Public Markets 8 Hours

Last updated: August 31, 2026, 7:09 AM ET

Equities

US equities pulled back from recent highs as the two-year Treasury yield pared its gains, with investors parsing the latest signals from the Federal Reserve. The S&P 500 had closed the book on the summer selloff about a month ago, but the Nasdaq 100 remains about 4% below its June record, still tallying the bill for the season’s volatility. Emerging-market equities and currencies declined as investors weighed the prospect of higher US interest rates following hawkish comments from Fed Chair Kevin Warsh, with EM stocks falling across Asia and Latin America. The dollar eased against a basket of currencies, though Commerzbank said any rise in the currency could be limited as September rate hike expectations remain far from certain. In London, the junior Aim market faces an existential crisis, rocked by depressed valuations, poor investor appetite and inheritance tax changes that have sapped its appeal. Indian listed companies are meanwhile ramping up equity offerings to institutional investors as ample liquidity and improving sentiment open a window for one of the fastest routes to raise funds.

Commodities & Energy

Crop prices are set to cap their biggest monthly jump in more than a decade, as wars and extreme weather disrupt supplies, raising concerns about food inflation. The monthly gain is the largest since 2012, driven by conflict-driven disruptions and adverse conditions in key producing regions. Chinese coking coal prices were heading for the record monthly gainon supply of the steelmaking raw material tightens on the back of output disruptions and tougher safety checks, with prices up 46% in August. Oil climbed on fresh Mideast flare-up, with crude futures advancing as geopolitical tensions escalated. Goldman Sachs stepped up warnings of tightness in global refining driven by wars in the Middle East and between Moscow and Kyiv, more than doubling its forecasts for refining profits. China’s imports of liquefied natural gas are set to drop this monthfrom a year earlier, according to ship-tracking data, as higher prices triggered by the war in the Middle East weighed on consumption. The yen’s breach of 160 versus the dollar underscores the Japanese currency’s vulnerability, with the breach putting traders on intervention watch and heightening the risk of authorities entering the market again to slow its decline. Shipping has drawn long-term investors as the Middle East conflict boosts returns, with asset managers reporting interest from institutional investors seeking exposure to hard assets.

Deals & Corporate

China’s three largest state-owned airlines posted deeper losses, dragged by weak domestic pricingand high fuel costs spurred by the Middle East conflict, with the losses exceeding $1 billion in the first half combined. Shenzhen Longsys Electronics Co. is seeking to raise as much as HK$6.28 billion ($801 million) in a Hong Kong listing, extending the wave of Chinese companies along the AI supply chain seeking capital. Shares of Sungrow Power Supply Co., one of the world’s biggest renewable energy equipment makers, tumbled after the Chinese company reported a sharp drop in first-half profit, with the profit drop triggering ashare decline. A leading executive at Radiant World’s China office has quit, according to sources, as the iron ore trader comes under pressure over concerns it provided falsified documents, with the senior trader departing amid the document scrutiny. Spending on US gas projects has soared as national oil companiesand traders add to the rush, with the scramble for gas assets pushing dealmaking to a decade high. UK fintech Allica looks to Sweden to kick-start European expansion, with the neobank applying for a Swedish licenceto challenge Scandinavian incumbents that have curbed riskier lending. Crypto groups spent a record $640mn buying back their own tokens, employing a similar strategy to equity market repurchases in response to prolonged slump in the digital assets sector, with the buybacks reaching record levels.

Policy & Regulation

The head of the G20’s Financial Stability Board wrote that potential disruptions triggered by AI wouldn’t stop at national borders, urging countries to take steps to controlthe release of new frontier models, with the FSB warning highlighting growing threats to financial stability. Andrew Bailey, head of the world’s financial stability watchdog, echoed the concerns, warning of the AI cyber risks posed to the financial system. Germany is bracing for the biggest pension upheaval in 20 years, with reforms to the system that will funnel billions of eurosinto capital markets, as banks and insurers brace for the shift. Boaz Weinstein’s activist campaigns expose the strains in a centuries-old model, with UK investment trusts struggling to keep up the liquidity illusion. The Kremlin is redefining what it means to be a writer in Russia, with the crackdown on literature intensifying under Putin. Sílvia Orriols is transforming Catalan nationalism, with her movement shifting focus from fighting fascism to anti-immigrationand anti-globalism. A massive landslideand glacial collapse may have caused catastrophic flooding in Nepal and Tibet even without heavy rainfall, with more than 4,700 people remaining missingon Monday.

People & Leadership

Tim Cook hands over Apple’s CEO role to John Ternus on Tuesday after 15 years, with his legacy by the numbers showingthe company’s transformation under his leadership. Victoria Beckham’s beauty and fashion businesses have turned a profit for the first time, with the brand turnaround marked after years of losses. Cinven’s private equity co-heads say new focus on regulation will prevent repeat of problems like NHS price-gouging, with the bosses aiming to move past the regulatory scandal. Heckler & Koch faces competitionfrom global defence companies to replace the SA80 service rifle, with the German gunmakerwith loaded history setting sightson the British army’s next rifle contract. Ukraine’s ex-defence minister pitches a tech fund in Washington, with Fedirorov seeking US investment for defence innovation. Jane Street’s AI bets have gone sour,with the trading firm facing losseson its artificial intelligence strategies. SoftBank’s data-center venture offered a $5.5 billion perk to land OpenAI,with SB Energy’s agreement deepening its financial ties with the AI company. Wall Streetand Silicon Valley have high hopes for AI that interacts with the real world, but unionsand economists warn of its effects on jobsand wages,with the question of whether robots can save US manufacturing remaining open. The evolution of a truly multi-polar currency market depends on governments’ willingness to embrace technology,with the debate over whether financial innovationwill dethrone the dollar heating up. Pressure is on consulting giantsas companies demand savings,with AI’s threat to consulting forcingthe industry to adapt.