BUSINESS

• The US released economic data for July focusing on the Personal Consumption Expenditures (PCE) deflators. • As the Federal Reserve's preferred gauge for inflation, the PCE is closely monitored despite being less timely than Consumer Price Index (CPI) indicators. • Current data suggests that inflationary pressures stemming from the conflict in Iran have not yet manifested in the PCE figures.

• The European Central Bank (ECB) is preparing to increase its key policy rates during its upcoming September meeting. • Sources indicate that the central bank currently has no appetite for further interest rate hikes following the September decision. • Policy decisions are determined by the ECB President, Christine Lagarde, alongside six permanent members and the heads of Eurozone national banks.

• The Reserve Bank of Australia (RBA) has reduced its target share of US dollars within its foreign reserves portfolio by 10 percentage points for 2025. • This strategic shift occurs as major banks predict another interest rate hike may be necessary this year to manage economic pressures. • Separately, China's vice-finance minister pledged in late August to implement additional fiscal support measures following a loss of economic momentum in the third quarter.

• Several key stocks, including ICICI Prudential AMC, Vedanta, Bharat Electronics (BEL), and PFC, are expected to be in the spotlight on Thursday, August 27. • Other companies likely to see significant market activity include Aye Finance, IRB Infra, Foseco India, and Juniper Green Energy. • These stocks are being monitored by investors as they may react to specific corporate developments, earnings reports, or broader market trends.

• Brent crude oil prices have declined for three consecutive days, dropping to approximately $86.7 per barrel, the lowest level seen in two weeks. • The downward trend began on Monday following details released by USTS Bessent regarding "Operation Economic Outcast." • This shift is significant as it signals a U.S. strategic preference for applying economic pressure over military re-escalation.

• Axis Bank's stock is currently being tracked via a real-time liveblog by The Economic Times to provide investors with immediate market analysis. • Key financial metrics reported include a last traded price of 1255.0, a market capitalization of 390,402.66, and a trading volume of 3,298,266. • The stock currently maintains a price-to-earnings (P/E) ratio of 14.06 and earnings per share (EPS) of 89.28.

• Indian equity markets closed sharply lower on Wednesday, with the Sensex dropping 183 points and the Nifty declining by 0.52%. • Gains in the banking and metals sectors were offset by a downturn in IT stocks, which weakened due to emerging visa concerns. • The market reversal highlights a shift toward caution, with technical signals suggesting that trading will remain range-bound in the short term.

• Markets are awaiting key U.S. economic data today, including Durable Goods Orders at 13:30 BST and Crude Oil Inventories at 15:30 BST, followed by Nvidia's second-quarter earnings after the market close. • CME FedWatch indicates the probability of a September rate increase has dropped to over 40%, down from 55% last month, driven by softer economic indicators and lower oil prices. • Investors are focusing on upcoming inflation reports and Chair Kevin Warsh’s scheduled Jackson Hole speech this Friday.

• Investors are facing mixed signals as private market managers' stock prices have performed poorly in 2026 despite solid returns from the underlying assets and funds. • Morningstar’s listed private equity index has shown some recovery after early-year losses, while firms like Blackstone continue to report solid earnings. • This disconnect highlights a gap between the valuation of asset management companies and the actual performance of the alternative investments they oversee.

• Silver is trading at $68.77, reflecting a modest daily increase of 0.17% amid a period of price stagnation. • The current price is supported by strong industrial demand and recent U.S. Treasury buyback expansions, though it remains below its long-term moving average. • Analysts are closely monitoring the $68.61 support level to determine if the metal can maintain its current position or face a downturn.

• Thailand’s central bank maintained its policy interest rate at 1.00% on Wednesday, a move widely anticipated by economists. • The decision comes as strong investment and technology-related exports provide economic support, offsetting weak household spending and limited lending to small businesses. • This stability reflects a balancing act by the central bank to sustain growth while addressing sluggish domestic demand.

• Forward-looking economic indicators surged in June 2026, despite moderate current activity and ongoing labor-market weaknesses. • The U.S. administration has implemented sanctions against over 70 Iran-related entities as part of an "economic D-Day" strategy. • A significant portion of these targets are based in mainland China or Hong Kong, as China currently purchases approximately 80% of Iranian oil.

• Capital market leaders and financial executives gathered at the 20th anniversary of the Thailand Focus conference to discuss strategies for reigniting foreign investor confidence. • Experts including Asadej Kongsiri of the Stock Exchange of Thailand and representatives from UBS, CLSA, and DBS highlighted that attractive valuations and emerging growth engines place the country in a "sweet spot" for investment. • The panel emphasized that achieving sustained growth depends heavily on political stability and the effective execution of government policies.

• The Bank of Thailand has unanimously decided to maintain its policy interest rate at 1% to continue supporting the country's economic recovery. • While overall credit has increased due to lending to large corporations for investment and working capital, loans to SMEs continue to contract as banks remain cautious. • Thai government bond yields have remained stable, resisting the upward trend seen in the bond yields of other major global economies.

• Thailand and Taiwan led Asian earnings upgrades in August, with BofA reporting a global revision ratio surge to 1.35 across all regions. • On a rolling three-month basis, Taiwan recorded the highest regional ratio at 2.02, followed closely by Thailand at 1.93. • Thailand's growth was driven primarily by analyst upgrades in the Energy, Materials, Banks, Consumer Discretionary, and Tech Hardware sectors.

• Wall Street indexes remained subdued on Wednesday, with the S&P 500 ending flat as tech gains were offset by losses in Meta, Nvidia, and various software stocks. • Market volatility was driven by hotter-than-expected July inflation data, which has increased investor bets that the Federal Reserve may implement a rate hike in September. • Investors are currently in a holding pattern, awaiting the upcoming earnings report from Nvidia to gauge the continued strength of the AI sector.

• Nvidia is scheduled to report its second-quarter financial results after the US market closes this Wednesday. • Analysts are anticipating revenue of approximately $92 billion (€78.8bn), reflecting the massive demand for AI hardware. • The report is viewed as a critical bellwether for the broader economy, as investors look to Nvidia's guidance to determine if the AI-driven market rally is sustainable.

• Financial markets are focusing on key economic indicators today, specifically the German IFO survey and the US Consumer Confidence report. • Investors are anticipating a massive volatility swing for Nvidia, with approximately $280 billion at stake as the company prepares to release its earnings. • The upcoming Nvidia report is viewed as a critical litmus test for the sustainability of the artificial intelligence boom and investor faith in AI growth.