Public Markets 8 Hours

Last updated: August 4, 2026, 11:32 PM ET

Asian Markets React to Geopolitical Hopes and Chip Sector Strength

Asian stocks tracked Wall Street higher as investors re-engaged with the artificial intelligence trade, which helped to fuel a rally in semiconductor stocks. Japanese stocks were higher thanks to renewed hopes for a U.S.-Iran deal to reopen the Strait of Hormuz. Australia’s stock benchmark briefly climbed to an intraday record on easing concerns over the US-Iran conflict and supportive signals in the domestic economy. Asian currencies consolidated against the dollar in early trade, but may strengthen on hopes for the reopening of the Strait of Hormuz which could bolster appetite for risky assets.

IPO Market Shows Mixed Signals Amidst Investor Sentiment Shifts

India is expanding the size of its offering to raise $3.3 billion amid strong demand for the Life Insurance Corp. of India (LIC) IPO. Evoken, Chinese startup behind AI design agent Lovart, is considering an initial public offering in Hong Kong, people familiar with the matter said. Attovia Therapeutics Inc., an early-stage drug developer focused on immune system diseases, raised $289 million in a U.S. initial public offering that priced at the top of its market. Manipal Health Ltd. is set for a muted stock market debut in Mumbai after its $960 million initial public offering, as gray market trading signals cooling investor sentiment.

Energy Markets Fluctuate on Strait of Hormuz Prospects

Oil fell in early trade amid prospects of a U.S.-Iran deal to reopen the Strait of Hormuz, a critical waterway through which one-fifth of the world’s oil is transported. Oil fell a third day on optimism a deal can be reached to reopen the Strait of Hormuz, potentially freeing up Persian Gulf supplies. U.S. stocks surged and oil fell sharply after Treasury Secretary Scott Bessent said the U.S. could reach a deal with Iran to reopen the Strait of Hormuz “today or tomorrow.” Gold rose in early Asian trade as markets continue to weigh the conflicting rhetoric between the U.S. and Iran. Gold gained a third day, as the prospect of an interim deal to reopen the Strait of Hormuz eased concerns about the outlook for inflation and reduced the odds of the Federal Reserve raising interest rates.

Tech and AI Sectors Under Scrutiny Amidst Investment and Risk

SpaceX spent $15.8 billion on AI projects in the second quarter and does not plan to slow down. Musk-led rocket company SpaceX said its capital expenditures jumped nearly seven times from a year ago, with revenue also rising. The Elon Musk-led rocket company's revenue nearly doubled in the latest quarter, though shares slid even as it announced its significant AI spending plans. AMD shares fell 8% as Elon Musk commits to Nvidia chips for SpaceX, despite the company’s sales to data centers doubling in the latest quarter. Whale Rock Management’s flagship hedge fund is one of the biggest losers in last month’s AI selloff, with a 21.7% drop in July erasing about half of its gains for the year. The semiconductor index fell into a bear market despite “unprecedented” profit increases. The U.S. Treasury framework will cover closed-source artificial intelligence models, but exclude those that publish the underlying code. AI Security warns tools undertook ‘potentially harmful activity directed at real people and organisations’. Businesses are increasingly adopting AI technology, but too few are covering potential risks.

Corporate Earnings and Dealmaking Reflect Shifting Market Dynamics

Wynn's second-quarter profit came in at $140.1 million, compared with a profit of $66.2 million a year earlier, driven by demand from wealthy customers. Prudential Financial reported second-quarter results that beat Wall Street estimates as revenue from its asset manager surged. Pinterest logged a second-quarter loss of $46.7 million due to higher costs, even as its sales rose 18% thanks to record monthly active users. Group’s second-quarter profit came in at $170.5 million, but revenue fell 1%, weighed down by sluggish results for Tinder. Disney will sell its stake in A+E Global Media to Hearst for about $1.2 billion, giving Hearst full ownership of prominent brands. Paramount, which struck a $111 billion deal to acquire Warner Bros., had requested a November trial for an antitrust lawsuit brought by state attorneys general. A dozen states sued to block the $81 billion Paramount-Warner Bros. merger, with the trial expected to last 12 court days. Resorts Ltd. said its first casino located in the Middle East will now open in September of next year.

U.S. Markets Show Resilience Amidst Economic and Political Factors

The S&P 500 rose 1.8 percent, pushing past its previous peak at the start of June and capping a big turnaround from a recent sell off in technology stocks. Treasury yields cooled amid a busy day of U.S. economic indicators and ahead of Friday’s employment report from the Bureau of Labor Statistics. Bond traders have been spending millions of dollars to guard against sharp declines in long-dated Treasuries that risk igniting a bigger bout of volatility in the $31 trillion market. One of the most dramatic foreign exchange market interventions in decades aims to stabilize the slumping yen and stave off a larger crisis. Arizona’s Democratic Governor Katie Hobbs plans to tap moderate former mayor John Giles to serve as her lieutenant governor if she wins in November. Representative Wesley Bell beat Cori Bush in a rematch and will be a heavy favorite in the safely Democratic district in November. The mayor fired corporate leaders from a city fund’s advisory board in the latest sign that he is changing the way such power brokers access City Hall.

Regulatory and Legal Developments Shape Industries

The Minnesota Department of Health said it had identified 110 salmonella cases in an outbreak, and the F.D.A. is also investigating Chipotle’s removal of jalapeños. Dr. Stephen Dubin, a wound care doctor in Nevada, is accused of applying unneeded, expensive wound coverings to seniors in a $95 million fraud scheme. The judge blasted the administration’s request for a dismissal in the Jan. 6 Oath Keepers case, saying it bestowed “unearned grace” on the defendants. The funds have been frozen since early in President Trump’s second term, but an appeals court says the E.P.A. cannot block billions in climate grants.

Automotive and Transportation Sectors Face Challenges and Opportunities

The EV maker Lucid posted a wider loss in its second quarter on charges related to job cuts, as the company continues to struggle with competition and a wider downturn for electric vehicle demand. Lucid’s new CEO predicts an industry “shakeout” and announces a $1.4 billion cost-cutting program, warning the U.S. cannot “stay isolated” from Chinese EV competition.

Other Notable Developments

South Korea which has one of the world’s lowest fertility rates, is in the throes of a breakdown in emergency care, particularly acute for at-risk newborns. A resident of Spokane County, Wash., said he noticed a man acting suspiciously and called 911 after seeing smoke, leading to an arrest tied to one of the wildfires in the area. After two steel beams buckled at a Manhattan high-rise last month, city officials conducted inspections at dozens of construction sites across the city, finding violations at many other sites. The malaria-carrying mosquito is resistant to all insecticides, and scientists are scrambling to find ways to blunt the risk as it spreads with alarming speed.