Public Markets 3 Days

Last updated: August 16, 2026, 2:32 AM ET

Equities & Earnings

US stocks fell after July retail sales posted their biggest drop in over a year, tempering enthusiasm around the AI boom that had driven indexes to record highs. The S&P 500 logged a third consecutive weekly gain, lifted by renewed bets that the Federal Reserve will hold rates steady in September. Corporate earnings are blowing past Wall Street expectations for a stellar season, adding to the rosy backdrop for a stock market trading near record highs. Stock-pickers continue to struggle, with just 13% of U.S. large-cap funds outperforming indexes over the past decade. Berkshire Hathaway added to its stakes in Alphabet and Delta Air Lines, while also exiting Constellation Energy. Workday shares surged after a Reuters report that Silver Lake is in talks to purchase the software provider. Reddit will join the S&P 500 next week, sending its shares surging more than 10% after the bell. Ocado shares showed signs of revival with a 45% rally after a bruising decline. JD.com shares slid after a rare revenue decline, marking its first sales drop in more than a decade.

Fixed Income & Currencies

Bond traders face a welter of confusion as fixed-income markets respond more to geopolitical risk and inflation rather than traditional signals like U.S. economic growth. Hedge funds halved their short bets on the yen since the U.S.-Japan joint intervention, signaling reduced negative sentiment. Marubeni favors a stronger yen to better leverage a $12 billion investment plan. The Bank of Japan may need to signal hawkishness to support the yen, according to BlackRock’s Rick Rieder. India’s rupee has been steadier than the Indonesian rupiah and Philippine peso, potentially attracting more foreign capital. Colombia’s local corporate bond sales are rebounding after four years in the doldrums following a market-friendly government’s election. Vietnam’s state investment arm plans to exit dozens of companies over the next four years, freeing up capital ahead of an FTSE upgrade.

Commodities & Energy

Oil futures ended the week higher as the situation in the Strait of Hormuz remained unresolved. Middle Eastern oil shipments are arriving at U.S. ports, easing supply pressure. Tankers are going dark for longer to get oil through the Strait of Hormuz and the Bab el-Mandeb strait. Russian regions face fuel shortages again after Ukraine resumed almost daily attacks on oil refineries. White sugar futures in London rose for a third straight week, keeping refining margins near their highest levels in two years. Natural gas futures edged up with recovering LNG feedgas and strong pipeline exports to Mexico supporting demand.

Corporate News & Deals

Carmakers are scrambling for alternative motor oil blends amid a shortage of Group III base oils. Harvey Nichols deal hints at department stores’ hidden potential, with services offering young shoppers a reason to return. Mike Ashley is expanding into luxury with a move on Harvey Nichols. Jaguar Land Rover’s parent company shares slipped after profits tumbled. Tyson Foods will close more beef plants as a prolonged cattle shortage continues to force restructuring. Braskem is optimistic on creditor talks as part of its debt restructuring efforts. Diversified Energy is in advanced talks to acquire Elliott-backed Birch Resources for more than $1.7 billion. Quest Global has hired banks for an India IPO that could raise up to $1 billion.

AI & Technology

Nvidia downsized plans for a $250 billion guarantee of an OpenAI data center, with investors worried about the chipmaker’s risk exposure. OpenAI faces internal upheaval as its chief revenue officer prepares for an IPO push. Google turned on Gemini AI for students using its Classroom app. Uber and Pony AI plan to deploy 2,000 robotaxis across Europe. Big Tech earnings are being inflated by one-time gains from investments in other tech companies. AI companies face $70 billion in shadow credit backstops that don’t appear on balance sheets. Hyperscalers are issuing bonds in record amounts, shaking up foreign credit markets.

Geopolitical & Policy

China revised the timing of its July economic data release. China protests Japan’s prime minister and defense minister over Yasukuni shrine visits. India’s PM Modi unveiled chip and nuclear plans in his Independence Day speech. Malaysia’s PM Anwar pledged faster reforms after electoral defeats. Peru’s economy unexpectedly slowed in June due to fishing and agriculture slumps. Zambia suspended vote counting amid reports of violence. Brazil markets tumbled on election anxiety as Lula’s lead narrows. Venezuela seeks to recover $4 billion in gold from the Bank of England.

Banking & Finance

JPMorgan ended banking relations with Polymarket over regulatory concerns. SEC delayed a crypto regulation meeting. Gemini posted another loss despite revenue increases. Goldman Sachs is bullish on active ETFs with a purchase of SPYI/QQQI issuer. BlackRock’s Rieder says yen rebound hinges on BOJ hawkishness. Berkshire padded its Delta and Alphabet stakes. Boeing analysts turned most bullish in four years on a momentum shift.

Markets Outlook

EM currencies capped their best streak since 2024 as stocks rebounded on AI optimism. Leveraged ETFs snapped back as the "casino crowd" minted $50 billion. FOMO insurance drives options buying spree as stocks rally. Treasury market faces toxic codependency. Inflation market stays above target. Dollar touched its lowest since May as retail data dimmed Fed bets. European equities are drawing attention from investors. Korean won bounced as Kospi slumped. Singapore stocks surged with a "Goldilocks" growth boost.

Geopolitical & Policy

China revised the timing of its July economic data release. China protests Japan’s prime minister and defense minister over Yasukuni shrine visits. India’s PM Modi unveiled chip and nuclear plans in his Independence Day speech. Malaysia’s PM Anwar pledged faster reforms after electoral defeats. Peru’s economy unexpectedly slowed in June due to fishing and agriculture slumps. Zambia suspended vote counting amid reports of violence. Brazil markets tumbled on election anxiety as Lula’s lead narrows. Venezuela seeks to recover $4 billion in gold from the Bank of England.