Public Markets 3 Days

Last updated: July 29, 2026, 2:30 AM ET

Global Markets React to Earnings and Geopolitical Tensions

Asian stocks retreated again as investors rotated out of chip shares amid skepticism over AI spending returns, while oil climbed on renewed supply-disruption concerns following fighting in the Middle East. South Korea’s stock selloff deepened, with chip-makers extending losses following disappointment about SK Hynix Inc.’s earnings. European semiconductor companies started the week in green territory after a pause in Middle East fighting, boosting stocks globally. The FTSE 100 eased as focus shifted to earnings season, with chip selloffs rattling the market. Gold edged lower ahead of a finely balanced interest-rate decision by the Federal Reserve, and later settled 0.17% higher at $4074.. US liquefied natural gas shipments to China will be re-exported as local companies seek higher overseas profits and avoid tariffs.

Corporate Earnings and Strategic Shifts Drive Sector Performance

Porsche AG after first-half profitability rose, indicating a potential turnaround, though the company also announced plans to cut 5,000 more jobs after sales collapsed in China. Danone SA sales climbed in the second quarter, buoyed by demand for high-protein yogurts and medical nutrition. Deutsche Bank plans a fresh €500 million buyback after its pretax profit increased 11% and beat analyst expectations. UBS plans a new $3 billion buyback as its net profit rose, driven by its investment banking and. Standard Chartered posted a profit beat and announced a $1 billion buyback, embracing AI in a cost-cutting plan that includes reducing back-office jobs. Rio Tinto’s first-half profit and dividend rose on higher prices and productivity, with the miner also citing AI demand for metals and future. Bloom Energy Corp. jumped after posting earnings more than double expectations and raising full-year guidance, signaling rampant demand for its fuel-cell technology. Contemporary Amperex Technology Co. Ltd. shares surged in China after unveiling a buyback plan following strong first-half earnings.

Financial Institutions Navigate Economic Headwinds and AI Investments

Philippine banks have set aside the most funds for potential loan losses since at least 2008, bracing for defaults as the Middle East conflict weighs on the economy. Morgan Stanley bankers faced backlash when questioning or rejecting loans for wealthy clients, though the bank stated it has not compromised its underwriting standards. Financial stocks in Hong Kong are poised for their biggest monthly advance in nearly two years, with investors piling into banks and insurers as enthusiasm for technology shares fades. Invesco and Rathbones as worries about inflation and political instability grow. Hedge funds are facing demands to stump up collateral as AI stocks tumble, with the scale of recent losses sparking growing risk aversion.

Technology Sector Grapples with AI Hype, Costs, and Ethical Concerns

AI is not yet taking jobs, but its rapid development raises questions about its hidden costs and the concentration of power. PwC has been found to have produced slapdash work marred by AI hallucinations while marketing expertise on the technology. SK Hynix shares slid despite a sixfold profit surge, missing analyst expectations but insisting the risk of memory oversupply remains limited. The semiconductor sector experienced a downturn with SK Hynix leading losses, sparking a trading suspension in Korean stocks. Big Tech companies are doubling down on AI spending, but investors are unsure how much they can stomach, with analysts’ models assuming new efficiencies in Big Tech that may be too optimistic. Google Deep Mind dismantled its Nobel-winning Alpha Fold team in a strategy shift toward broader AI systems for scientific discovery. Palantir's tool has not cut hospital discharge delays, according to a study, likely adding to calls for an audit of NHS England claims.

Energy Markets Face Supply Concerns Amid Regional Instability

Oil futures rose in early trade on renewed supply-disruption concerns spurred by escalating tensions in the Middle East. Abu Dhabi National Oil Co. is pushing ahead with liquefied natural gas exports from its Persian Gulf plant despite renewed hostilities in the region. OPEC+ expects to pause oil-production quota hikes after September as the group evaluates the supply impact of regional conflicts. Wheat futures as escalating attacks between Russia and Ukraine threaten export prospects.

Real Estate and Infrastructure Sectors Show Mixed Signals

Private equity group EQT of Yorkshire Water at a discount price, with the deal valued less than its regulated assets. Investors are snapping up bundles of properties as housebuilders offer discounts, while cautious consumers remain on the sidelines. NYC has halted office conversions amid structural concerns. TfL is demanding £1 billion from carmakers over allegedly unpaid Ulez charges, claiming leading manufacturers misled authorities on diesel emissions.

Investment Trends and Market Dynamics

Spain has turned into a value investing hub thanks to years of market-beating returns by. Japan’s Government Pension Investment Fund has hired active domestic bond funds for the first time in five years, recognizing the need to increase its expertise. SoftBank Group Corp. priced a ¥90 billion bond offering sold to institutional investors to broaden its funding sources. The Nifty IT Index’s correlation with the Philadelphia Semiconductor Index has fallen to its lowest level since 2018, as Indian IT stocks stage a comeback while global AI trade falters. Hong Kong’s imports of gold surged to the most since late-2014 in June, driven by preparations for a new clearing system and demand from mainland China.

Global Economic Indicators and Central Bank Actions

Australian inflation missed estimates, prompting money markets to slash bets on another interest-rate increase this year. Australia’s central bank chief indicated the economy is cooling but remains unsure if rates are high enough to return inflation to target. The Singapore dollar consolidated ahead of the FOMC’s rate decision. Japanese government bond futures edged higher amid mixed signals, while JGBs offer one of the best fixed-income opportunities despite perceived high risk.

Regulatory and Legal Developments

The Bank of England is probing Asian equity risk at prime brokers, with the regulator set to review exposure to the AI sector at hedge funds and other clients of investment banks operating in the UK. Binance is making it harder to fight crime, according to investigators in Europe who said the cryptocurrency giant hinders efforts to track scammers and solve cases. A former Goldman Sachs Group Inc. banker went on trial for allegedly paying bribes to secure a lucrative power plant deal in Ghana. E. Jean Carroll is seeking to overturn a $83.3 million award against Donald Trump for defamation, though Trump already paid her more than $5 million from a 2023 lawsuit. Canada will abandon efforts to compel foreign streamers to finance domestic broadcasting, according to a court filing.

Commodity Markets See Fluctuations

Oil rebounded after a three-day decline as fresh fighting erupted in the Middle East, with continued threats to energy flows. Iran considered a retaliatory strike on a Ukrainian seaport, though diplomacy has eased tensions after an incident risked triggering a wider war. Brazil has seen a surge in shipments to the European Union ahead of a September deadline that could halt meat trade with the bloc.