Public Markets 3 Days

Last updated: August 12, 2026, 11:31 PM ET

US Equities

U.S. stocks were mixed as deadlock in the Middle East offset benign consumer-inflation data and an artificial-intelligence earnings bonanza. The S&P 500 closed near all-time highs, led by the technology sector, after a subdued inflation reading helped ease interest-rate hike concerns, though the Nasdaq lost 0.6% the following session. Yardeni raised his view for the S&P 500 Index to 8,400, a Street-high target, citing “fabulous earnings momentum.” The latest reason to worry about the market is that earnings growth has been "too strong." Demand for protection against a drop in stocks has fallen to the lowest level since last year, as indexes rally to record highs, and this anxiety may be just what the rally needs.

Asian & Emerging Markets

Asian stocks rose as technology shares rallied and the US inflation report eased concerns about an imminent Fed rate hike. Japan’s Nikkei rose 1.8%, led by chip and electronics stocks on eased fears about Fed rate increases. A revival in the global AI trade pushed South Korean stocks 23% higher in 10 days toward a technical bull market. Taiwanese stocks are gaining favor over South Korea’s on steadier earnings prospects as markets recover from July’s rout. GoTo Group faces the prospect of being dropped from MSCI indexes after a plunge in its shares. ASX Ltd. shares surged the most in six years after Australia’s main exchange operator gave a positive outlook on its listings business.

Fixed Income & Credit

A $42 billion auction of 10-year US Treasuries resulted in the highest yield since 2007. Bond markets soured on rising oil prices as hopes for a Hormuz deal faded, and Treasury yields rose. The dollar strengthened, reversing its morning losses as Treasury yields recovered partially. A record pace in US investment-grade bond issuance continued with 19 firms storming the market. Blue Owl Capital sold $750 million of high-grade debt, up from initial discussions. The average borrowing cost of emerging-market companies has fallen relative to US corporates. Bonds issued by Air Baltic slumped further after the airline announced plans to swap much of its debt for equity.

Currencies & FX

The yen edged closer to the key level of 160 per dollar, keeping investors on the lookout for intervention by officials. Yen traders are ramping up options market activity ahead of key US inflation data. Asian currencies consolidated against the greenback but may be supported by Fed rate-cut prospects. This month’s most lucrative emerging-market carry trade is attracting foreign investors to South African rand bonds. Brazil election worries are prompting some investors to pare exposure to carry trades.

Commodities

Oil fell in early Asian trade after US crude oil inventories rose unexpectedly. Commercial crude stocks excluding the SPR rose by 17.4 million barrels in an unexpected build. Oil futures ended little changed with the market still focused on the Strait of Hormuz. OPEC again cut its forecast for global oil-demand growth as Hormuz talks stall. Global oil demand is set for a deeper contraction as renewed hostilities push up fuel prices. Freight costs for oil tankers from the Black Sea hit a record after a flurry of drone attacks. Russia’s crude output lagged behind its OPEC+ quota by almost 1 million barrels a day. Saudi Arabia increased crude production by just over 1 million barrels a day in a rebound in July. Gold rose on reduced Fed rate hike expectations. Gold advanced to a two-month high after the subdued US inflation report. Precious metals climbed, with gold up for a fourth straight session. Gold slipped from that two-month high as traders weighed Hormuz prospects. The USDA made a surprise cut to corn yield projections for the 2026/27 season. US natural gas futures rose supported by hotter weather forecasts.

Economy & Policy

The July CPI report showed inflation eased slightly but prices remain elevated. The latest CPI report helped reinforce the Fed’s patient approach on rate increases. The Consumer Price Index report showed energy prices fell last month after their spring surge. Brazil’s Congress approved measures to curb spending growth. India’s inflation held within the RBI’s target range, cementing expectations of a policy pause. Homeowners tight on cash are tapping into their homes’ equity. Consumer debt data shows overall health amid persisting divides. The labor market slowed as employers grew wary of hiring.

Tech, Media & Telecom

Cisco reported a sharp jump in profit as AI orders roll in. CoreWeave shares jumped as revenue doubled from a year earlier. Lambda Inc. wrapped up a $926 million leveraged-loan deal for Nvidia-tied chips. Cerebras swung to a second-quarter loss of $450.5 million but lifted its full-year outlook. Apple is in talks to pay publishers to improve AI-powered Siri. StubHub failed to turn a profit in Q2 despite surging World Cup revenue. Paramount has discussed creating a board to ensure CNN’s independence. David Ellison floated a Hollywood exit amid a lawsuit over his Warner Bros. deal. Rocket Lab narrowed its loss as revenue climbed. Uber exited its Serve Robotics stake as the delivery alliance unraveled. Vestas shares soared as wind turbine orders bounce back, and its CEO said the EU prevents mergers needed to compete globally.

Company Earnings & Deals

Tata Group erased $4.5 billion in market value after Chairman Chandrasekaran said