Latest financial and economic news and analysis
Elon Musk's remarks during the SpaceX earnings call may alleviate some of the concerns about the sustainability of AI capex and the distant threat of oversupply for semiconductor stocks.
Treasury yields moved lower as investors eye a potential deal to unlock the Strait of Hormuz.
Shoals Technologies delivered robust Q2 results, with revenue up 47.4% Y/Y and a record $801M backlog, but shares fell 6%. SHLS's BESS segment and strong EBOS foundation position the company for long-term growth, especially as AI drives energy demand. Margin pressures from tariffs and new facility ramp-up have weighed on profitability, but Q2 showed early signs of stabilization.
Implied volatilities were mixed across asset classes last week as investors weighed stronger-than-expected corporate earnings against rising yields and persistent geopolitical risks. Strong earnings led to a broad decline in equity vol last week, with the VIX Index down 2.6 pts to 16% and the VIXEQSM Index down 3.4 pts to 44%.
Exagen delivered a standout quarter, with 16% revenue growth, record ASP, and near-breakeven adjusted EBITDA, reinforcing the turnaround thesis. XGN raised full-year revenue guidance to $72-75M, with Pharma Services revenue tripling and backlog growing, highlighting new long-term growth levers. Operating margin improved to -8.6%, and Q2 cash generation turned positive, signaling tangible progress toward profitability and improved liquidity.
AmpliTech Group is transitioning from a niche RF component supplier to a higher-value Open RAN infrastructure provider, driving significant revenue growth. AMPG reported 165% FY2025 revenue growth and gross margins near 50% in Q1 2026, with management reaffirming at least $50 million 2026 revenue guidance. Recent FCC and ISED certifications for new Open RAN and 5G products validate AMPG's commercialization efforts and support the evolving investment thesis.
Canadian oil and gas producer Gran Tierra Energy said on Wednesday it had agreed to sell its Colombian and Ecuadorean oil operations to France's Maurel & Prom for $1.33 billion, including debt.
Europe's Stoxx 600 index closed at a record high on Tuesday. It is up 10% in 2026, though the sectoral picture is mixed.
British clothing retailer Next edged up its annual profit outlook for the third time this year on Wednesday, as it reported a better-than-expected 9.2% rise in second quarter full price sales.
The prospect of an interim deal focused on the Strait of Hormuz gained traction after Qatar said a proposal had been drafted. A short-term deal could help normalize commercial shipping in the strait and prevent the resumption of fighting in the Middle East.
Iran is considering allowing European nations to remove mines from the Strait of Hormuz in a potential climbdown that could form part of a deal to normalize shipping in the waterway. Iran has repeatedly said it won't allow foreign countries to join demining efforts, but in private meetings in recent weeks Tehran has softened that stance, according to diplomats familiar with the matter.
Golub Capital BDC remains a 'Hold' due to persistent non-accrual increases and a razor-thin dividend coverage ratio. GBDC's 100% dividend coverage offers no safety margin; a second dividend cut in 2026 is increasingly likely if current trends persist. Portfolio value declined 8.5% year-over-year, with non-accruals rising to 1.9% at fair value, exacerbating dividend risk.
Kansas City Fed President Jeff Schmid said Tuesday that the Federal Reserve's inflation problem isn't only about energy, and bringing inflation down to the Fed's 2% objective will require tighter policy.
China has eased limits on refined fuel exports for a second month in August, giving refiners temporary approval to ship 2.7 million metric tons to destinations excluding Hong Kong and Macau, five industry sources with knowledge of the matter said.
India's central bank on Wednesday held benchmark interest rates at 5.25%. India's retail inflation climbed to an 18-month high in June, crossing the central bank's medium-term target of 4% for the first time in over a year.