The Market ThesisDaily Summary
Asia & Pacific Edition
August 4, 2026 at 5:30 AM ET
By MacroGlide's Analysts
Markets Recap for August 3, 2026
Japan and US Coordinate Yen Intervention Amid Currency Volatility
What's in the markets today?
Japan announced a coordinated yen intervention with the US, aiming to counter sharp currency swings after recent volatility in the foreign exchange markets. The Nikkei 225 dropped 0.94% as exporters digested the stronger yen, and the TOPIX declined by 1.08% reflecting broad equity pressure. China’s latest RatingDog Manufacturing PMI slipped to 50.9, marking its second straight monthly decrease and highlighting weaker demand in the country’s factory sector. Mitsubishi UFJ Financial Group reported quarterly EPS of 0.32, coming in below consensus and signaling sustained profitability headwinds for Japanese banks. Meanwhile, copper prices were boosted by growing AI-driven demand from the US and China, keeping the commodity near record highs.
Benchmark Moves
The Nikkei 225 dropped 0.94%, weighed down by the yen's strengthening against the dollar amid intervention concerns. The Hang Seng Index gained 0.48%, buoyed by increased copper demand related to AI developments. South Korea's KOSPI faced a sharp decline, down 5.12%, reflecting a broader regional sell-off.
Market data as of Aug 3, 2026 at 4:00 PM ET.
Market data as of Aug 3, 2026 at 4:00 PM ET.
Market data as of Aug 3, 2026 at 5:00 PM ET.
Key Financial Reports
Asian companies reported mixed earnings, reflecting varying market conditions. Mitsubishi UFJ (MUFG) missed expectations with an EPS of 0.32 compared to the estimated 0.34, indicating potential operational challenges. In contrast, Nissan (NSANY) exceeded expectations with a profit of 0.014 EPS versus an estimated loss of -0.142, suggesting improvement in cost management. Overall, these results indicate a divided market outlook, influenced by sector-specific pressures and regional economic conditions.
EPS reported on August 3, 2026 ET. Figures use each company's reported basis.
Key Macroeconomic Reports
Recent macro indicators suggest a deceleration in economic activity across the region. Japan's Manufacturing PMI printed at 50.9, below expectations of 51.5, signaling weakening factory performance. Similarly, Malaysia's inflation gauge remained elevated, reinforcing inflationary pressures. This environment reflects broader slowdowns, suggesting that policymakers may need to adjust their strategies to support growth.
Macroeconomic data released on August 3, 2026 ET.
Top Stories
A quick look at the five stories that shaped today's market sentiment. Explained with brief context highlighting why each story mattered today.
Source: Australian Financial Review
This hasn’t happened in markets in 28 years. It could mark a new era
The U.S. and Japan have coordinated a rare intervention in currency markets, the first such action in nearly 30 years. This move could significantly impact investors, including those in Australian super funds. President Trump commented on Japan's historical relationship with the U.S., referencing past tensions. The intervention aims to stabilize the yen amid fluctuating market conditions.
Source: Nikkei Asia
US and China AI demand drives copper prices to near-record highs
Copper prices are nearing record highs due to increased demand in the U.S. and China, driven by the need for materials essential to artificial intelligence infrastructure. As American buyers rush to secure supplies ahead of potential tariffs, inventories outside the U.S. have declined. This surge in demand highlights the growing significance of copper in the tech sector.
Source: CNBC — Asia Pacific
Alibaba shares rally after unveiling its 'most powerful' AI model as U.S.-China competition heats up
Alibaba has introduced its latest AI model, Qwen3.8-Max, which features 2.4 trillion parameters, making it one of the most powerful in its lineup. Scheduled for release next week, the model can handle extensive data, supporting a context window of up to 1 million tokens. Following the announcement, Alibaba's shares rose by 4.5% in New York and 7% in Hong Kong, reflecting investor optimism amid heightened U.S.-China competition in AI.
Source: CNBC — Asia Pacific
CNBC Daily Open: Markets exhale as Trump steps back, OPEC+ steps up
Oil prices fell over 4% after President Trump called off a planned military strike on Iran, leading to a reassessment of risk premiums. OPEC+ announced a production increase of approximately 188,000 barrels per day, completing a rollback of a previous 1.65 million bpd cut. The U.S. and Japan also confirmed their first coordinated foreign-exchange intervention since 1998 to support the yen, which traded at 157.84 yen per dollar, down from a recent high of 164.
Source: Australian Financial Review
Qantas eyes major outsourcing move with Accenture-backed AI deal
Qantas is in advanced talks to outsource up to 1,000 jobs to India through a partnership with Accenture as part of its cost-cutting initiative, Project iQ. This plan involves outsourcing roles in marketing, finance, human resources, and other back-office functions. A decision on the outsourcing plan is expected later this year, as the airline seeks to modernize its operations with artificial intelligence.
Other Headlines
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Asia & Pacific Edition
August 4, 2026 at 5:30 AM ET
Markets Recap for August 3, 2026
Japan and US Coordinate Yen Intervention Amid Currency Volatility
What's in the markets today?
Japan announced a coordinated yen intervention with the US, aiming to counter sharp currency swings after recent volatility in the foreign exchange markets. The Nikkei 225 dropped 0.94% as exporters digested the stronger yen, and the TOPIX declined by 1.08% reflecting broad equity pressure. China’s latest RatingDog Manufacturing PMI slipped to 50.9, marking its second straight monthly decrease and highlighting weaker demand in the country’s factory sector. Mitsubishi UFJ Financial Group reported quarterly EPS of 0.32, coming in below consensus and signaling sustained profitability headwinds for Japanese banks. Meanwhile, copper prices were boosted by growing AI-driven demand from the US and China, keeping the commodity near record highs.
Benchmark Moves
The Nikkei 225 dropped 0.94%, weighed down by the yen's strengthening against the dollar amid intervention concerns. The Hang Seng Index gained 0.48%, buoyed by increased copper demand related to AI developments. South Korea's KOSPI faced a sharp decline, down 5.12%, reflecting a broader regional sell-off.
Indexes
Detailed View →Market data as of Aug 3, 2026 at 4:00 PM ET.
Stocks
Detailed View →Market data as of Aug 3, 2026 at 4:00 PM ET.
Commodities & Crypto
Detailed View →Market data as of Aug 3, 2026 at 5:00 PM ET.
Key Financial Reports
Asian companies reported mixed earnings, reflecting varying market conditions. Mitsubishi UFJ (MUFG) missed expectations with an EPS of 0.32 compared to the estimated 0.34, indicating potential operational challenges. In contrast, Nissan (NSANY) exceeded expectations with a profit of 0.014 EPS versus an estimated loss of -0.142, suggesting improvement in cost management. Overall, these results indicate a divided market outlook, influenced by sector-specific pressures and regional economic conditions.
Earnings Per Share (EPS)
Detailed View →EPS reported on August 3, 2026 ET. Figures use each company's reported basis.
Key Macroeconomic Reports
Recent macro indicators suggest a deceleration in economic activity across the region. Japan's Manufacturing PMI printed at 50.9, below expectations of 51.5, signaling weakening factory performance. Similarly, Malaysia's inflation gauge remained elevated, reinforcing inflationary pressures. This environment reflects broader slowdowns, suggesting that policymakers may need to adjust their strategies to support growth.
Macroeconomic Data
Detailed View →Macroeconomic data released on August 3, 2026 ET.
Top Stories
A quick look at the five stories that shaped today's market sentiment. Explained with brief context highlighting why each story mattered today.
This hasn’t happened in markets in 28 years. It could mark a new era
The U.S. and Japan have coordinated a rare intervention in currency markets, the first such action in nearly 30 years. This move could significantly impact investors, including those in Australian super funds. President Trump commented on Japan's historical relationship with the U.S., referencing past tensions. The intervention aims to stabilize the yen amid fluctuating market conditions.
Source: Australian Financial Review
US and China AI demand drives copper prices to near-record highs
Copper prices are nearing record highs due to increased demand in the U.S. and China, driven by the need for materials essential to artificial intelligence infrastructure. As American buyers rush to secure supplies ahead of potential tariffs, inventories outside the U.S. have declined. This surge in demand highlights the growing significance of copper in the tech sector.
Source: Nikkei Asia
Alibaba shares rally after unveiling its 'most powerful' AI model as U.S.-China competition heats up
Alibaba has introduced its latest AI model, Qwen3.8-Max, which features 2.4 trillion parameters, making it one of the most powerful in its lineup. Scheduled for release next week, the model can handle extensive data, supporting a context window of up to 1 million tokens. Following the announcement, Alibaba's shares rose by 4.5% in New York and 7% in Hong Kong, reflecting investor optimism amid heightened U.S.-China competition in AI.
Source: CNBC — Asia Pacific
CNBC Daily Open: Markets exhale as Trump steps back, OPEC+ steps up
Oil prices fell over 4% after President Trump called off a planned military strike on Iran, leading to a reassessment of risk premiums. OPEC+ announced a production increase of approximately 188,000 barrels per day, completing a rollback of a previous 1.65 million bpd cut. The U.S. and Japan also confirmed their first coordinated foreign-exchange intervention since 1998 to support the yen, which traded at 157.84 yen per dollar, down from a recent high of 164.
Source: CNBC — Asia Pacific
Qantas eyes major outsourcing move with Accenture-backed AI deal
Qantas is in advanced talks to outsource up to 1,000 jobs to India through a partnership with Accenture as part of its cost-cutting initiative, Project iQ. This plan involves outsourcing roles in marketing, finance, human resources, and other back-office functions. A decision on the outsourcing plan is expected later this year, as the airline seeks to modernize its operations with artificial intelligence.
Source: Australian Financial Review
Other Headlines
Kevin Warsh’s invisible man routine has bond markets all at sea
What the market is saying about the U.S. intervention to prop up the yen
‘Short that kept giving’: Tynan closes lucrative Corporate Travel bet
CNBC's The China Connection newsletter: AI wins come with an old investor risk
Politics of falling house prices will get uglier as downturn builds
Japan vows further yen intervention with US if needed
The ‘Mar-a-Lago effect’ has reached the Fed
China's factory gauges show more signs of slowdown on weak demand
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