Iran Rejects US Talks as Hormuz Deal Stalls | Horizons Middle East & Africa 8/10/2026

Summary

Global markets digest Iran's rejection of direct US talks and stalled Strait of Hormuz deal, lifting oil above $84. Asian equities gain after soft US jobs data eases Fed hike fears, while a rotation out of South Korea's large-cap leveraged ETFs fuels a small-cap surge. Corporate results from ADNOC Gas beat estimates despite disruptions, and Cameroon bond yields spike on political uncertainty.

• Iran rules out direct negotiations with the US, and a deal with Oman to reopen the Strait of Hormuz remains elusive, keeping oil prices elevated.
• Weak US jobs figures reduce near-term Fed rate-hike expectations, supporting gains in Asian equities and technology stocks.
• South Korean investors rotate out of single-stock leveraged ETFs tied to Samsung Electronics and SK Hynix, driving a more than 6% surge in small caps.
• China's July inflation data disappoints, with factory-gate and consumer prices slowing, reviving deflation concerns.
• Charles-Henry, a CIO, argues global equities remain in a bull market supported by expanding earnings and PMIs, and highlights Microsoft and Amazon as AI monetization winners while emphasizing Meta's lack of clear AI returns.
• Political uncertainty around Cameroon's absent president sends its 2033 sovereign bond yields up 70bp and makes them the worst performer in Africa.
• ADNOC Gas posts a resilient income beat and announces new gas facility investments, with CEO Peter van Driel outlining a long-term growth plan despite Strait of Hormuz disruptions.
• Turkey, Saudi Arabia, and Pakistan sign a trilateral defense pact, while Israeli PM Netanyahu rejects a US-backed plan to disarm Hamas.