Public Markets 24 Hours

Last updated: August 2, 2026, 11:31 PM ET

Yen Intervention and Market Impact

Japan's Ministry of Finance intervened in the foreign-exchange market to buy the yen on Friday U.S. time, acting in concert with the U.S. Treasury Department. The U.S. and Japanese officials confirmed on Sunday that the Treasury Department had moved last week to help the currency. President Donald Trump said the U.S. joined a currency-market intervention, calling it "a signal of friendship." Politics may be behind this coordinated U.S.-Japan intervention in the yen, State Street Investment Management said. Strategists say the coordinated intervention between Japan and the U.S. increases the risk for anyone betting against the currency. A buildup in speculative bets against the yen before Japan’s latest intervention may amplify the currency’s rebound if traders unwind those positions, analysts say. Japan vows to intervene again with the U.S. over the yen if needed, with Finance Minister Satsuki Katayama confirming joint action with Washington to counter "disorderly movements." Treasury Secretary Scott Bessent's championing of a Federal Reserve facility Japan can use to boost the yen comes with the benefit of protecting the U.S. bond market from excess sales. Japanese stock futures pointed to a lower open as traders remain on alert for further yen intervention after Tokyo and New York coordinated to support the currency. Japanese stocks were lower in early trade following Friday’s sharp gains as uncertainty over the Iran conflict continues. Short-dated JGBs fell in price terms on growing expectations for a rate increase by the Bank of Japan.

Economic Slowdown and Market Volatility

China's manufacturing activity slowed in July for export-oriented firms, according to a private survey, in line with an official gauge. Iron ore sank to the lowest level in more than a year amid concerns about a major physical trader of the commodity, which compounded existing market softness linked to a challenging demand outlook. Fanuc Corp. shares plunged the most in four decades after the maker of factory robots raised its profit outlook by less than expected, heightening fears about soaring prices of materials. South Korean stocks slipped, as heavyweight chipmakers faced selloffs after Friday’s record gains while investors unwound leverage-backed trades. Morgan Stanley upgraded South Korean stocks to overweight, saying the recent "leverage washout" offers investors a better entry point into the artificial intelligence trade and industrial super-cycle. Australia’s resilient earnings outlook may hit a snag in the August results season as the country’s biggest companies reveal how they’re navigating a fragile economy. Investors’ hopes of a stellar year in emerging markets are being tested by a bruising July that may offer a taste of the headwinds ahead.

IPO Market Cools Amidst Valuations Concerns

India’s initial public offering boom is fading, with proceeds down by a fifth from a year earlier as companies cut deal sizes, accept lower valuations and delay listings, raising doubts about sustainability. Manipal Health Indo-MIM, and Juniper Green Energy have cut offer sizes to get their deals through. India’s equity-market close is about to align with major global peers. For arbitrage funds, this alignment could come at a cost. India’s short-dated bonds will outperform debt with long duration, as the central bank is expected to keep interest rates on hold and banks are set for a large cash surplus, according to traders.

Corporate Dealmaking and Earnings

AstraZeneca holds talks with Bristol Myers Squibb over a $400 billion tie-up that would create the world’s fourth-largest drugmaker by market value. Italy’s Prysmian is in advanced talks to acquire electrical manufacturing company Atkore Inc., people familiar with the matter said. Monte dei Paschi explores Banco BPM takeover after "merger of equals" talks collapsed. MPS chief executive weighs an approach to Banco BPM’s largest shareholder, Crédit Agricole. SpaceX is giving its first results call, while Flutter is migrating to New York, and inflation updates are expected from China and India. S&P 500 groups are on track for their strongest earnings in five years, with America's biggest companies reporting "rock solid" profits as consumers face higher costs. Reports from tech giants drove big gains and losses, while the Fed-fueled bond selloff adds to market pressures.

Commodities and Energy Markets

Oil prices were lower in early Asian trade amid hopes of a possible U.S.-Iran deal that could ease supply disruptions. Oil prices plummeted as investors digest a pause in fighting in the Iran War. The markets’ moves were the first since President Trump said late Saturday that he had halted a U.S. assault on Iran. OPEC and its allies increased oil output for the sixth time in a row. The cartel nears the end of a cycle of production hikes, while potentially difficult talks over future quotas loom. A regional environmental regulator in Australia has recommended tougher license conditions for two liquefied natural gas export facilities operated by Inpex Corp. and Santos Ltd. Hungary is braced for power cuts amid an extreme drought, with record-low water levels on the Danube forcing the country’s first shutdown of a nuclear power plant.

Geopolitical Tensions and Market Reactions

Gold gained after U.S. President Donald Trump said fresh negotiations with Iran would begin later on Monday, raising hopes for a breakthrough in the months-long conflict that would ease energy-driven inflation. Gold rose, with the direction of the U.S. dollar, U.S. Treasury yields, and incoming U.S. labor market data likely to affect gold’s trends more than the traditional safe-haven narrative. President Donald Trump said he agreed to requests from Iran and other Middle Eastern countries to cancel planned attacks, citing what he said was progress in reaching the "perimeters of a deal" with Tehran. Analysts and lawmakers are trying to divine whether Mr. Trump’s latest announcement means negotiations with Iran will truly get underway Monday or if the president is just working through unappealing options. Whatever is happening in Iran, it isn’t working.

Other Market Developments

Chinese government bond futures began trading in Hong Kong on Monday, marking authorities’ third attempt to use the hedging tool to further open up the country’s debt market. Gold rose. An earthquake with a magnitude of 5.3 was recorded 41.2 kilometers north-northeast of Suez, Egypt, according to the U.S. Geological Survey. Three people were killed and 21 injured after a bomb was detonated in an upscale restaurant in central Moscow on Saturday night, according to Russia’s National Anti-Terrorism Committee. South Korea issued emergency heat wave instructions as the country sweltered, with its highest temperature on record reported in the southeastern city of Yangsan.