Global Markets Rattle as Political Upheavals and Record Gold Prices Emerge

Major stock indexes took a hit on Tuesday as the financial world grappled with political upheavals in France and Japan, alongside the quandary of a prolonged U.S. government shutdown. Concurrently, gold futures reached an unprecedented $4,000 an ounce, attracting investors seeking safe havens.

The uncertainty surrounding the U.S. shutdown and anticipated interest rate cuts fueled demand for gold, while equities suffered. S&P 500 and Nasdaq indexes declined, driven down further by a notable 4.1% fall in Tesla shares after the company launched more economical variants of its key models.

Ambiguities in France, following Prime Minister Sebastien Lecornu's unexpected resignation, added to market unease, impacting the Euro's value. Meanwhile, Japanese markets showed investor optimism on governmental spending plans, influencing currency and bond markets. These developments come as the finance world awaits further cues from the Federal Reserve.

(With inputs from agencies.)