Market Talks covering the impact of U.S. Politics and White House policies on companies and markets. Published exclusively on Dow Jones Newswires throughout the day.

0632 ET - Investors should look beyond the race for the most advanced AI models or chips and consider China's broader advantages across the AI value chain, Victoria Mio of Janus Henderson Investors writes. Despite trailing the U.S. on the technological front, China has developed competitive advantages in the layers of energy, infrastructure and application of the AI ecosystem, says the China equities head and portfolio manager. She notes China benefits from lower industrial power prices and rapid infrastructure development, and has a proven ability to commercialize technology at scale. Among the five layers of the AI stack, the application layer could be where the biggest long-term investment opportunities lie as AI adoption expands into robotics, autonomous driving, healthcare and enterprise products and services, Mio adds. (farah.elias@wsj.com)

0411 ET - Oil prices extend gains for a fifth consecutive session after the U.S. carried out another round of strikes on Iran and unverified reports said Houthi rebels targeted two tankers in the Red Sea, fueling concerns over disruptions to another key shipping route. In early trading, Brent crude climbs 4.6% to $98.39 a barrel, while WTI futures rise 3.4% to $89.75 a barrel. "The U.S.-Iran conflict has shown no sign of easing, and there's still no indication of any emerging peace deal either," analysts at Deutsche Bank say. Traffic through the Strait of Hormuz has fallen sharply from June levels, while Kpler ship-tracking data show some vessels have rerouted to avoid the Red Sea after the Houthis announced a maritime blockade against Saudi Arabia. The Houthis' threats have heightened concerns over longer shipping times, higher freight costs and the risk of tighter global oil supplies if the conflict escalates further. (giulia.petroni@wsj.com)

0330 ET - Bitcoin falls as U.S. stock futures decline amid the ongoing U.S.-Iran conflict and after earnings from Alphabet and Tesla fuelled concerns about AI spending. The U.S. is surging forces, medics and weaponry to the Middle East as President Trump considers expanding the conflict against Iran, WSJ reports. Shares in Tesla and Alphabet fell in after-hours trading after both reported negative free cash flow for the latest quarter and said they expect higher capital expenditures. Bitcoin falls 0.3% to $65,673, LSEG data show. (renae.dyer@wsj.com)

2315 ET - Investors will likely be closely watching front-end U.S.-Japan rate differentials following media reports that say the BOJ is open to raising rates more quickly, DBS Group Research's Eugene Leow says in commentary. Since start of 2026, the spread between 1-year into 1-year dollar rate versus 1-year into 1-year yen rate has widened, the senior rates strategist notes. This has happened as investors shifted to pricing in Fed rate hikes from Fed rate cuts, while Japan's rates moved by much more modest pace. "Assuming Fed hawkish pricing would linger for a while more, investors will probably need to see the BOJ willing to shift to a 25bps per quarter hike pace to erode the widening rate differential to the U.S.," Leow adds. (ronnie.harui@wsj.com)

1647 ET - The premier of Canada's Pacific-coast province of British Columbia says PM Mark Carney should give the U.S. an ultimatum in trade talks ahead of the threat of a 50% tariff on certain goods. David Eby says U.S. can't "on one hand attack one group of families and workers, while hoping to get access" to Canada's rare earths. "The U.S. needs to make up its mind," says Eby at a press conference with his provincial counterparts. He adds Carney must demand whether the U.S. wants to be a strong partner with Canada. If the U.S. doesn't want that, Eby adds, "then we need to be looking to the rest of the world" to deepen economic ties. British Columbia is Canada's third-most populous province and fourth-largest by GDP. (paul.vieira@wsj.com; @paulvieira)

1335 ET - Oxford Economics is the latest forecasting firm to play down the economic impact for Canada from President Trump's plan to impose a 50% tariff on a range of Canadian-made goods. The 50% tariff targets a select group of goods. Should they be implemented as planned on Aug. 19, the impact would shave about 0.2 percentage points from Canada's level of GDP in 2027, Oxford says. Further, the tariff could reduce growth next year by up to 0.2 percentage points, through weaker exports and business investment. "The targeted nature of the tariffs means the biggest impacts would be at the sectoral and regional level," Oxford says. The firm projects Canada-based plastics, electrical machinery, forest products and beverage companies to be most affected. (paul.vieira@wsj.com; @paulvieira)

1043 ET - Oil prices slightly trim earlier gains as investors closely watch developments in the Middle East amid escalating attacks between the U.S. and Iran and threats to Red Sea shipping by the Houthi rebels. In early U.S. trading, Brent crude is up 3.4% to $94.11 a barrel after reaching $95, while WTI futures rise 3.2% to $87.01 a barrel. President Trump said on a social-media post on Wednesday that the U.S. would "bomb and destroy one bridge or power plant" any time Iran targets a ship in the Strait of Hormuz. Meanwhile, the Houthis's announced maritime blockade on Saudi Arabia has already affected commercial behavior in the Red Sea, with several tankers altering course or pausing their voyages as owners assess the security situation, according to Kpler. (giulia.petroni@wsj.com)

1037 ET - Apotex could find itself in a bind after President Trump's threat to impose tariffs up to 200% on generic drugs made outside the U.S. Apotex, which recently went public, is down about 10% at C$35.72 as Trump says the levies would begin at 100% in August 2028 and rise a year later, giving drugmakers time to shift manufacturing. The plan targets generic medicines largely produced in India and China. Most of Apotex's production is in Canada, with additional facilities in Mexico and India, and only two U.S. sites focused on warehousing, distribution and its U.S. affiliate headquarters. (adriano.marchese@wsj.com)

1030 ET - Bank of Nova Scotia sticks to its call for Bank of Canada rate increases later this year despite the threat of new U.S. tariffs. Economist Derek Holt says the threat of 50% tariffs likely represents a negotiating ploy -- something that USTR Jamieson Greer hinted at in remarks to CNBC. Holt reckons Trump may want a USMCA deal before the midterms because "he needs some wins" given fallout from Iran war and affordability. Further, Holt says Canada has shock observers to withstand this latest trade hit. First, a weaker Canadian dollar would buoy exports; and elevated commodity prices stemming from the war in Iran, which will lift national income. Holt adds risks are building that firms eventually pass on the higher fuel costs to stop profit-margin deterioration. (paul.vieira@wsj.com; @paulvieira)

0848 ET - The dollar could remain little affected by the latest bout of U.S. trade uncertainty in the near term, MUFG Bank's Derek Halpenny says in a note. President Trump's plans for new tariffs should broadly replicate the Section 122 tariffs which are due to expire on Friday, meaning the currency implications should be limited, he says. Moreover, it comes at a time when markets are pricing in U.S. interest-rate rises and Middle East risks are higher, providing some support to the dollar, he says. However, if trade uncertainty becomes more pronounced, dollar selling could re-emerge as investors become more concerned over unpredictable policies and the damage to the U.S. economy, he says. The DXY dollar index trades flat at 101.135. (renae.dyer@wsj.com)

(END) Dow Jones Newswires

July 23, 2026 06:32 ET (10:32 GMT)

Copyright (c) 2026 Dow Jones & Company, Inc.