Public Markets 8 Hours

Last updated: August 4, 2026, 5:32 AM ET

Global Equities and Markets

European indexes opened strongly, with gains in defense and AI-related stocks. Europe's stock market has shown a meaningful improvement in risk appetite recently, supported by fresh capital inflows and better-than-expected earnings. Europe Inc. is delivering one of the strongest earnings scorecards in years, positioning regional stocks for fresh peaks as analysts become more optimistic across a broad range of sectors. Spanish stocks are offering a respite for tech-weary investors, although the country's relative isolation from AI trends may not persist. U.S. stock futures rose, while oil edged higher in early European trade as investors awaited U.S. job openings data for June.

Corporate Earnings and Deals

Segro has accepted a £14 billion takeover offer from U.S. rival Prologis, with the final bid submitted last month. Prologis is set to acquire Segro for $18.8 billion, and Segro's directors intend to unanimously recommend the offer to shareholders. HSBC posted a sharply higher quarterly profit, with pretax profit increasing across its four key segments, particularly in supporting affluent clients. The bank is also planning a $1 billion share buyback, and the wealth management and insurance business in Hong Kong has boosted Europe's biggest lender. HSBC's CEO indicated the lender will consider boosting its bonus pool for bankers if strong performance continues. BP's oil profits surged as its pivot away from fossil fuels continues, with plans to offload its U.S. biogas unit for approximately $4 billion. The British oil major intends to sell its Archaea biogas business as its oil trading and higher energy prices have lifted profits. Saudi Aramco reported a 33% profit surge, driven by higher oil prices, despite disruptions in the Strait of Hormuz, which were circumvented using pipelines. The company stated that attacks last month did not materially impact its operations and that it is working to expand oil export capacity. Toyota plans a $6.3 billion buyback, with a weak yen boosting its outlook, and the world's biggest carmaker expects to sell over 5 million hybrid electric vehicles this year. The Japanese carmaker reported a 76% surge in first-quarter net profit, aided by increased hybrid electric vehicle sales, and raised its annual earnings forecasts.

Automotive and Industrial Sectors

Volvo Car sales slipped 4% due to weakness in China, although sales in the U.S. increased for the third consecutive month with double-digit percentage growth, while European deliveries remained steady. Continental is on track to meet its tire guidance despite higher raw material costs, and the German tire company is in the final stage of its strategic realignment, warning of a substantial increase in raw-material costs in the second half of the year. Lufthansa warned of profit risks as jet fuel volatility and shortened booking cycles complicate efforts to boost profit, tightening its 2026 guidance after a profit slump. The carrier group reported a net profit of €123 million for the second quarter, a significant decrease from €1.01 billion in the prior-year period.

Commodities and Currencies

Oil prices rebounded, with Brent crude up 1.3% and WTI up 0.6% after a selloff triggered by optimism over Middle East talks, though Brent crude remained below $85 a barrel. Gold prices rose as investors weighed mixed signals on U.S.-Iran talks and awaited U.S. jobs data, with Chinese institutional investors buying gold to arrest its decline and keep prices above $4,000 an ounce. Copper advanced to its highest in two months, approaching $14,000 a ton in London, as traders monitored increasing volumes of the metal in the U.S. ahead of a decision on import tariffs. Iron ore traded near a 13-month low, potentially threatening higher-cost production. The euro traded flat against the dollar, and ING suggests the currency could struggle to rise as it appears modestly overvalued. Japan has alternative tools to defend the yen without liquidating its over $1.1 trillion U.S. Treasury portfolio, according to Citigroup Inc. Japan vows further action with Washington if needed to support its currency. Japan's historic joint intervention with the U.S. is shifting market focus to whether the yen can strengthen beyond 155 per dollar, a threshold strategists view as the key test for the rally's sustainability. The bid to support Japan's currency shows the U.S. is ready to scupper trades that push against its interests.

Financial Markets and Technology

SpaceX’s first earnings report following its initial public offering is a highly anticipated event on Wall Street. European bonds are becoming a safer choice for fund managers navigating a more challenging global backdrop. Infinx Services Pvt. a healthcare revenue cycle management company, is considering an initial public offering of as much as $300 million in India. The U.S. Department of Defense has canceled a tender to purchase lithium for its strategic stockpiles, indicating challenges in bolstering supplies of critical minerals. Google's finance machine for Anthropic involves private credit, chip leases, and data center guarantees, underpinning a new model for AI spending totaling $200 billion.

Other Developments

Nigeria has approved a $4.5 billion arrangement with its state-owned energy firm to bolster foreign-exchange reserves and government spending on infrastructure. Bayer AG posted better-than-expected profit in the second quarter, aided by a strong performance in its crop science business. The company said its 2026 sales and earnings forecasts remain unchanged when adjusted for currency changes, and year-end net debt would be lower than originally projected. BP intends to sell its biogas business as its oil trading and higher energy prices lifted profits.