Public Markets
Last updated: August 28, 2026, 9:30 AM ET
Markets Overview
U.S. stock futures were mixed ahead of Federal Reserve Chairman Kevin Warsh’s first Jackson Hole speech, while Treasury yields edged higher for a second day. The S&P 500 gained on Thursday after Nvidia’s rosy forecast. European stocks were set for a fifth straight monthly gain before central banker speeches, though the region faces seasonal risks after the extended rally. Asian stocks were expected to open mildly lower as traders braced for a potentially hawkish tone from Warsh. The Nikkei rose 0.4%, led by IT services stocks following overnight gains in U.S. technology shares. FTSE 100 futures pointed to a rebound, with the pound holding below $1.36.
Jackson Hole Preview
Traders expect to be frustrated by Warsh’s speech, urging the tight-lipped Fed chair to be forceful on inflation. History shows the Fed chief rarely shocks the stock market at Jackson Hole, and investors suggest the speech may disappoint those hoping for fireworks. Bank of America’s Michael Hartnett sees Warsh on a yield tightrope — if he gets the speech right, it could flatten the yield curve, bolster risk appetite and support the dollar. A chorus of investors including JPMorgan and Apollo are urging Warsh to provide a strong rebuke of high inflation to boost the long end of the Treasury market. Bof A’s Savita Subramanian continues to take "flak" for her street-low S&P 500 call. The new "regime change" between the Fed and Treasury could fuel a bond rally, according to UBS’s Citrini, as the debt management approach shifts toward shorter-dated debt.
Fixed Income & FX
Global bond yields rose ahead of the speech, with the 10-year Bund yield hitting a 15-year high as eurozone bonds remained vulnerable to elevated energy prices. The Treasury auctioned $44 billion in seven-year notes at a 4.512% yield, the highest since December 2024. Japan’s two-year bond auction showed weaker demand amid growing speculation of central bank tightening. Mexico sold a ¥282.8 billion ($1.77 billion) Samurai bond — its first in two years. UBS launched its debut panda bond sale at a record-low rate as international issuers seek cheaper borrowing costs. Nippon Life, Japan’s largest insurer, said it may become a net JGB buyer next fiscal year. Pimco says "too much, too fast" AI debt is stoking yields — but expects decent longer-term returns for investors. The Wall Street debate continues over Treasury policy and carry trades, with some arguing the bond market chaos is coming for us all. However, strategists caution against drawing the wrong conclusion from Treasury yield moves, as investors are marking up expectations for long-run economic growth in the U.S. Don't assume 5% Treasuries are crushing emerging markets — owning EM bonds hasn't been so terrible in the past year.
The yen intervention gains are fading about a month after Japan and the U.S. coordinated action to prop up the yen — it slowed the currency's decline but didn't alter fundamentals. Japan spent a record(-breaking) ¥98.7 billion on yen intervention in the past month. Asian currencies consolidated ahead of Warsh's speech. The Philippine peso weakened past 62 per dollar on elevated oil prices. The yuan remained calm despite U.S. threats of sanctions over China's ties to Iran. De-dollarization may not be over — the recent pickup in the dollar's share of global FX reserves does not amount to a trend reversal.
Equities
Nvidia added $442 billion in market value on Thursday — the chip maker's stock posted its steepest climb in a year after breaking its post-earnings curse with its second-largest surge ever. The chip maker insists it can keep printing money and help finance the AI boom. However, Nvidia paused revenue-sharing deals with AI cloud companies less than two months after announcing the program. Meanwhile, Alphabet lost $692 billion in market value as questions arise over returns from AI-related spending at Meta. Alphabet also agreed to pay £260 million in a UK class action lawsuit settlement for overcharging Play Store developers. Meta's $18 billion settlement shows the wrong way to keep kids safe. Meanwhile PayPal shares plunged 15% in premarket trading to $52.50 on reports Advent and Stripe abandoned a takeover plan. Gap cut its sales outlook on Old Navy weakness and brought in Michael Francis as CEO; Ulta Beauty raised its full-year EPS forecast to $28.70–$29.00; Workday reported Q2 profit of $632 million, up from $228 million last year. Marvell sees accelerating growth as AI demand boost Q2 profit and revenue, raising its annual forecast. U.S. stocks rose on the rosy Nvidia view.
The Solstice–Element Solutions deal was canceled after shareholder feedback. AQR Capital is contesting the price of the $8.4 billion Clearwater Analytics buyout. Banca Generali is mulling a $10 billion takeover bid from Monte di Paschi. Samsung Biologics is raising $2.2 billion to fund a Poly Peptide Group acquisition.
China & Asia
BYD’s net profit rose for the first time since five quarters on exports and surging demand for higher-priced models. The company needs to continue EV success overseas to sustain a stock rally that added nearly $20 billion to its market value. Meituan returned to profit as food delivery competition eased. CXMT, one of China’s biggest memory chip makers, posted a sharp jump in first-half sales amid an AI-driven memory shortage. China’s large-cap stocks may be poised for a comeback as the Nifty lags small-cap gauges. India’s new closing auction led to a 3% flash crash in the BSE Sensex. In one striking example, an options contract surged 4,000% in 15 minutes. The mechanism, which has been in place for nearly a month, continues to produce unexpected swings, as traders explain in a Q&A.
Chinese nickel firms in Indonesia are mulling coordinated output cuts on low prices, as pressure mounts on profitability. China’s oil majors reveal a nation less reliant on imports, which could signal a bigger problem for global crude exporters than for Beijing.
Private Equity & Deals
Apollo is acquiring a co-controlling stake in Atlantic Aviation at a valuation of nearly $10 billion. Private jet firm Vista Global is exploring a $1 billion European IPO. On the other hand, private credit investors in Sydney builder Bathla Group are facing losses after the developer fell into insolvency this week. Aberdeen Fund took a £200 million hit on the failure of UK broadband provider Airband, and Gunnercooke is being probed over work linked to collapsed lender MFS. Meanwhile, Sanjeev Gupta’s family has taken out a £24 million mortgage on a Belgravia mansion, according to a new report. UK venture capital investment rebounds as software and biotech attract funding, according to a report showing surging levels in 2026. AI-related bond issuance may be testing the market — zero-interest convertibles are set for a record year.
Biotech & Defense
China is a threat to the massive biotech bull run, which could challenge the sector. The L3Harris shake-up is an opportunity to bet on missile rearmament, as the defense contractor has had a punishing year but solid fundamentals.
Energy & Commodities
Brent crude climbed 2% on Thursday as hopes for the Strait of Hormuz’s full reopening fade. Oil flows through Hormuz have recovered to about two-thirds of pre-war levels, per Goldman Sachs — limiting the war’s impact. Hormuz oil flows are creeping higher as Gulf producers ramp up exports. Ukraine struck a major Russian refinery in Yaroslavl, causing gasoline shortages. Panama Canal congestion forces gas tankers into unusual routes, including rare detours around South America.
Asian spot LNG advanced above $23 — with Qatar extending force majeure on European and Asian buyers by another month, as Hormuz uncertainty clouds prospects. U.S. natural gas futures remained higher after weekly storage data showed a smaller-than-expected build.
El Niño will likely reduce Indonesian production palm oil output by up to 3 million tons, according to an industry estimate. One investor sees a windfall in this weather event, and is... betting on El Niño trades. Gold steadied near $4600; gold-mining stocks report their best month in years, outperforming broader indexes.
Offshore & Geopolitics
Dubai and Abu Dhabi are coping with the Iran war, according to a Live Q&A. A walk around Dubai shows no signs of Trump’s “D-Day” for Iran, as reported in the Morning Risk Report. The Middle East wealth hubs have been largely unaffected economically, but the strain is on.
Geopolitics & Regime
A judge ruled that Trump’s blacklisting of Anthropic was illegal, violating the First Amendment. The decision is a developing legal issue. On another legal front, a federal judge barred the Postal Service from imposing restrictions on mail-in voting.
The CIA chief delivered a bleak assessment of Russia’s war in a secretive Moscow visit, pushing for a peace deal. Ratko Mladic He died at. Harald V, Norway’s king, also passed away at.
Other Moves
Wall Street’s love affair with Bessent and Warsh is over, per the NYT; both have lost credibility. The Trump administration is in advanced talks for a stake in Venezuelan oil fields, with 17 fields holding some 90 billion barrels of reserves. Also, Mexico's Sheinbaum proposed barring dual citizen presidents.
Muni / Credits
A judge said Trump’s name should stay off the Kennedy Center for now, per the NYT. LA Fire Zone is set to get $3 million homes funded by muni bonds. The LA Fire recovery plantaps $250 million munis. Muni junk-bonds face pickier buyers as risk premiums shrink. U.S. bank regulators are planning to narrow the enforcement focus to financial risks.
In Case You Missed It
- Gwyneth Paltrow’s Hamptons dinner for Sam Altman was postponed.
- Walmart and Snap’s parent are moving north to Canada, hiring from top U.S. universities.
- Pandemic vaccines are out for fall 2026.
- A private jet firm Vista Global has € y1 billion Europe IPO plans.
Market Wrap
U.S. stock futures drifted lower ahead of the Fed Chair's speech, while Treasury yields edged higher. Gold steadied near $4,600, with the picture for precious metals to Jackson Hole. Warsh will deliver his speech at 10 a.m. ET; market will parse with the yields. That is all for now — for his remarks.
Private Equity
Last updated: August 28, 2026, 2:16 PM ET
Deals & Exits
The biggest story of the past 24 hours is the collapse of what would have been a record-breaking buyout. Advent International and Stripe have walked away from their pursuit of PayPal, ending a potential $50bn-plus leveraged buyout, according to Bloomberg. The abandonment leaves PayPal's shares under pressure as investors digest the failed bid.
In completed M&A, Arcline Investment Management has finalized its $272m take-private of Astro Nova, the Rhode Island-based maker of aerospace printing and product-identification systems, in an all-cash deal following an activist-driven sale process. The transaction underscores continued appetite for small-cap industrials in the private markets.
Meanwhile, KKR and Apollo are investing $1.9bn (C$2.7bn) to acquire a 29% stake in Enbridge's Westcoast natural gas pipeline in British Columbia. The joint venture will fund two expansion programmes, marking another major infrastructure play by the two alternative asset managers.
Fundraising
Franklin Templeton has closed its debut $1.5bn CFO bundling vehicle, combining Lexington Partners secondaries exposure with Benefit Street Partners credit strategies. The fund launch marks a significant milestone for the asset manager's private markets push.
Crescent Capital Group has doubled its CLO equity vehicle with a $232m final close of Crescent CLO Equity Funding II. The second captive collateralised loan obligation equity fund builds on the firm's first vehicle and signals continued investor appetite for CLO equity in a volatile rate environment.
On the institutional side, ERS Texas has set its private equity pacing plan for fiscal 2027, seeking to commit up to $1bn in new investments. The public pension fund's target underscores the steady flow of capital from US public plans into the asset class.
Venture & Growth
Andreessen Horowitz is pivoting toward hardware with a new $1.1bn 'Machine Age' fund dedicated to accelerating the physical buildout of AI infrastructure. The fund, announced by the firm known for its software focus, will back companies building the data centers, chips, and energy systems underpinning artificial intelligence.
Space tech is enjoying a banner year, with a record $20.3bn in global seed-through growth-stage funding flowing to space- and satellite-related companies so far in 2026, according to Crunchbase data. The figure already far exceeds prior annual highs, driven by demand for satellite communications, Earth observation, and launch services.
European venture activity remains concentrated, with just three deals accounting for nearly half of all German VC funding this year. The lopsided distribution highlights the challenge for early-stage startups seeking capital outside a handful of mega-rounds. Despite this, Europe recorded its second-busiest August ever, with 10 under-the-radar rounds worth noting across the continent.
US VCs remain active in Europe, and a new ranking of the most active investors shows the breadth of cross-Atlantic deployment. Meanwhile, the Nordic region is drawing renewed attention, with investors debating whether the momentum is sustainable or a cyclical spike.
Sector Focus: Healthcare & Tech
Private equity firms are increasingly targeting patient engagement technology, with Clearlake Capital, Marlin Equity Partners, and New Mountain Capital among those making five notable deals in the space. New software, including agentic AI applications, is driving provider adoption and creating scaling opportunities for PE-backed platforms. Separately, Flexpoint's sale of Artes Rx was driven by specialty pharmacy and mental health needs.
In financial services, agentic commerce and AI-driven fraud are reshaping dealmaking. Accel-KKR-backed Basware recently signed a binding agreement to acquire Trustpair, pairing invoice lifecycle management with payment fraud prevention. The transaction highlights how AI is becoming a core due diligence and value creation theme in fintech M&A.
Other Headlines
Vista Global, the private aviation group, is weighing a $1bn European IPO that would convert equity held by RRJ Capital and Rhône Group into listed shares, according to Bloomberg. The listing would provide a liquidity event for the two PE backers.
Trinity Hunt Partners has made an investment in management consulting firm Fisher Management Partners, establishing a new value creation services platform with Fisher as its foundational asset.
Finally, Strictly VC returns to New York's West Village on September 10, featuring Keith Rabois, Craig Shapiro, Jason Levien, Tristan Walker, Brynn Putnam, and Deven Parekh, with discussions covering AI and sports investing.
Sector Investment
Last updated: August 28, 2026, 2:30 PM ET
Deals & AI
Healthcare dealmaking faces regulatory pressure as AI adoption reshapes investment strategies, per McGuire Woods’ Holly Buckley. The latest trends in healthcare private equity were discussed on the Becker Private Equity & Business Podcast, where Buckley highlighted the growing role of AI in due diligence and portfolio management. Deal values remain under scrutiny as regulators tighten oversight on transactions, while investors increasingly prioritize tech-enabled platforms. The intersection of AI and regulation is expected to define the next cycle of healthcare investments, with Buckley noting that compliance costs are rising.