Stocks Rise on AI Confidence; Tensions Mount in the Middle East

Macroeconomic Trends and Monetary Policy - Japanese stocks declined following an unexpected slowdown in economic growth, specifically in capital investment and consumption, while the Japanese yen strengthened amid broad U.S. dollar weakness [1] - The U.S. NASDAQ 100 futures rallied, regaining most losses from July and trading up more than 6%, while the U.S. 2-year Treasury yield dropped to 4.1542% and the 30-year yield reached 5.2572% [1][4] - China's economy lost momentum as GDP growth likely decelerated to 4.1%, missing estimates and falling below the annual growth target, alongside slowing retail sales growth [3] Corporate Finance and Technology Sector - Alphabet sought to raise more than 3 billion U.S. dollars through its debut bond offering in Australia to fund artificial intelligence ambitions, contributing to a global AI bond binge [1][3] - Jane Street recorded a 15 billion U.S. dollar monthly loss in July due to investments in situational awareness and market volatility, marking its first monthly drop in a decade [3] - Ferrari sold its first-ever fully electric vehicle for 40 million U.S. dollars, making it the most expensive new car ever sold at an auction [1][3] Geopolitics and Commodity Markets - Brent crude oil approached 90 U.S. dollars per barrel, supported by Middle East tensions and shipments of 4 million to 5 million barrels per day passing through the Strait of Hormuz [2][7][9] - European natural gas prices rose to 3-week highs at 62.20 euros per megawatt-hour, with storage levels potentially dropping to about 20% by the end of winter [1][4] - U.S. beef sales volume fell 0.3% year-over-year in the week ending mid-July as prices became too expensive for American households [7]