Public Markets 3 Days

Last updated: July 9, 2026, 11:30 AM ET

AI Drives Deal-Making Surge Amid Market Volatility

Global deal-making has surged to $3.2 trillion this year, the highest for a six-month period in a decade, largely fueled by the artificial intelligence economy. However, questions linger about the sustainability of this boom. Tera Wulf Inc. is seeking approximately $3.5 billion in debt to construct a data center campus, marking its entry into the leveraged loan market. EQT AB and Advent are reportedly showing early takeover interest in the European molecular testing company Qiagen NV. In a notable move, Apollo Global Management's $35 billion AI chip credit deal is set to begin trading. Meanwhile, JPMorgan Asset Management’s David Lebovitz suggests investors are becoming adept at differentiating AI risks and rewards, a critical development for Wall Street.

Geopolitical Tensions Impact Energy Markets and European Outlook

Renewed fighting between the US and Iran has shattered the calm in the oil market, with prices likely to remain volatile as long as the Strait of Hormuz remains a flashpoint. Iran has rapidly increased oil exports, shipping approximately 11 million barrels of crude in 24 hours amid escalating tensions with the US. Europe's economic outlook faces renewed uncertainty following President Trump's declaration that the US ceasefire with Iran is over. German bond yields dipped as investors monitored the oil market for further disruption following the latest US-Iran conflict flare-up. The UK grid operator issued another warning about tight electricity supplies due to a heatwave straining power systems. Qatar has paused efforts to boost liquefied natural gas production after an attack on a tanker in the Strait of Hormuz raised transit fears.

Corporate Strategies Adapt to Inflation and Shifting Global Dynamics

Pepsi Co CEO Ramon Laguarta is navigating inflation by focusing on smaller-portion products and teas aimed at mental focus. Seven & i Holdings, the owner of 7-Eleven, raised its annual guidance after higher gasoline prices boosted earnings at its North American convenience store business. Polestar's chief indicated that globalization for automakers is over, with the Swedish group barred from selling new EVs in the US from next year. Fast Retailing, the owner of Uniqlo, reported a significantly higher quarterly profit due to strong sales across various regions. Hugo Boss urged shareholders to reject Frasers Group's $2.2 billion takeover bid, deeming it undervalued. The toy company Hasbro is attempting to reintroduce its "aging up" strategy with a new line of adult Play-Doh.

US Markets Show Mixed Signals Amid Tech Selloffs and Treasury Yield Shifts

The dominant tech trade of buying chip stocks and selling software is showing signs of unraveling. The Magnificent Seven tech giants, which have driven a nearly four-year bull run, are showing weakness, becoming a concern for Wall Street. Chip stocks experienced a significant selloff after a strong run, raising concerns about whether massive AI investments will justify current valuations, while a jump in oil prices boosted bond yields. The return of the 30-year US Treasury yield above 5% is prompting investors to reassess attractive yield levels. US natural gas futures declined due to ample supply and above-average storage levels, which are counteracting weather-driven rally attempts.

Regulatory and Deal Activity in Financial Markets

The Commodity Futures Trading Commission is blocking CME Group’s proposal to offer 24/7 trading in oil futures. CME Group is also facing regulatory scrutiny over its bid to fast-track round-the-clock oil contracts. Bank of Nova Scotia has re-entered the precious metals trading business, which it exited in 2020. Barclays Plc is preparing an $875 million debt sale to finance the takeover of UK aerospace supplier Senior Plc. Mavik Capital Management is seeking to raise $1 billion to acquire distressed commercial real estate assets. Nigeria's $22 billion pension industry is considering plans to launch a fund to support infrastructure upgrades.

International Markets and Trade Dynamics

China has purchased the largest amount of US soybeans since November, extending a buying trend between the two largest economies. The European Commission has launched an investigation into alleged dumping of subsidized Peking duck, heightening EU-China trade tensions. Germany has struck a deal to purchase US Tomahawk missiles, according to Chancellor Friedrich Merz. Fitch Ratings views Germany's latest reform package as a step in the right direction but not a decisive solution for its economic challenges. Serbia maintained its interest rates for a record 22nd month, but government plans for pre-election cash handouts may fuel inflation.

Other Notable Market Developments

The US trade deficit widened in May due to record imports of foreign goods, including pharmaceuticals and data center equipment. London marine insurers are reporting fewer inquiries for journeys through the Strait of Hormuz, with some noting increased cover costs, indicating growing caution among shipowners. Vale SA, the world’s leading iron ore producer, is under review by Brazil’s securities regulator regarding the exit compensation of its board chair. Ukraine has intensified attacks on Russian ships in the Sea of Azov, hitting eight small fuel tankers supplying Crimea. SK Hynix Inc. is reportedly informing investors of its intention to price its US listing at $149 per American depositary receipt.