Public Markets 8 Hours

Last updated: August 12, 2026, 11:41 AM ET

Equities

US stock futures extended gains after July inflation data came in line with expectations, clearing the way for an earnings-led tech rally. Ed Yardeni raised his S&P 500 year-end target to 8,400, citing “fabulous earnings momentum.” Tech earnings from Super Micro and Core Weave rekindled the AI trade, and optical component makers surged on confidence in AI spending. Emerging-market stocks rose, led by Asian chipmakers as upbeat results from AI infrastructure firms revived appetite. European indexes mostly fell in opening trading as continued Middle East tensions weighed on sentiment.

New York City’s five pensions gained 13% over the past fiscal year, beating their investment target thanks to a record-breaking US stock market. Norway’s $2.3 trillion sovereign wealth fund delivered a record first-half return of 9.4%, with its CEO calling it “as good as it gets.” The fund’s record profit of nearly $185 billion was buoyed by a rally in Asian tech stocks.

Vestas Wind Systems shares jumped after the wind-turbine maker raised its profit guidance and announced a share buyback, while its Q2 earnings growth and margin upgrade sent shares up 18.5%. Brinker International logged higher profit and revenue in its fiscal fourth quarter, fueled by continued momentum at Chili’s. Performance Food reported higher sales and profit in the fiscal fourth quarter as both costs and prices increased. Tata Group companies wiped out $4.5 billion in market value after Chairman Natarajan Chandrasekaran said he will step down. Tencent saw its profit-growth run snuffed out by surging AI spending, despite progress with its Hy3 model.

Vibe-coding startup Lovable hit a $13 billion valuation in a new funding round, catapulting the AI company into the ranks of Europe’s most valuable startups. Thrive Holdings, an AI-focused buyer of service firms, raised $2 billion with interest from SoftBank. Form Energy raised $750 million for rust-powered iron-air batteries that can run for 100 hours, pushing total fundraising past $2 billion. GM set a $4.5 billion supply-chain safety net to protect against disruptions.

Power plant stocks are losing steam as the data center backlash complicates the outlook for electricity demand. More than two-thirds of electricity sought for AI data centers in the US is likely phantom projects and long-shot pitches, according to a report. Bank of America committed $250 billion to US projects, joining rivals in backing critical industries. The bank separately plans to deploy $250 billion to bolster AI and energy infrastructure.

Wealth management faces a $3 trillion problem as investors keep too much cash in money-market funds, ignoring advisers’ pitches for bonds and other investments. Toyota Tsusho affiliate DMG Mori Co. is aiming to raise ¥48.2 billion ($302 million) through a share sale in overseas markets as global appetite for Japanese stocks remains solid. South Korea will require new investors in single-stock leveraged ETFs to undergo mock trading exercises, tightening rules on risky products.

Fixed Income

Bond traders held onto hedges that the Federal Reserve could raise rates in September, pricing in a roughly 50% chance after a tame inflation reading. Pimco’s Daniel Seidner said market angst over Fed credibility is unwarranted and that US bond yields at current levels look attractive. A benign inflation report would reduce urgency around a September rate rise. India’s inflation held within the RBI’s target range in July, cementing expectations that interest rates will stay unchanged for some time.

The bond market inflated the Powerball jackpot to $1 billion as low yields pushed lottery players toward bigger prizes. Emerging-market company bonds have outperformed US peers, with average borrowing costs falling to the lowest since January relative to US corporates as investors diversify into higher-yielding assets. Germany has asked interested parties to submit non-binding offers for nationalized energy company Uniper SE by September 21. Goldman Sachs agreed to acquire ETF provider Neos for up to $2.3 billion, continuing its push into asset management.

Commodities

Oil futures extended gains as markets remained skeptical that a deal to restore shipping through the Strait of Hormuz was imminent. OPEC again cut its forecast for global oil-demand growth this year, citing stalled Hormuz talks and risks. The IEA said the Hormuz standoff is derailing oil supply recovery and deepening the demand slump, while also raising its 2026 demand forecast. Russia’s crude-only production lagged behind its OPEC+ quota by almost 1 million barrels a day in July as Ukraine attacked infrastructure. Saudi Arabia reported to OPEC that it increased crude output by just over 1 million barrels a day last month, reflecting a recovery among Persian Gulf producers during a ceasefire.

Black Sea oil tanker rates surged to a record after a flurry of drone attacks, driving down prices for Kazakhstan’s main CPC export grade. Energy prices are expected to fall in the latest inflation data, but the war with Iran injected volatility. Gold prices rose as traders awaited the release of key US inflation data.

Lloyds Metals was authorized to work toward restarting a giant Papua New Guinea copper mine that’s been closed for almost 40 years and was once a flash point in a civil war. A Colombian earthquake disrupted a key coffee export road, pausing operations at the port handling most of the country’s bean shipments.

Currencies

The yen has become a growing issue for Japan and the US, but the impact of intervention is limited. China’s yuan has come under more pressure to appreciate since the US and Japan moved to strengthen the yen, potentially draining support for growth. CPI data and katsu curry prices illustrate the yen’s level: stronger-than-forecast US inflation would revive concern over higher rates. Brazil election jitters are prompting investors to pare exposure to one of the year’s most rewarding carry trades. The rand carry trade is luring foreign investors to South African bonds at the fastest pace since January, making it this month’s most lucrative emerging-market carry trade. US inflation data and the Middle East conflict could trigger more dollar volatility, with the dollar trading steady ahead of the release.

Other Markets & Regulation

MEMX filed to list prediction market-style bets on corporate earnings metrics, becoming the latest financial exchange to compete with prediction markets. New York City launched a sweeping investigation into the marketing practices of Polymarket and Kalshi. A judge dismissed Adani fraud charges in a case that had weighed on the conglomerate’s stocks. Switzerland is pushing ahead with post-Credit Suisse banking reforms, giving the financial regulator greater powers to intervene at troubled banks and levy fines.

The UK power grid called for extra generation capacity during a solar eclipse as supplies are likely to be stretched. Homeowners tight on cash are tapping into home equity, while the labor market slowed as employers grew wary of hiring. Carnival’s CFO discussed restoring the company’s balance sheet after the pandemic. Trump tariffs are forcing some Canadian companies to move south of the border. Scotland’s North Sea tax revenues dropped, fuelling debate on the oil and gas industry’s future. El Niño is likely to be one of the strongest on record and will hit the world economy.

Anthropic’s auditor is EY, raising questions about the AI company’s governance. Harrods is fighting with the Al Fayed estate over hundreds of sex abuse claims, seeking to make the billionaire’s estate pay for settlements. Paramount is threatening to pull out of California in a lawsuit by states seeking to block its big deal. Home Depot CEO Ted Decker will take a medical leave of absence, with a senior vice president and CFO overseeing operations.

Lending troubles at non-bank mortgage lender UWM signal stress in the housing market. A real estate fund run by Deutsche Finance Group plans to file for insolvency after losing a Boston life science investment. China’s commodity markets are defying the economic rulebook, surviving on lower prices and complicating Beijing’s struggle with weak inflation. The CPI and inflation are explained in detail, with the consumer-price index put together in ways economists study to track inflation.

Tech, Media & Telecom roundup includes insight on Samsung Electronics, Life360, Core Weave and more. Energy & Utilities roundup features E.ON and Channel Infrastructure. Auto & Transport roundup covers TKMS, Austal, Yangzijiang Maritime. Premium sneaker brand throttled wholesale growth, and Target hired its first chief AI officer. Vestas CEO says EU regulations prevent mergers needed to compete globally. Xero’s CEO shared leadership lessons learned from a tennis legend.

Potential ‘peak earnings’ set the stage for disappointing stocks: earnings growth has been too strong. The west has given China the keys to the medicine cabinet, as the US and Europe outsourced antibiotic production. Burnham will hold an emergency Cobra meeting in response to heatwaves, as several UK areas tackle wildfires and drought. Europeans, braced for a fifth heat wave of 2026, say summer has lost its appeal. President Trump exited Turkey after last month’s NATO summit, amid safety subterfuge.

Zhu Rongji, former Chinese premier who pushed China to a market economy, died at. Telescope spots two black holes on the cusp of merging, with new images from the James Webb telescope showing a galaxy with three supermassive black holes. Heat kills hundreds of workers each year, and a postal carrier was one victim. Blood tests for Alzheimer’s are causing confusion and distress, as they aren’t a guarantee of dementia. Deportees sent to Eswatini may never go free, as the Trump administration sends immigrants to countries they have no connection to. A reporter interviewed deportees in southern Africa using a cellphone obtained after a hunger strike.

Does my face-lift make me a bad feminist? explores the personal choice debate over plastic surgery. Wisconsin primaries saw a moderate win the Democratic primary for governor, while Francesca Hong’s defeat showed limits of the progressive movement. David Crowley’s victory beat back a progressive groundswell. Key takeaways from the week’s primaries include deportees stuck in ‘no man’s land’ and new Alzheimer’s tests causing distress.