Central banks stood still, but bond markets did not

How the most celebrated fund in artificial intelligence sold its entire listed book to a competitor, and what the wreckage says about the rest of us.

Global equities advanced despite the week between 24-31 July despite some by sharp divergences. Big Tech earnings split investors between AI capex winners and losers, the Federal Reserve held rates amid its first multi-member dissent in decades, and oil extended its climb on escalating Middle East tensions. Korean and Taiwanese equities were rocked by extreme volatility as leveraged AI-related positioning unwound and then violently reversed, while resilient eurozone growth data and broad emerging-market strength helped underpin the wider advance. This report examines the key drivers behind the past week's market moves, with a focus on US mega-cap earnings dispersion, the Fed's policy signals, and the forces behind Asia's dramatic swings.

Apple just proved earnings don't need an AI narrative. Big Tech, meanwhile, has gone from paying shareholders to asking them for cash. Each week, the Syz investment team takes you through the last seven days in seven charts.

The Nasdaq, the Dow, and S&P 500 Index all advanced, while the Russell 2000 Index was little changed, in a week characterized by sharp swings tied to the Fed’s policy meeting, the ongoing U.S.-Iran war, and volatility in AI-related shares. Consumer discretionary led the S&P 500 sectors—supported by a late-week rally in Amazon shares. Concerns about the sustainability of heavy AI investments continued early in the week, with many AI-related shares coming under pressure amid questions about elevated capex, circular financing, and rising competition. However, sentiment reversed sharply on Thursday after Microsoft reported stronger-than-expected growth in its Azure cloud business and issued an encouraging outlook, helping support a broad rebound in recently weak tech stocks. The Fed left the rate target range unchanged. However, three policymakers dissented, voting instead to raise rates.

AI investment is now the consensus explanation for a resilient 2026 US economy, and the scale remains striking.

Flash note following the FOMC meeting 29 July 2026

Brent oil price passed $100/barrel last Thursday, pushing global government yields to year-to-date highs

Global equity markets for the period 17–24 July 2026, covering the sell-off in AI-exposed growth stocks amid capex and cash-flow concerns, a renewed spike in oil prices following Middle East escalation, and continued strength in Q2 corporate earnings across the US, Europe, and Asia. Covers performance across major indices including the S&P 500, Nasdaq 100, STOXX 600, and MSCI Emerging Markets, with sector-level detail on energy, defence, technology, and financials.

From tightening oil chokepoints to mounting AI-related debt and a widening credit-market divide, energy, capital and geopolitics are telling a single story of scarcity and strain. Each week, the Syz investment team takes you through the last seven days in seven charts.