Bloomberg — 2026-07-26#

Lead Story#

The US refrained from striking Iran for a second consecutive night, easing Middle East supply fears and sending oil prices tumbling while US equity futures rose. The pause in hostilities also lifted gold prices as immediate inflationary concerns cooled. However, the recent energy market volatility has put bond markets on edge, with traders now pricing in a greater than one-in-three chance that the Federal Reserve will raise interest rates this Wednesday.

Markets & Economics#

• Big Tech Earnings Slam Into a Market in Revolt Over AI Spending: The tacit agreement between investors and US technology giants is breaking down, as markets are suddenly refusing to reward lavish artificial intelligence spending even when revenues are rising.
• Kiwi Will Outpace Euro on Widening Rate Gap, Strategists Say: The New Zealand dollar is expected to reach its strongest level against the euro in over a year. Strategists base this forecast on expectations that New Zealand’s central bank will raise interest rates faster than its European counterpart.
• Brazil ETF Market Triples in Boom for New Latin America Funds: Exchange-traded funds are rapidly expanding across Latin America, driven by investors flocking to a wave of new products uniquely tailored for domestic demand.

Business & Industries#

• Brown-Forman Rejects Sazerac’s Unsolicited Takeover Bid: Jack Daniel’s parent company Brown-Forman Corp. officially rejected a renewed, unsolicited $15 billion takeover offer from alcohol manufacturer Sazerac Co.
• Shein Reveals Slowing Profit in Filings Ahead of Hong Kong Debut: Fast-fashion giant Shein Group Ltd. disclosed softening profitability and decelerating revenue growth in its first detailed financial look ahead of an anticipated initial public offering in Hong Kong.
• EQT Lifts Takeover Offer for Perpetual to $1.8 Billion: Private equity firm EQT AB sweetened its bid to acquire Australian investment management firm Perpetual Ltd. to roughly A$2.6 billion ($1.8 billion).
• How China Plans to Supercharge Its AI Ambitions With Six Networks Program: Beijing is launching a multi-trillion-dollar infrastructure initiative to establish a foundation for long-term artificial intelligence growth amid escalating technological competition with the US.

Policy & World#

• Modi Punctured as Awakened India Students Force Swift Retreat: Indian Prime Minister Narendra Modi conceded to rapid demands from a newly formed youth movement, resulting in the exit of a minister and marking a rare political retreat for his administration. Modi has subsequently appointed a veteran leader to rebuild public trust in the country’s education system.
• US Presses Mexico to Mirror Its Steel Tariff Wall Aimed at China: Washington is pressuring Mexico to implement Section 232-style duties on steel and aluminum imports from outside North America in order to match US tariffs. Meanwhile, President Donald Trump’s newly enacted global tariffs are already facing domestic legal challenges over alleged abuses of trade law.
• Burnham to Host Zelenskyy in Signal of Continued UK Support: New UK Prime Minister Andy Burnham will host Ukrainian President Volodymyr Zelenskyy on Monday, his first international visitor since taking office. Burnham also stated he is prepared to call out President Trump on issues of UK national interest if required.
• Brazil Recalls Ambassador After Milei Attacks Lula, Judge: Brazil’s government recalled its ambassador to Argentina for consultations after Argentine President Javier Milei launched a fierce rhetorical attack on Brazilian President Luiz Inácio Lula da Silva during a weekend political rally.

Opinion & Analysis#

• China’s Building Crash Helps Ease the Hormuz Pain: The global energy market is currently discovering just how little diesel China can operate with, helping to inadvertently cushion the impact of Middle East supply threats.
• Which Is the Better Investment: Crypto or the Moon?: This analysis compares the magical thinking behind both Bitcoin mining and lunar real estate deeds, noting that only one has managed to garner Jamie Dimon’s stamp of approval.