Market Analysis Summary - July 24, 2026

Overview

The week leading up to July 24, 2026, was characterized by a significant rise in crude oil prices, which returned to triple digits, and a continued selloff in equity markets. Geopolitical tensions, particularly in the Middle East, alongside new tariffs imposed by the US, were major factors influencing investor sentiment. Despite solid earnings reports from Wall Street, the overall market sentiment remained bearish. Key upcoming events include earnings reports from major tech companies and decisions from the Federal Reserve and the Bank of Japan, making three markets particularly noteworthy: USD/JPY, Gold, and US100.

USD/JPY

The Japanese yen has faced challenges recently, primarily due to rising inflation driven by global energy costs. This week is crucial as the Federal Open Market Committee (FOMC) is set to announce its policy decision, followed by the Bank of Japan's stance on interest rates. Market expectations suggest that both central banks will maintain current interest rates, with the BoJ's rate at 1.0%. Investors are particularly interested in future monetary policy guidance, especially as the yen trades near 40-year lows. A hawkish stance from the Fed could push USD/JPY higher, while a surprising hawkish move from the BoJ could lead to a rally in the yen.

Gold

The gold market is poised for volatility this week, influenced by US monetary policy and economic data releases. The FOMC's decision on interest rates, along with GDP figures and the PCE inflation metric, will be critical. Gold prices are sensitive to real interest rates; if the PCE report indicates persistent inflation, gold may face downward pressure. Conversely, a cooler inflation reading could provide upward momentum for gold, especially if geopolitical risks diminish.

US100 (Nasdaq 100 Futures)

The Nasdaq 100 has experienced significant selling pressure, particularly in the semiconductor and AI memory sectors. This week, major tech companies, including Microsoft, Meta Platforms, Apple, and Amazon, will report their quarterly earnings, coinciding with the FOMC meeting. Investors will focus on revenue growth and capital expenditure returns related to AI. Given the high valuations of these firms, any disappointment in forward guidance could lead to broader market sell-offs. Positive earnings reports combined with a dovish Fed could help the US100 recover from recent declines.