Key Global Events Shaping Financial Markets Part 2

8

Boeing's Starliner capsule's stay at the International Space Station exceeded expectations, leading to media reports about astronauts being “stranded” in space. NASA and Boeing expressed frustration with this narrative, emphasizing in a press release that astronauts Barry “Butch” Wilmore and Sunita “Suni” Williams are not stranded and will safely return to Earth. This marks Boeing's fifth significant “space mishap” this year.

Analysis:

Impact on FX:Negative corporate news could weaken the USD.

FX Pair:EUR/USD, USD/JPY, GBP/USD

Impact on Shares:

US Market:Negative impact on Boeing stocks and aerospace sector.

Companies:Boeing (BA), Lockheed Martin (LMT)

9

Elon Musk's SpaceX has been selected by NASA to build a spacecraft to deorbit and destructively re-enter the International Space Station (ISS).

• Contract Amount: The contract is worth up to $843 million.

• Mission Objective: SpaceX's new spacecraft will deorbit the ISS and destructively re-enter the atmosphere.

• Operations: SpaceX will develop the “de-orbit spacecraft” and hand it over to NASA for mission operations.

Analysis:

Impact on FX:Positive corporate news could strengthen the USD.

FX Pair:EUR/USD, USD/JPY, GBP/USD

Impact on Shares:

US Market:Positive impact on SpaceX and related stocks.

Companies:SpaceX (private), Boeing (BA), Lockheed Martin (LMT)

10

Indian IT outsourcing companies Tata Consultancy Services Ltd (TCS) and HCL Technologies Ltd's earnings guidance will reveal the much-anticipated recovery. Although US and European companies remain cautious about new projects, TCS and HCL rely on outsourcing projects aimed at cost savings to sustain growth. TCS's quarterly earnings are expected to show sequential revenue growth from April to June.

Analysis:

Impact on FX:Positive earnings guidance could strengthen the INR.

FX Pair:USD/INR, EUR/INR, GBP/INR

Impact on Shares:

Indian Market:Positive impact on IT sector stocks.

Companies:Tata Consultancy Services (TCS.NS), HCL Technologies (HCLTECH.NS)

11

CIMB Securities has upgraded Malaysian tech stocks from neutral to overweight due to increased visibility of earnings driven by AI demand.

Analysis:

Impact on FX:Positive sentiment in the tech sector could strengthen the MYR.

FX Pair:USD/MYR, EUR/MYR, GBP/MYR

Impact on Shares:

Malaysian Market:Positive impact on technology sector stocks.

Companies:Inari Amertron Berhad (0166.KL), Malaysian Pacific Industries (MPI.KL)

12

Philippine inflation slowed in June, supporting the possibility of the central bank easing monetary policy as early as next month.

Analysis:

Impact on FX:Expectations of monetary easing could weaken the PHP.

FX Pair:USD/PHP, EUR/PHP, GBP/PHP

Impact on Shares:

Philippine Market: Positive impact on market sentiment and stocks.

Companies:Ayala Corporation (AC.PS), SM Investments Corporation (SM.PS)

13

Eli Lilly & Co.'s Alzheimer's drug Kisunla (for treating Alzheimer's disease) has been approved in the US, becoming the second drug to slow the progression of this disease. Alzheimer's affects about 6 million people in the US.

Analysis:

Impact on FX:Positive corporate news could strengthen the USD.

FX Pair:EUR/USD, USD/JPY, GBP/USD

Impact on Shares:

US Market:Positive impact on healthcare sector stocks.

Companies:Eli Lilly & Co. (LLY), Biogen Inc. (BIIB)

14

Analysts are increasingly concerned about signs of a housing market slowdown in key hotspots like Florida and Texas. Downgrade: Citigroup analyst Anthony Pettinari downgraded Lennar Corp. and D.R. Horton Inc. based on expectations of a “sluggish” housing market in the second half of the year. Raymond James Financial Inc.'s Buck Horne also downgraded Lennar from “outperform” to “market perform,” specifically citing the company's “overexposure” in Florida.

Analysis:

Impact on FX:Housing market concerns could weaken the USD.

FX Pair:EUR/USD, USD/JPY, GBP/USD

Impact on Shares:

US Market: Negative impact on real estate sector stocks.

Companies:Lennar Corp. (LEN), D.R. Horton Inc. (DHI)

15

Earlier this year, over 50% of French voters stated that Marine Le Pen's National Rally party poses a threat to democracy. This Sunday, she will appeal to the remaining half of voters in an attempt to win the election, which could send shockwaves across Europe.

Analysis:

Impact on FX:Increased political uncertainty could weaken the EUR.

FX Pair:EUR/USD, EUR/JPY, EUR/GBP

Impact on Shares:

European Market:Negative impact on market sentiment and stocks.

Companies:General Market Indices