technology as a viable tool for text-based content creation. Released in 2020, GPT-3, elevated this to new heights with its ability to generate text that was nearly indistinguishable from human writing. In 2022, ChatGPT was introduced to the masses, allowing users to interact with AI-powered chatbots capable of answering questions, providing insights, and assisting in various tasks.

Also Read: Rise of generative AI in search: Exploring opportunities for APAC brands

Since then, generative AI has been evolving at a rapid pace, with the launch of numerous large language model (LLM) developments. Models like DALL-E for image generation, and Midjourney for digital art have made generative AI tools accessible to a wide range of users across both work and play.

Embracing the power of generative AI responsibly

From transforming creativity to enhancing productivity, generative AI offers remarkable tools that allow individuals and businesses to push boundaries and explore new avenues.

Traditional AI continues to be a cornerstone in many domains, playing a vital role in shaping our world. By understanding the distinction between both technologies, we can better appreciate each unique capability and leverage them effectively.

As with any powerful technology, responsible usage is crucial. Integrating generative AI requires a consideration of its ethical implications such as privacy concerns. We should be mindful to use it as an aid to human creativity and decision-making rather than a substitute. By balancing innovation with responsible practices, we can maximise the potential of generative AI to enrich our lives and work.

As generative AI continues to evolve, so too will the possibilities it offers. Embracing these advancements with curiosity, caution, and creativity will be key to making the most of this transformative technology. The future of AI is bright. With the right approach and mindset, we can navigate it effectively in ways that amplify human ingenuity, bring value to our lives, and open new opportunities that were once beyond imagination.

—

Editor’s note: e27 aims to foster thought leadership by publishing views from the community. Share your opinion by submitting an article, video, podcast, or infographic.

Join us on Instagram, Facebook, X, and LinkedIn to stay connected.

Image credit: Canva Pro

This article was first published on November 11, 2024

The post Generative AI in daily life: A practical guide appeared first on e27.

A significant step towards achieving environmental and economic sustainability is Pakistan’s recent decision to implement a carbon market policy. The new Carbon Market Policy Guidelines make it possible for startups and small-to-medium businesses (SMEs) to actively engage in carbon trading and green investments, although climate action has historically been portrayed as a government and corporate-level endeavour.

The focus now is on how small businesses can use carbon markets to boost growth, draw in investment, and obtain a competitive advantage in a world economy that is changing quickly, rather than whether they should pursue sustainability.

Monetising carbon reduction

For years sustainability has been seen as a CSR activity that is optional rather than a factor in the economy, but today, it is seen from a different lens. Due to be providing financial incentives for reducing emissions, the carbon market allows businesses to make money off of their environmental initiatives.

Pakistan’s regulation permits companies to sell carbon credits to purchasers worldwide, by international carbon trading processes. As global markets increasingly require low-carbon supply chains, this offers startups and SMEs the chance to make sustainability a revenue-generating strategy.

Trading carbon has enormous economic possibilities. Businesses that cut emissions, whether by adopting clean technology, reducing waste, or improving energy efficiency, can produce carbon credits that can be sold to multinational firms wishing to offset their own emissions. This results in a new asset class for companies to trade in addition to helping the environment. There is an increasing need for high-quality carbon credits, particularly from developing countries like Pakistan, since many rich economies have stringent carbon rules.

This shift allows the small enterprises to establish themselves as climate leaders by acting as proactive contributors to the global carbon economy.

Understanding Pakistan’s carbon market framework

The new carbon market strategy offers a well-defined structure to help with this shift. Businesses are able to participate at various levels thanks to the establishment of both voluntary and compliance carbon markets. Through the voluntary carbon market, businesses can create and offer carbon credits that are based on reductions in emissions.

Pakistan’s national and corporate climate goals will be fulfilled in the meanwhile thanks to the compliance market, which is still in its infancy. For companies looking to trade abroad, Pakistan’s carbon credits must be internationally recognised, which is ensured by the policy’s alignment with Article 6 of the Paris Agreement. 

Also Read: How to scale voluntary carbon markets with DeFi and Web3

Startups and SMEs: Where do they fit in?

Many businesses today run with sustainable practices such using renewable energy, reducing waste, or changing energy-efficient manufacturing procedures. However, they may be aware of these initiatives which could qualify to create carbon credits

But startups in sustainable packaging, green energy, and clean technology, as well as in green technologies, have a unique advantage because of government support of vital sectors such as agriculture, waste management, energy, and forestry.

By striving for sustainability, Pakistan’s private sector is already showing how businesses may implement carbon reduction into their operations. TPL Corp spokesman highlighted their efforts: “Our work on the Mangrove Biodiversity Park, in collaboration with the Sindh Forest Department, is an example of how businesses can contribute to carbon sequestration while protecting coastal ecosystems.”

This lays a framework for more companies to participate in carbon reduction projects, acting as a model for future enterprises and SMEs hoping to join the market, the private sector will keep becoming more important in developing Pakistan’s carbon market.

Government’s role in green investment

The government also recognises the potential of carbon markets in driving green investment. Aisha Moriani, Secretary, Ministry of Climate Change and Environmental Coordination, emphasised the importance of integrating businesses into this transition.

“Through this policy, we aim to accelerate clean technology deployment and attract investments in key sectors, including energy, agriculture, waste management, and forestry. Startups and SMEs have a crucial role to play in ensuring that carbon markets drive real, verifiable reductions while generating economic and social co-benefits,” she stated. 

Challenges

Despite the opportunities, startups and SMEs face significant challenges entering Pakistan’s carbon market. The high initial investment required for emission reduction projects and certification is a significant barrier, as smaller businesses lack the financial resources of larger corporations. Government incentives, grants, and partnerships, such as Pakistan’s Climate Change Fund, could help to reduce these barriers.

Awareness and education gaps further limit participation, as many businesses are unfamiliar with carbon trading regulations and processes. The Ministry of Climate Change and Environmental Coordination must implement training programs to provide SMEs with the necessary knowledge and tools.

Also Read: 5 smart ways to decarbonise supply chains and logistics with AI

Furthermore, complicated regulatory procedures remain a challenge. Prior to verification, businesses must go through several approval stages, including obtaining a Project Idea Note (PIN), Letter of Intent (LOI), and Project Design Document (PDD). Streamlining these processes could encourage more small and medium-sized enterprises to participate, making carbon trading more accessible to those outside of large corporations.

Opportunities

Since many governments tax high-carbon imports, carbon market participation might affect Pakistani enterprises moving abroad. Exporters risk trade restrictions without carbon reduction initiatives. Early adoption helps SMEs meet global sustainability criteria and attract foreign buyers.

With the help of grants and funding from USAID, the World Bank, and UN Environment Program, carbon-related investment opportunities are rising. Successful policy modification and implementation require financial incentives, training, and efficient processes. Thee corporate-startup partnerships could further speed carbon reduction, benefiting businesses and the environment.

A transformational opportunity for SMEs

Ultimately, Pakistan’s involvement in the world carbon market offers an opportunity for economic growth as well as an environmental one. Businesses, including sustainability into their strategies will have a big advantage as the world moves to low-carbon economies. Startups and SMEs who see the promise of carbon markets now will be more suited to receive funding, draw worldwide customers, and create strong business models that will survive in a future where sustainability is a need rather than a choice.

It may completely rethink how companies develop and compete in a climate-friendly world if properly utilised.

—

Editor’s note: e27 aims to foster thought leadership by publishing views from the community. Share your opinion by submitting an article, video, podcast, or infographic.

Join us on Instagram, Facebook, X, and LinkedIn to stay connected.

Image credit: Canva Pro

The post Pakistan’s carbon market: A new opportunity for startups and SMEs appeared first on e27.

Singapore- and Australia-based Cortical Labs, which develops a new class of artificial intelligence using human neurons, has launched the CL1, the world’s first commercial biological computer, at the Mobile World Congress in Barcelona.

This innovative technology fuses lab-cultivated neurons from human stem cells with hard silicon to create Synthetic Biological Intelligence (SBI), a more advanced and sustainable form of AI.

The CL1 presents vast opportunities in medical sciences and the technology sector. It aims to enhance drug discovery and testing, improve personalised medicine, and aid in early disease detection.

The CL1 can grow, adapt, and learn faster than purely silicon-based AI while consuming less energy. This could lead to greater automation, reduced energy consumption, and advancements beyond today’s Large Language Models (LLMs), offering new possibilities for autonomy in fields such as robotics.

Also Read: Cortical Labs, the startup behind DishBrain, closes US$10M financing round

Dr Hon Weng Chong, founder and CEO of Cortical Labs, stated that the CL1 is the culmination of a six-year vision to democratise this technology, making it accessible to researchers without specialised hardware and software.

Key features of the CL1:

• Available individually or in racks containing 30 units, each rack requires only 850  to 1,000 watts of energy.
• Fully programmable bi-directional stimulation and read interface, tailored for neural communication and network learning.
• An integrated system providing a perpetual embodiment of neural cultures within a custom perfusion life support system.
• Integrated development environment for rapid experimental iteration and applications.
  Python API for simple, real-time applications, giving the user full control.
• Touchscreen enabled to visualise system status, view live data, or run pre-packaged assays.
• Contained unit that does not require an external computer to operate; all recordings, applications, and life support are on the device.

Units and racks of the CL1 will be manufactured to order and shipped to specialised laboratories and facilities with cell-growing capabilities before the end of Q2. Cortical Labs also offers wetware-as-a-service (WaaS), enabling remote access to cultivated cells via the cloud for application development.

In 2022, Cortical Labs’s neurons learned to play Pong, demonstrating synthetic biological intelligence through rapid learning and goal-directed behaviour when embedded in a simulated game environment. The neurons physically grow across a silicon chip with pins that send and receive electrical impulses, creating a high-bandwidth connection between an organic neural network and a digital world. The Biological Intelligence Operating System (biOS) constructs their reality by sending information via electrical signals and converting neuron activity into actions.

In April 2023, Cortical Labs closed a US$10 million financing round led by Hong Kong-based Horizons Ventures. The round also saw participation from LifeX Ventures, Blackbird Ventures, In-Q-Tel, and Radar Ventures.

 

The post Cortical Labs unveils CL1: The world’s first commercial biological computer appeared first on e27.

The question at hand—analysing the retreat of global risk sentiment amid soft US economic data, tariff threats, and shifting dynamics in digital asset markets—offers a fascinating lens into the interconnectedness of today’s economic landscape. Below, I’ll provide my detailed take on these events, weaving together the facts, data, and my own perspective, dissecting the ebb and flow of markets and policy decisions.

Let’s start with the US economic data, which has undeniably cast a shadow over global risk sentiment. The latest ISM manufacturing index figures were a mixed bag, but the overriding tone was one of disappointment. The headline index underwhelmed market expectations, signalling a slowdown in manufacturing activity—a critical pillar of the US economy.

Even more concerning were the sub-indices: employment and new orders, both vital indicators of future growth, slipped unexpectedly into contraction territory. This wasn’t just a minor blip; it hinted at deeper structural challenges, potentially exacerbated by uncertainty over trade policies.

Meanwhile, the prices index surged, a move that caught many off guard. This spike aligns with growing fears about inflationary pressures tied to President Donald Trump’s tariff rhetoric. When you consider that tariffs on imports from Canada, Mexico, and China could raise input costs for manufacturers, it’s no surprise that the prices index is flashing warning signs. My view here is that the US economy is at a crossroads—softening activity paired with rising costs could squeeze profit margins and dampen business confidence further, especially if trade tensions escalate.

The market reaction to this data, compounded by Trump’s tariff announcements, was swift and brutal. Stocks sank to session lows, with the MSCI US index posting its worst day of the year so far, down 1.8 per cent. Sector-specific declines were even more pronounced—Energy, Information Technology, and Consumer Discretionary took the hardest hits, dropping 3.5 per cent, 3.5 per cent, and 2.3 per cent, respectively.

This wasn’t random; these sectors are particularly exposed to trade disruptions. Energy firms, for instance, rely on stable commodity flows, while tech and consumer discretionary companies often depend on global supply chains that could be upended by tariffs. Trump’s declaration that there’s “no room left” to negotiate a halt to the 25 per cent tariffs on Canada and Mexico, alongside an additional 10 per cent levy on Chinese goods, sent a clear message: he’s doubling down on protectionism.

From my perspective, this stance risks igniting a broader trade war, one that could reverberate beyond US borders. Canada and Mexico, key trading partners under the USMCA, might retaliate, while China’s response could further complicate an already fragile global trade environment. The immediate market sell-off reflects this fear, but I suspect the longer-term impact—on growth, inflation, and investor confidence—could be even more profound.

Also Read: Global markets steady as PCE data softens, Trump names Bitcoin in strategic reserve

Turning to the bond market, we saw a flight to safety that pushed Treasury yields lower. The benchmark 10-year Treasury yield slid more than 6 basis points to 4.16 per cent, while the 2-year yield dipped about 4 basis points to 3.96 per cent. This drop suggests investors are seeking refuge amid the uncertainty, betting that weaker economic data and trade risks might force the Federal Reserve to reconsider its rate path.

Personally, I think this yield movement also reflects a growing disconnect between market expectations and Fed rhetoric. The Fed has signalled a cautious approach to rate cuts, but if manufacturing continues to falter and tariffs stoke inflation, we could see a tricky balancing act ahead—supporting growth without letting price pressures spiral out of control.

The US Dollar Index, meanwhile, slipped 0.8 per cent, a move I attribute to both the softening data and a broader risk-off mood. A weaker dollar, however, provided a tailwind for gold, which rose 1.2per cent after hitting a three-week low in the prior session. Gold’s resurgence as a safe-haven asset makes sense here; with trade wars looming and economic signals faltering, investors are hedging their bets. I’ve always viewed gold as a barometer of fear, and its uptick tells me that unease is simmering beneath the surface.

Commodities offered another angle on this story, with Brent crude plunging 2.1 per cent after OPEC+ confirmed plans to ramp up production starting in April. This decision defied earlier expectations of a delay, adding downward pressure on oil prices already rattled by tariff concerns.

From my standpoint, OPEC+’s move is a calculated gamble—boosting supply could stabilise markets in the short term, but if global demand weakens due to trade disruptions, they might overshoot. Energy stocks, already reeling from the MSCI US decline, felt this sting acutely. It’s a reminder that even as US-centric policies dominate headlines, global players like OPEC+ retain significant sway over market dynamics.

Across the Atlantic, Europe presented a contrasting picture. Equity indices closed near session highs, buoyed by gains in defense stocks as hopes of increased military spending grew. This optimism ties into the fragile geopolitical landscape, particularly Trump’s decision to pause US military aid to Ukraine—a move that followed a contentious Oval Office meeting. I see this as a pivotal shift; with US support waning, European nations may feel compelled to bolster their own defenses, especially amid ongoing tensions with Russia.

Also Read: Global markets on edge: Trade wars, tariffs, and crypto chaos in focus

On the economic front, Eurozone inflation eased to 2.4 per cent year-over-year in February, down from 2.5 per cent in January, slightly above consensus forecasts. This modest cooling keeps the European Central Bank (ECB) on track for a rate cut at its upcoming meeting, a view shared by most market participants.

I’d argue this is a sensible move—Europe’s economy needs stimulus to offset external pressures, including potential fallout from US tariffs. The brighter equity performance in Europe, against the US’s gloom, underscores how regional dynamics can diverge even in a globally linked market.

Then there’s the wild card: digital assets. The euphoria surrounding Trump’s March 2 announcement of a strategic crypto reserve—featuring Bitcoin, Ether, XRP, SOL, and ADA—quickly gave way to skepticism by March 3. Initially, the news sparked a rally, with cryptocurrencies rebounding from their worst month since 2022 (the Bloomberg Galaxy Crypto Index had slumped nearly 28 per cent in February).

Trump’s inclusion of lesser-known tokens like XRP, SOL, and ADA alongside heavyweights Bitcoin and Ether was bold, even visionary to some. It suggested a US government embrace of digital assets as a strategic asset class, potentially legitimising crypto in ways unseen before. But as the day wore on, doubts crept in. Investors began questioning the feasibility and merits of holding such a diverse basket, especially as tariff news soured risk sentiment.

By late afternoon in New York, most of the prior day’s gains evaporated, with the Nasdaq 100 Index—tech-heavy and crypto-correlated—dropping over 2 per cent. My take? The crypto reserve idea is intriguing, but its timing couldn’t be worse. With tariffs threatening economic stability, the appetite for speculative assets like crypto wanes. I suspect this volatility reflects a broader tension: crypto’s promise as a hedge or store of value versus its sensitivity to macroeconomic shocks.

Stepping back, the global risk sentiment retreat feels like a confluence of self-inflicted wounds and external shocks. The US’s soft data patch—evident in the ISM figures—signals a domestic slowdown that tariffs could exacerbate. Trump’s hardline trade stance, while politically resonant, risks alienating allies and inflating costs at a delicate moment. Europe’s relative resilience offers some hope, but it’s tempered by geopolitical fragility, notably around Ukraine.

And in the digital realm, crypto’s rollercoaster ride mirrors the broader uncertainty. Asian markets, opening lower, and US futures, hinting at a rebound, suggest we’re in for more choppiness. As a journalist, I’d say this moment demands vigilance—markets are pricing in risks, but the full fallout of these policies remains unclear. If Trump’s tariffs stick, we could see a prolonged drag on growth; if they falter under pressure, sentiment might recover.

For now, I’m watching the Fed, the ECB, and the crypto space closely—each holds a piece of this intricate puzzle.

—

Editor’s note: e27 aims to foster thought leadership by publishing views from the community. Share your opinion by submitting an article, video, podcast, or infographic.

Join us on Instagram, Facebook, X, and LinkedIn to stay connected.

Image credit: DALL-E

The post From crypto euphoria to economic unease: A world on edge in March 2025 appeared first on e27.