October 21, 2025, brought a wave of major developments across global markets — from Tokyo politics to Wall Street momentum. Japan made history with its first female prime minister, Apple stock hit an all-time high after record iPhone 17 sales, and an $8.5 billion U.S. Australia agreement boosted rare-earth stocks. Meanwhile, a massive AWS outage disrupted internet services worldwide, as investors in New York fueled the best rally since June.
Japan Turns a New Page: Sanae Takaichi Becomes Prime Minister
Sanae Takaichi has been confirmed as Japan’s first-ever female prime minister, securing 237 of 465 parliamentary votes, according to CNBC. Her victory came through an alliance between the Liberal Democratic Party and the Japan Innovation Party, pledging tax cuts and educational reforms.
Markets responded enthusiastically. The Nikkei 225 surged to a record high before moderating, and analysts dubbed the movement “the Takaichi trade,” betting on looser monetary policy and fiscal support. Yields on Japanese government bonds dipped slightly, and the yen weakened against the dollar.
Apple Hits Record High with iPhone 17 Boom
$AAPL (+0,22 %) shares jumped nearly 4%, reaching an all-time high after stunning early sales of the iPhone 17. According to Yahoo Finance, Counterpoint Research reported that iPhone 17 sales in the U.S. and China exceeded iPhone 16’s launch figures by 14% in the first 10 days. The base model led the momentum thanks to its strong price–performance ratio.
The new lineup features a faster processor, upgraded camera, expanded memory, and brighter display — all without a price hike. Discounts and vouchers have fueled Chinese demand, while premium models (Pro and Pro Max) maintain strong carrier-subsidized sales. Still, Apple faces pressure as it delays the AI-powered Siri update, while rivals like Google and Samsung accelerate their AI integration.
Rare-Earth Surge: $8.5 Billion U.S.–Australia Deal
Australian rare-earth and critical-mineral producers surged following an $8.5 billion agreement between the United States and Australia aimed at securing key defense and energy materials, CNBC reported. The deal, signed by President Donald Trump and Prime Minister Anthony Albanese, strengthens supply chains outside of China.
Shares of Lynas rose 4.7%, Iluka Resources 9%, and Pilbara Minerals 5%. Smaller firms soared — VHM +30%, Northern Minerals +16%, and Latrobe Magnesium an impressive +47%. U.S. company Alcoa gained 10% as its gallium processing project in Western Australia received priority funding. The White House also announced $3 billion in direct investments and $2.2 billion in loan guarantees to support critical-mineral initiatives.
AWS Outage Freezes Global Internet for 15 Hours
Amazon Web Services restored operations after a 15-hour outage that paralyzed websites and apps worldwide, including Venmo, Zoom, Robinhood, McDonald’s, and Epic Games. The disruption, caused by a database catalog error, exposed the immense dependence of global infrastructure on a handful of cloud providers. Full functionality was restored by 6 p.m. New York time (midnight CET), according to Bloomberg.
Wall Street Rallies on Earnings and Trade Optimism
U.S. stocks extended gains as about 85% of S&P 500 companies beat earnings expectations, powering the strongest two-day rally since June, Bloomberg noted. The 10-year Treasury yield slipped to 3.98%, and gold prices edged higher. Optimism grew that easing trade tensions with China and potential Fed rate cuts could sustain the rally into year-end.
Analysts from JPMorgan and UBS said markets are entering a growth phase driven by profits, with small-cap earnings (Russell 2000) projected to jump over 35% in Q4. Investors now await September’s inflation data, which could shape the Fed’s next move — possibly marking the start of a “golden balance” phase for the U.S. economy.
Sources:
CNBC, Yahoo Finance, Bloomberg