Market Musings 8/5/2026
Quick thoughts on the markets and major portfolio news. Not on Ursa yet? Download Ursa from the App Store!
A volatile July market recap with optimism resuming in August…
July was turbulent despite the S&P 500 finishing just slightly lower -0.1%. #AI buildout names tumbled, but those losses were mostly offset by rotation into the broader market. Let’s dig in…
First, the US-Iran war #GlobalTension. The ceasefire fell apart sending oil prices rebounding and retail gas creeping right back up. By late July, the US had resumed daily strikes causing investors to look past cooler June #Inflation and worry about new energy shocks.
Second, the Fed. Officials held rates flat, but left markets anxious that they aren’t intervening fast enough with #RateHikes to tame mounting headwinds. Bond markets began to compensate for the Fed inaction on its own.
Finally, the #AI trade. Investors hit the brakes hard as hyperscalers made plans to sell off data center capacity. Markets took that as signal that monetization isn’t keeping pace－threatening future infrastructure spend.
So, what now?
#GlobalTension worries appear to be fading again. With US strikes halted and pushing for a new ceasefire deal to reopen the Strait of Hormuz, markets have rallied hard into August. Oil prices have tumbled so far this month as well as treasury yields—though #RateHikes odds for later this year remain high.
Meanwhile, #BigTech earnings sparked an #AI rebound. We’re seeing early monetization progress through selling compute, but anyone raising CapEx is still getting punished…
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The statements, opinions and analyses presented here are provided as general information. This article is the opinion of the author. Anything within this article should NOT be considered an investment recommendation or advice. See Ursa’s full disclosures here.
Original Photo by Pixabay.