The Week That Was

Global equities had a tough week, declining 0.2% in € terms, as the S&P fell 17bps (up 13bps in $) and Europe was down 80bps, with bond yields and geopolitical risk impacts on oil prices being the dominant factors. In the US the Energy sector was the strongest (+2.3%) on higher (+7.8%) oil prices, whilst Consumer Discretionary fell (-1.7%).

It was a heavy week for macro data, with inflation and labour market prints dominating. Eurozone CPI for August came in at its highest level in three years at 3.3% YoY, with the market subsequently pricing in a 97.6% likelihood of an ECB rate hike at next week’s meeting. Irish CPI also picked up, rising to 3.4% from 3.1%, while German preliminary CPI came in slightly below expectations at 2.9% YoY. On the US side, the ISM Manufacturing Index for August came in light at 54.6 (vs. 55.2 expected), while ISM Services surprised to the upside later in the week at 55.4. Labour market signals were mixed: ADP employment change printed at 38k in August, below the 47k expected, while jobless claims remained broadly in line with forecasts and continuing claims came in slightly below expectations, suggesting resilience. Fed commentary also shifted the rates narrative mid-week, with Governor Waller signalling support for holding rates steady should inflation progress continue, pulling September rate-hike odds down from around 70% to roughly 50%.

However, the key datapoint for the week was Nonfarm Payrolls, which rose 162k in August, an improvement from an upwardly revised 21k in July. This result topped all forecasts, where the consensus was for a gain of 55k. The unemployment rate held at 4.1% despite job gains. Global bonds had a mixed week with 10-years ending up 6-7bps, as the sell-off resumed on Friday following the NFP report, as expectations for a rate hike on the 16th increased to c. 60%.

Corporate earnings saw a heavy slate of technology and domestic reporters. In the US, Dell was the standout, lifting its FY26 revenue guidance by $25bn (to c.$192bn, including c.$74bn from AI servers) which sent shares c. 15% higher for the week. Broadcom’s print was more mixed, falling initially on a weaker-than-expected Q4 guide before recovering most of the slippage, while Snowflake jumped 23% on a stronger revenue guide and growing uptake of its AI Assistant, but ended the week up 1.7%. On the disappointing side, Lululemon cut its full-year outlook for a second consecutive quarter, while Uber announced a 10% global workforce reduction. Closer to home, Cairn Homes delivered its strong full H1 2026 results, and Grafton Group posted solid HY26 financial results.

Summary Economic Releases

The Week Ahead

Asian equities are starting the week broadly positive, with Tokyo up 45bps, China up 40bps, and the tech-driven Kospi up 4.3%. However, Hong Kong is down 1%. Brent is up 1.4% this morning after the US struck three Iranian oil tankers over the weekend, and Iran threatened a wider restricted zone.

Looking ahead from a macro perspective, the key data points next week, ahead of the Fed’s FOMC September 16th meeting, are the NY Fed’s 1-Year Inflation expectation and the actual August CPI reading on Friday (3.4% est). On Thursday the ECB is expected with 99% probability to raise rates by 25bps, following which the market will focus intently on what ECB President Lagarde says after the meeting about the inflationary path. On Friday we also have the U. of Michigan Sentiment survey and Weekly Earnings data, which combined should give a steer for consumer spending.

On the corporate side, key results in the US this week are from Oracle on Thursday, which will highlight whether the debt being accumulated by Hyperscalers is starting to pay off in terms of AI revenues. In the tech world, TSMC and MediaTek release their August sales on Thursday, which should give a view into AI chip demand. Closer to home, Uniphar reports H1 earnings on Tuesday, and Glenveagh Properties and Associated British Foods also report on Thursday. Finally, Inditex in Europe and Kroger in the US should give some insights into day-to-day consumption.

Written by John Mullane, CIO, Cantor Fitzgerald Ireland

This is an extract from the Weekly Markets Report by Cantor Fitzgerald Ireland. For more detail on individual securities, or to discuss how we can support your investment needs, please get in touch.