What are the main events for today?

• Global stock markets are showing signs of fragility due to stretched valuations and a "late-cycle" warning pattern where dominant components weaken while headline indices remain high. • In Thailand, foreign capital returned to equities in 2026 following three years of net outflows, successfully pushing the SET Index above 1,500 points.

• Global stocks edged higher as investors balanced market sentiment against oil price pressures caused by increased supply. • HSBC chief Asia economist Frederic Neumann warns that stretched manufacturing, El Niño-driven food costs, and weak currencies are forcing monetary officials to remain defensive.

• Asian stock markets trended higher following a rise in Wall Street futures, driven by expectations of strong corporate earnings and a decline in oil prices. • Lower inflation concerns have reduced the immediate likelihood of a Federal Reserve rate hike, encouraging investor optimism regarding an AI-driven tech profit boom.

• Asian stock markets rose, with the MSCI Asia Pacific Index climbing 0.3% as a rebound in technology stocks continued to support regional growth. • South Korea saw the strongest performance, with the benchmark Kospi index increasing by 1.8%.

• South Korea's second-quarter earnings season begins this week, featuring major reports from LG Energy Solution Ltd. on Monday and Samsung Electronics Co. on Tuesday. • The reporting period serves as a critical test for the ongoing semiconductor rally, as investors look for concrete financial data to support the sector's growth.

• Investors are increasingly shifting toward lower-tracking-error and systematic investment strategies as global equity markets become more concentrated. • AllianceBernstein's Monappa notes a dramatic increase in quantitative approaches, driven by narrow AI-led rallies in the US, Taiwan, and Korea.

• Asian markets saw a mixed performance as Japan and South Korea led stocks lower, primarily driven by a pullback in chipmakers following a previous rebound. • In contrast, Hong Kong’s Hang Seng index rose by 1.1% and Indonesia’s Jakarta Stock Exchange Composite Index increased by 0.8%, while Australia’s S&P/ASX 200 remained largely unchanged.

• South Korea's KOSPI index fell 0.50% as foreign investors continued a selling streak for the 11th consecutive day. • The downturn occurred as markets braced for volatility ahead of Samsung's upcoming earnings report, which is expected to highlight "explosive" AI growth.

• The Globe and Mail identifies Microsoft Corp (MSFT-Q) as a top stock recommendation due to its leadership in artificial intelligence infrastructure. • The company is leveraging its strategic partnership with OpenAI to drive growth, reporting an 18% increase in revenue.

• Burkina Faso has officially severed diplomatic ties with France, citing foreign interference and violations of its national sovereignty. • In a separate political development, Mayor Elke Kahr secured a significant victory in recent elections, maintaining her administration's hold since 2021.

• The Indian stock market surged on Monday, with the Sensex climbing 500 points to its day's high and the Nifty approaching the 24,400 mark. • Defence shares saw significant gains of up to 6%, driving the BSE India Defence and Nifty India Defence indices up by over 1% each.