Thematic (Sector/Industry)

• The potential dismissal of the Federal Reserve Chair by Trump has created uncertainty in the markets. In the short term, this situation is favorable for gold for multiple reasons.
• A declining U.S. dollar and increasing inflation expectations, fueled by worries regarding the independence of central banks, are expected to elevate gold prices.
• In spite of increasing prices and a rise in call options, the implied volatility for gold has continued to decrease, notwithstanding a mild uptick observed recently.

• The Nikkei 225 rose 0.6% last week, a measured gain underpinned by strength in technology and defensives, despite intensifying headwinds from U.S. trade policy, domestic political fragility, and currency volatility.
• The JPY weakened 0.8% vs USD, closing at 148.67. Japanese bonds came under pressure, with 10Y JGBs +3bps to 1.53%, reflecting nerves ahead of this weekend’s Upper House elections
• Seven & i shares fell 13% this week after Alimentation Couche-Tard (ACT) withdrew its ¥2,600 acquisition offer

• India is the largest exporter of generic medicines, contributing 20% to global supply, and accounts for 6% of the world’s API production.
• India’s pharma sector offers up to 75% savings in R&D and 55% in manufacturing versus the US, making it essential despite tariff threats.
• India’s CRDMO sector is expanding rapidly, with a projected market size of USD 14 billion by 2028, driven by increased demand for biologics and integrated manufacturing solutions.

• NBFCs are consistently delivering higher credit growth than the overall lending industry across most asset classes—driven by demand from underserved segments and enabled by tech-led agility.
• From FY20–25, NBFCs saw higher CAGR in 5 of the 7 loan segments, and this trend is projected to continue through FY26—reinforcing their systemic importance in India’s credit landscape.
• NBFCs are no longer niche lenders. With higher market share in fast-growing segments like personal loans, MSME, microfinance, and consumer durables, they are outgrowing the systemic pace—indicating stronger tailwinds

• AUCTUS PUBLICATIONS ________________________________________ Arrow Exploration (AXL LN/CN)C; Target price of £0.70 per share: AB wells deliver flow rates above expectations – Current production ranges between 4,600 and 4,800 bbl/d driven by strong performance from two new horizontal wells at Alberta Llanos (AB).
• AB-HZ5, onstream for ~2 weeks, is producing 1,790 bbl/d (895 bbl/d net to Arrow), while AB-HZ4, online for over a month, continues to produce 880 bbl/d (440 bbl/d net).
• Both wells are outperforming expectations in terms of flow rates and pressure, which may positively impact reserves estimates.

• Hong Kong’s booming IPO market is fueling a partial rebound in the city’s beleaguered office sector, with Central’s premium business district leading the recovery.
• However, persistently high vacancy rates citywide mean rents are expected to keep falling throughout 2025, according to a report released Monday by CBRE, the real estate services company.
• The report shows Hong Kong’s office net absorption — the net change in leased space accounting for new leases, expansions and vacancies — turned positive in the second quarter of 2025. The market recorded 147,700 square feet (13,700 square meters) of net take-up, breaking a two-quarter streak of negative figures and signaling an improvement in leasing activity.

• US equities closed at record highs as strong earnings from TSMC, PepsiCo, and Netflix, alongside resilient retail sales and jobless data, reinforced confidence in the economic outlook. 
• Lawmakers advanced major crypto regulation, passing the GENIUS Act and two related bills, signalling Washington’s shift toward clearer oversight as Trump pushes to make the US a global crypto hub.
• Mitsubishi boosts salmon output with Grieg deal; Nippon Yusen buys Mobiant to diversify; Couche-Tard drops ¥6.8tn Seven & I bid over board resistance.

• Disco numbers point to a dip in 2Q, although 3Q and beyond looks strong with new drivers emerging…buy excessive weakness.
• TSMC maintained its capex targets commenting it wont be declining anytime soon.
• Abbott Labs down on tariff impact although its CGM business remains robust and likely an opportunity for Omron.

• India’s 30 trillion Capex cycle is underway, with FY25 corporate Capex surpassing 11 lakh crore. FY26 will see Centre, States, and Corporates align for historic infrastructure investment.
• This revival isn’t top-heavy. 157 companies launched $100 million+ projects in FY25 across diverse sectors – indicating India’s most widespread and bottom-up Capex momentum since FY12.
• New-Age leaders like Adani Ports, Deepak Fertilizers, and Gokaldas Exports are investing for long-term gains boosting capacity, margins, and global competitiveness across energy, chemicals, defence, textiles, and manufacturing.

• India’s ambitious growth trajectory aims for 8-10% of global GDP by 2040, driven by strategic investments in 18 high-growth sectors, blending national priorities and global opportunities. 
• Key sectors identified span technology, manufacturing, and sustainability, with a projected $1.7-2 trillion in revenue by 2030, shaping India’s global economic leadership. 
• Collaborative action and policy support are essential for unlocking sectoral potential, positioning India to capitalize on its capabilities and become a key player in the global economy.

• The exponential rise in AI workloads is triggering a global data center power crunch, with Asia facing the sharpest grid stress due to dense urban clusters and limited transmission infrastructure.
• Japanese grid and power equipment firms are stepping in as key enablers, supplying transformers, substations, and energy management systems to support hyperscale AI deployments across Asia.
• Top picks include Toshiba Energy, Hitachi Energy, and Fuji Electric, each positioned to capture structural AI-driven grid upgrades in India, Japan, and Southeast Asia.

• Global chemical inventory levels are at decade lows, and product prices have begun stabilizing across key segments, signaling the early stages of a demand-led recovery. 
• The capex cycle is largely behind us, setting the stage for strong free cash flow generation even as select sub-segments like amines, fluorine, and pyridines see pricing and volume tailwinds.
• We adopt a selective bullish view, with momentum expected in companies that have strategically aligned capex, strong product-market fit, and established global customer relationships.

• Aalberts | acquires Geo-Flo in the US Aalberts has reached an agreement to acquire Geo-Flo Corporation, based in the US, generating an annual revenue of approx.
• USD 15m with over 25 employees. Geo-Flo designs and manufactures pumping systems and components for hydronic-based HVAC systems, including geothermal and water source heat pump applications.
• As market leader in its segment, Geo-Flo is known for its design expertise and production capabilities. 

• Global Foundries acquiring MIPS, sparking conversation about RISC V’s role in the ecosystem
• Global Foundries focusing on offering IP and services in niche markets with potential for growth
• MIPS will continue to operate independently, providing turnkey solutions for RISC V and potential customizations for customers

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

• U.S. stocks rallied from session lows to close higher on Wednesday after President Trump denied plans to fire Federal Reserve Chair Jerome Powell
• US June Producer Price Index showing no monthly change and a 2.3% annual rise, below estimates, eased inflation concerns,
• IHI targets an operating profit margin of 11% by March 2030, up from 8.8% in FY25, driven by improved profitability in its defence business

• There is a pick-up in heavy machinery sales in Jun, benefiting Lonking Holdings (3339 HK), Sany Heavy Equipment (631 HK), and Zoomlion Heavy Industry H (1157 HK). 
• Indications are for strong 1H25 earnings, with Guangxi Liugong A (000528 CH) seeing 20-30% growth. 1Q25 results of the peers also pointed to solid interim profit.
• Despite an average of a 44.6% rally for the HK-listed companies in the sector, their FY25F PER of 10.4x is undemanding. The current consensus forecasts are too conservative. 

• The HFD from ASIC on insolvencies in Australia points to a weak credit metric environment for Australian banks. 
• Some banks report rising bad loans but relatively stable credit costs, which tends to not last indefinitely. 
• Far worse insolvencies in many sectors YoY to 30 June should be a window on higher impairment costs for Australian banks.

• Cautious ASML guidance sets dour tone to start but weakness for semi’s limited.
• JNJ beats handily thanks to FX and medtech which should cause pharma and likes of Terumo to squeeze off the bell.
• 7&I likely to be weak to start but unlikely there was too much residual expectation priced in after a difficult road for CT.

• The Nasdaq rose 0.18% to a new high, supported by a 4% gain in Nvidia following optimism over resuming GPU sales to China.
• Treasury yields climbed, with 30-year yields reaching 5% and breakeven rates at 20-week highs; yesterday, 10-year JGB yield rose above 1.59%, highest since 2008.
• Nissan Motor will discontinue production at its Oppama Plant in Yokosuka

• NVDA and AMD saving the market after weak banks earnings set a sour tone.
• Chips news a big win for demand for Samsung memory which should play well for Micronics.
• Apple cutting a manufacturing deal with MP Materials reiterates importance of rare earths access.

• India’s June CPI inflation fell to 2.1%, well below forecasts, driven by easing food prices and stable core inflation components.
• Real interest rates have widened, creating clear space for RBI to ease policy, though upside risks may delay immediate action.
• A gradual rate cut cycle appears likely in H2 FY26, contingent on sustained disinflation, global cues, and stable core pressures.

• Nasdaq closed at a record high, rising 0.3%; S&P 500 and Dow edged up 0.1% and 0.2%.
• Trump threatened 100% secondary tariffs on Russia and announced new U.S. weapons for Ukraine via NATO
• Sansan’s FY2025 results show net sales up 28% to ¥43.2 billion, driven by a 59% increase in Bill One sales

• AI and tech took a backseat, although momentum significantly outperformed value which is likely to be reflected in JP.
• Trend Micro may be in focus after analyst pushes cyber security as biggest tech trade this year.
• KHI looking to release its own humanoid, but Harmonic joints are out of favor and worth another look after steep decline.

• Organised jewellery players delivered strong revenue growth despite a 30% YoY gold price spike, driven by festive demand, ticket-size expansion, and formalisation.
• Q1 trends highlight a shift toward lightweight, low-carat designs reiterated by Titan Co Ltd (TTAN IN) , with digital channels and franchising gaining momentum across the board.
• With retail expansion and working capital discipline in focus, the players like Sky Gold appears poised for multi-format growth, aided by regulatory tailwinds and rising consumer trust.

• Each week, I’ll share five intriguing investment ideas that recently caught my attention. These ideas are meant to spark your research and help you kickstart the week ahead with fresh insights.
• Because these ideas are the result of my first-level idea generation process, they require more in depth research. Therefore, the ideas will often be concise, with occasional references to valuable work from other practitioners that I encourage you to explore.
• If you have something fascinating to share that could benefit me and the wider community, don’t hesitate to send it my way—I’d love to hear from you!

• India’s sugar industry is experiencing an unexpected rally driven by pricing power due to an 18% production drop, leading to rising sugar prices.
• This shift is boosting sugar mills’ profitability, as evidenced by improved quarterly results, despite unchanged ethanol margins and rising cane costs.
• The sector is now a compelling “margin-driven” recovery story, moving beyond its traditionally dull, regulation-heavy image.

• Weekly loan data is up a lot in week ending 2 July suggesting the geopolitical events are not negating credit demand in the US – demand is accelerating.
• Over the past three weeks loans are up USD119bn and there is no other 3 week period that compares in recent months. 
• Total loan growth is now 4.2% YoY where C&I loan growth accelerated from 2.3% YoY to 3.2% YoY, in the most recent week.

• US equities declined following Trump’s tariff threats; Dow fell 0.6%, S&P 500 down 0.3%, Nasdaq slipped 0.2%
• Trump proposed 35% tariffs on Canadian imports, and on Saturday, announced 30% tariffs on Mexico and the EU.
• Ryohin Keikaku projects a net profit of ¥47 billion for the fiscal year ending August 2025, marking a ¥1.5 billion upward revision from prior guidance and a 13% increase year-on-year.

• Chugai Pharmaceutical enters inlicensing agreement with Gero to develop novel therapies for age-related diseases. JCR Pharmaceuticals stuck outlicening deal with Alexion for its proprietary JUST-AAV capsids to develop genomic medicines.
• Cochlear got FDA approval for new product, which will be launched in 1Q26. CStone Pharmaceuticals entered exclusive partnership with Istituto Gentili to commercialize sugemalimab across Western Europe and UK.
• Glenmark signed exclusive licensing agreement with AbbVie for their oncology drug candidate ISB 2001. Lupin entered license and supply agreement for commercialization of its biosimilar Certolizumab Pegol in global markets.

• Semiconductor stocks retreated last week, with the SOXX ETF down 0.58%, underperforming the S&P 500 amid renewed tariff anxiety and fading near-term catalysts.
• Samsung’s $37B Texas fab faces execution delays, TSMC prioritises U.S. expansion over Japan, and the U.S. eased EDA software bans on China, signalling a brief pause in chip trade tensions.
• Investor behaviour reflected caution beneath resilience; despite stable technical indicators, SOXX saw $277M in net outflows, with hedged positioning dominating

• Japanese equities closed the week softer, with the Nikkei failing to retest the 40,000 level amid a confluence of macro headwinds. Persistent U.S. tariff concerns weighed on sentiment.
• Exporters and cyclicals bore the initial brunt, though stabilized late-week on U.S. tech resilience and FX tailwinds
• Sector rotation favoured semis and banks, while defensives underperformed. Factory automation names underperformed following Yaskawa’s downward earnings revision

• AUCTUS PUBLICATIONS ________________________________________ New Zealand Energy (NZ CN)C: Equity raise – New Zealand will raise up to C$3 mm of new equity at a price of C$0.18 per share.
• This includes the settlement of outstanding loans of C$0.3 mm through the issue of ~1.7 mm shares.
• Valeura Energy (VLE CN)C; Target price of C$12.70 per share: Another strong quarter.

• Singapore stands out as a compelling market for income investing.
• Singapore has consistently offered superior dividend yields relative to its ASEAN peers and the broader MSCI Asia ex-Japan Index.
• Most global markets focus on capital appreciation. Singapore’s listed equities on the SGX (Singapore Exchange) have been favoured by investors seeking stable and rising income streams.

• S&P 500 +0.27% to 6,280; Nasdaq +0.09%; Dow +0.43% – all record highs
• Fast Retailing net profit rose 8% to ¥339bn (Sep–May), a four-year high; quarterly OP misses on China weakness
• Seven & i net profit jumped 2.3x to ¥49bn, boosted by Ito-Yokado asset sale, but core conbini sales declined

• Discussion with David Sparks about the challenges of investing in commodity players and natural resource companies for pod shops and multi strat funds like Citadel and Millennium
• David Sparks has experience working in multi strat hedge funds and now runs a discretionary strategy focusing on metals and mining at First New York
• Multi strat funds aim to optimize risk and returns by combining different investment strategies, requiring a unique approach for sectors like mining and energy due to their volatile nature.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

• In FY25, India Inc. showed strong resilience despite global challenges, with a sharp earnings rebound in Q4 offsetting earlier softness. 
• A standout trend was the clear earnings outperformance of mid- and small-cap (SMID) companies, which led in 15 out of 19 sectors. 
• Sectors like consumer durables, capital goods, and chemicals led SMID gains, and their momentum is expected to sustain in FY26 amid steady capex and demand.

• While tariff headlines may dominate, accumulate the miners on weakness
• The positive Supply and Demand drivers for copper are  still intact
• Latest tariffs add to the continued inflationary pulse around the world

• Chip tester Teradyne jumping on reports it has a new FA arm.
• Intel admitting its now not even in the top-10 chipmakers anymore.
• Estee lauder strength may help Shiseido with better trends in Hainan reported.

• Nasdaq rose 0.9% to a record 20,611, led by Nvidia’s 1.6% gain and brief $4 trillion valuation milestone
• President Trump announced a 50% tariff on Brazilian goods, citing Brazil’s treatment of former President Jair Bolsonaro, escalating trade tensions ahead of the August 1 tariff implementation deadline.
• Oasis Management, a Hong Kong activist fund, acquired a 5.19% stake in Casio for 15 billion yen, aiming to enhance shareholder value

• KKR to sell a further 12.9% stake of Kokusai Elec, which sets the stage for big upside once dust settles.
• Home builders surging with mortgage applications at the highest levels since early 2023.
• Renewables up with AES and Bloom Energy posting big gains and JP names recently outperforming.

• Despite a 100-bps rate cut by RBI, banks face margin pressure as lending rates fall faster than deposit repricing. 
• Credit growth has slowed sharply, while deposit growth is improving unevenly – tightening liquidity conditions, especially for private banks and SFBs.
• Valuations remain attractive despite near-term earnings stress, supported by stable asset quality, treasury gains, and long-term confidence in sector fundamentals.

• Cerabyte has a stated vision of achieving $1 per petabyte per month, a cost reduction of 1000x within the next two decades. That’s a bold vision.
• Magnetic tape storage continues to play a crucial role in data centers and its technology continues to advance with the latest LTO-10 cassette announced by Fujifilm in June 2025
• Microsoft’s Project Silica, launched in 2019, appears to take a very similar approach albeit there are as yet no stated plans for commercialisation. 

• Since 2021, coffee prices have surged up to 300%, driven by supply disruptions in major producers like Brazil and Vietnam. Recent price corrections provides relief still volatility remains high. 
• The price fluctuations directly affect Indian coffee processors, with increased working capital requirements and lower PAT margin. Stabilizing prices can improve profitability and working capital cycles. 
• FMCG giants like Nestle and Tata Consumer Products faced margin pressures due to volatile coffee prices. While recent declines provide relief, continued price uncertainty requires adaptive strategies for cost management.

• The RBA threw a spanner in the markets’ almost universally anticipated -25bps rate cut, but both ASX200 and the AUD recovered to the previous day’s levels.
• The RBA will now cut in August, right?
• After a muted overnight session, with more Trump tariff rumblings on copper and pharmaceuticals, the ASX200 futures suggest a slightly softer start to Wednesday.

• Each week, I’ll share five intriguing investment ideas that recently caught my attention. These ideas are meant to spark your research and help you kickstart the week ahead with fresh insights.
• Because these ideas are the result of my first-level idea generation process, they require more in depth research. Therefore, the ideas will often be concise, with occasional references to valuable work from other practitioners that I encourage you to explore.
• If you have something fascinating to share that could benefit me and the wider community, don’t hesitate to send it my way—I’d love to hear from you!

• The WTR Consumer Stock Index trailed the Small Cap S&P 600 in 2Q, declining 2.4% versus the 1.1% gain in the broader index.
• The underperformance of our index was mostly due to a larger decline in prospective earnings, coupled with a lesser expansion in its prospective P/E ratio.
• Our index saw prospective earnings decline 7.2% in 2Q versus a 5.0% decline in the S&P 600, while its prospective P/E ratio expanded 0.8x in 2Q to 15.7x versus the 0.9x expansion to 15.3x in the S&P 600.

• The WTR Sustainable Index was up 0.5% W/W versus the S&P 500 Index (up 1.7%), the Russell 2000 Index (up 3.5%), and the Nasdaq Index (up 1.5%).
• Energy Technology (13.9% of the index) was up 6.8%, while Industrial Climate and Ag Technology (49.3% of the index) was up 2.7%, ClimateTech Mining was down 10.7%, and Advanced Transportation Solutions (20.9% of the index) was up 0.9%.
• Top 10 Performers: HCNWF, GWH, RUN, FLNC, LIS, STEM, FLUX, GRB, NRGV, AMTX

• The current EV charging infrastructure in the US remains inadequate and needs to grow rapidly to meet future demand.
• According to The National Renewable Energy Laboratory (NREL), U.S. will need 1.0 million Level 2 and 182,000 DC Fast charging points by 2030 to support the charging of electric vehicles.
• Based on the current growth rates, U.S. is likely to fall short of these numbers by 2030. The pace of growth needs to pick up rapidly.