FED CHAIR WARSH:

NUMBERS 'MORE CONCERNING' ON PRICE STABILITY

THIS SUMMER'S INFLATION DATA BETTER THAN EXPECTED, BUT DO NOT TELL ME UNDERLYING TRENDS HAVE MEANINGFULLY CHANGED

FED'S PREDOMINANT FOCUS RIGHT NOW SHOULD BE ON PRICES

FED CHAIR WARSH:

AT JULY MEETING 'GOOD MAJORITY' FELT WISER COURSE WAS TO WAIT

IMPRESSED BY THE OVERALL PERFORMANCE OF ECONOMY, APPEARS TO HAVE STRENGTHENED

CREDIT AND LOAN MARKETS SHOWING FEW SIGNS OF POLICY RESTRAINT

WAGE GROWTH MODERATE, BUT NOT A RELIABLE INDICATOR OF FUTURE INFLATION

US Univ. Of Michigan Sentiment Aug F: 51.7 (est 51.0; prev 51.0)

- Current Conditions: 51.9 (est 52.0; prev 51.8)

- Expectations: 51.5 (est 51.4; prev 50.6)

- 1-Year Inflation: 4.0% (est 4.4%; prev 4.3%)

- 5-10 Year Inflation: 3.3% (est 3.3%; prev 3.3%)

WARSH:

IMPORTANT TO GAUGE EFFECTS OF HIGH GROWTH EXPECTATIONS FOR CAP-EX, CORPORATE EARNINGS

INFLATION EXPECTATIONS TEND TO LOOK DURABLE UNTIL THEY DON'T;

MUST BE CLOSELY MINDED

FED'S 2% PCE TARGET IS FIRM AND FIXED; IT IS FED’S JOB TO DELIVER STABLE PRICES

FED CHAIR WARSH:

INFLATION EXPECTATIONS BY AND LARGE LOOK STABLE IN MEDIUM TERM

MARKET PRICES SHOW CONFIDENCE THAT WE WILL DELIVER PRICE STABILITY

BUSINESS INVESTMENT RISING RAPIDLY

WARSH: INFLATION EXPECTATIONS BY AND LARGE LOOK STABLE IN MEDIUM TERM MARKET PRICES SHOW CONFIDENCE THAT WE WILL DELIVER PRICE STABILITY BUSINESS INVESTMENT RISING RAPIDLY

WARSH: IMPORTANT TO GAUGE EFFECTS OF HIGH GROWTH EXPECTATIONS FOR CAP-EX, CORPORATE EARNINGS INFLATION EXPECTATIONS TEND TO LOOK DURABLE UNTIL THEY DON'T; MUST BE CLOSELY MINDED FED'S 2% PCE TARGET IS FIRM AND FIXED; IT IS FED’S JOB TO DELIVER STABLE PRICES

EPL: CO CEO RAISES GROWTH GUIDANCE TO HIGH TEENS FOR NEXT FEW QUARTERS, REAFFIRMS 20% UNDERLYING EBITDA MARGIN

OLA ELECTRIC MOBILITY: CO SECURES ₹95.81 CRORE PLI-AUTO INCENTIVE FOR THIRD CONSECUTIVE YEAR

1st Speech Of Kevin Warsh-Jackson Hole Symposium-Global Asset Spooked On Hawkish Tone

Key Takeaways

Underlying inflation remains too high and the Fed has "work to do"

If price pressures do not move clearly and rapidly back to the 2% target

Financial conditions are not currently restrictive

Keeping rate hikes on the table and its Fed's predominant tool

Criticized heavy reliance on rigid forward guidance, arguing for a structural shift

Policymakers should speak less and let markets independently digest unfiltered economic signals.

By narrow credit spreads and robust lending—do not currently show sufficient policy restraint

No signaling of rate hike for September FOMC meet

PCE price index remains the gauge to be targeted

What Was The Impact Post Speech?

Fall in US indices and AI/Chipmakers

2-year US Treasury yield up 11bps to 4.34%
Spot gold falls below $4,500/oz
Bitcoin falls under $77,000
Asian markets-likely to open negative on Monday

What Lies Ahead For Fed?
Proper roadway mapped out
Risk-off sentiment may come back
Money markets projecting 50% hike in Sept FOMC Meet
Longer dated-bonds may remain stabilized

VIRTUOSO OPTOELECTRONICS: BOARD APPROVES PREFERENTIAL ISSUE OF SHARES AT ₹503 EACH AGGREGATING ₹84.99 CR; EGM SCHEDULED FOR SEPTEMBER 24, 2026 TO SEEK SHAREHOLDER APPROVAL.

JIO PLATFORMS GETS SEBI NOD FOR RECORD ₹37,700-CR IPO; FRESH ISSUE OF 27-CR SHARES

ASHOKA BUILDCON: RECEIVED LETTER OF ACCEPTANCE FROM RAIL VIKAS NIGAM LIMITED FOR PROJECT WORTH ₹602.16 CRORE; INVOLVES SUPPLY, ERECTION, TESTING & COMMISSIONING OF ELECTRO MECHANICAL SYSTEMS; COMPLETION PERIOD OF 30 MONTHS.

MAX ESTATES: CO ACQUIRES 84.71-ACRE DELHI LAND BANK FOR ₹420 CR EQUITY; TARGETS ₹10,000–12,000 CR GDV

ELGI EQUIPMENTS: CO UNIT RECEIVES TARIFF REFUND OF US$ 1.55 MILLION FROM U.S. CUSTOMS; REFUND DUE TO US SUPREME COURT DIRECTIVES ON EXCESS TARIFF COLLECTIONS.

TATA CHEMICALS: CO. ACQUIRES SODA ASH CUSTOMER CONTRACTS FROM SEARLES VALLEY MINERALS INC. FOR USD 21.16 MILLION; ACQUISITION INCLUDES OVER HALF MILLION METRIC TONS OF ORDERS THROUGH DECEMBER 2028.

MAX ESTATES: CO TO ACQUIRE 84.7-ACRE NAJAFGARH LAND BANK FOR ₹420.23 CR VIA ₹597.50/SHARE SWAP

GUJARAT THEMIS BIOSYN: CO APPROVED THE ALLOTMENT OF 2.12 CR EQUITY SHARES TO QIBS AT ₹354 PER SHARE, RAISING AN AGGREGATE ₹750 CR THROUGH ITS QIP

CIPLA: USFDA HAS CLASSIFIED ITS INSPECTION OF INVAGEN PHARMACEUTICALS INC.’S UNIT 3 MANUFACTURING FACILITY IN NEW YORK, AS VOLUNTARY ACTION INDICATED (VAI).

EU SUMMIT

Politico: PM Modi to attend the EU summit in December

India-EU trade deal to be signed by end-2026: EU envoy to ET NOW

COMMERCE SECRETARY

INDIA-ARGENTINA JTC MEETING

Both sides reaffirm commitment to deepen strategic & economic ties

India-Argentina advance cooperation in lithium, energy and agriculture

Talks note progress on Indian agri product entry into Argentina

India, Argentina strengthen pharma access, expand digital, space ties

Bilateral trade between India and Argentina crossed $6.5 bn in 2025