Daily Buzz: 3 March 2026

Middle East War Shows No Signs of Letup

The war in the Middle East widened to Lebanon, with Israel and the Iran-backed Hezbollah faction exchanging drone and missile attacks. Israel struck Hezbollah strongholds in Beirut; Lebanon reported 52 people were killed. Explosions were heard elsewhere across Middle East as the war moved into its third day with no letup in sight. US President Donald Trump said the bombing of Iran may last four or five weeks. In Iran, a hospital in Tehran was hit and had to evacuate patients. Qatar stopped production of liquefied natural gas after attacks by Iranian drones, and Ras Tanura, Saudi Arabia's biggest oil refinery was temporarily shut down after a drone strike. Kuwait said it mistakenly shot down three American F-15E fighter jets but all crew ejected safely. UK authorities reported a suspected drone strike at its military base in Cyprus.

Hundreds of thousands of airline passengers have been stranded by the closure of airport hubs in the Gulf states, and oil tanker movement through the Strait of Hormuz has ceased. At least 555 people have been killed in Iran by Israeli-US strikes, according to the Iranian Red Crescent Society. The US reported six service personnel killed.

In Iran, what leadership hasn't been eliminated by missile attacks dug in. President Masoud Pezeshkian said a leadership council has temporarily taken over the duties of supreme leader Ayatollah Ali Khamenei, who was killed by US-Israeli missiles on Saturday. US President Donald Trump told the Atlantic magazine that Iran's new leadership wanted to talk to him, but Iran security chief Ali Larijani declared in a social media post, "We will not negotiate with the US."

At his first press conference since the war began, Trump shifted away from earlier talk of regime change. UK prime Minister Keir Starmer told Parliament that Britain "doesn't believe in regime change from the skies." Trump was circumspect on the issue of deploying ground troops. "I don't have the yips with respect to boots on the ground," he said. "Every president says there will be no boots on the ground. I don't say it. I say we probably don't need them."

Top Business

MiniMax Posts Big Jump in Revenue, Loss Widens

Shanghai-based startup MiniMax, one of the so-called "Chinese AI tigers," reported 2025 revenue jumped 159 percent to US$79 million, with more than 70 percent from international markets. Net loss widened to US$1.87 billion from US$465.2 million a year earlier, which the company attributed to revaluation of financial assets it holds. The strong sales underscored demand for low-cost, open-source Chinese models that rival those of the US, but competition in the industry and the cost of training AI models are eating into profits.

MiniMax said 2026 will be another strong earnings year, with annual recurring revenue in February exceeding US$150 million. Co-founder and Chief Executive Yan Junjie said the company is "transforming from a large model firm to a platform in the age of AI." The company develops large language models that can generate text, audio, images, video and music. It said it has served more than 236 million users around the world. Founded in 2022 by researchers from AI developer SenseTime, the company raised HK$4.82 billion (US$618.6 million) in an initial public offering in Hong Kong in early January. Its shares have since more than quadrupled from their offer price.

Brazil Approves Startup of China's Low-Orbit Satellite System

Brazil's telecommunications regulator approved the start of commercial operations for China's Spacesail satellite constellation, the first nation in Latin America to host the low-orbit satellite network. Satellites in the network developed by Shanghai-based Spacesail Technologies operate at altitudes from 160 kilometers to 2,000 kilometers from the earth's surface. The rollout is part of an agreement signed with Brazilian state-owned telecom Telebras in 2024, aimed at providing broadband internet access to more remote regions, with a focus on hospital facilities and schools.

Economy & Markets

Global Stocks Weak but Not in Panic, Oil and Gold Prices Surge

Stock markets around the world were generally lower but far from panic mode on Monday in reaction to the Middle East war, with airlines and other tourism-related shares taking a big hit from closure of airport hubs in the Gulf states. Energy companies rose on a surge in prices for oil and natural gas as closure of the Strait of Hormuz abutting Iran stopped cargoes. In Asia, the Nikkei fell 2.1 percent, and the Hang Seng in Hong Kong lost 2.1 percent. However, the benchmark Shanghai Composite Index shook off early losses to eke out a 0.5 percent gain. The Stoxx 600 index in Europe fell 1.6 percent, and the S&P 500 index in New York closed flat after paring earlier losses. Benchmark Brent crude in New York tumbled 7.6 percent to US$78.44 a barrel, and gold rose 1.9 percent to US$5,349 an ounce.

Among Chinese mainland companies, Shanghai-based China Eastern Airlines fell 8 percent, and Trip.com, the world's leading online travel service, lost 2 percent. China National Offshore Oil (Cnooc) rose 5.6 percent and PetroChina gained 4.1 percent.

China Home Prices Slip

China's new home prices slipped in February, Reuters reported, citing the private research firm China Index Academy. Prices in 100 mainland cities fell 0.04 percent from January. February sales were influenced by the nine-day Chinese Lunar New Year holiday during the month.

Corporate

Honor, Alibaba Exhibit Devices at Barcelona Electronics Fair

At the Mobile World Congress in Barcelona, Chinese phone maker Honor exhibited its new robot phone, its Magic V6 foldable smartphone and its first humanoid robot. The robot performed a dance with human dancers. The robot phone features a camera on a robotic arm that pops out of the main body of the device. A user can talk to Honor's AI assistant, and the camera can then respond with a nodded yes or no. The company said the phone will be commercially available in China in the second half of the year.

Alibaba unveiled its Qwen-powered AI glasses in Barcelona. The glasses are integrated with Alibaba food delivery and ride-hailing services. They are already available for purchase in China for 1,997 yuan (US$291) after government consumer-spending subsidies.

Guess to Close All Stores in China

US fashion brand Guess will close all stores and online retailing in China by the end of this month, according to notifications received by Chinese customers. Parent company Authentic Brands said the decision is part of a strategic corporate "adjustment" and Guess will take a new approach to exploring the Chinese market in the future. It didn't specify how. The company has been losing money in Asia while sales in the US and Europe rise.

Meizu to Exit Phones for AI Development

Zhuhai-based Meizu Technology, an arm of Chinese car maker Geely, will cease development of new smartphones for the Chinese mainland, exiting an intensely competitive domestic market and turning its focus to automotive software and artificial intelligence, according to a company statement. Global smartphone makers are reeling under soaring prices for memory chips used in consumer electronics, as AI developers gobble up supplies.

Soochow Securities in Talks for Donghai Securities Stake

Chinese brokerage Soochow Securities is planning to acquire a controlling 26.9 percent stake in Donghai Securities from parent Changzhou Investment to bolster its core competitiveness, Yicai Global reported. The Suzhou-based firm said final terms of the agreement have yet to be completed.

China's brokerage industry has been undergoing consolidation to improve performance.