The latest Market Talks covering Financial Services. Exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.

0727 GMT - The recent re-escalation of the Middle East conflict could transform the energy supply disruption from a crude-routing problem to a broader supply-chain crisis, ANZ commodity strategists say in a research note. The oil market has avoided a more disorderly price response so far because of several buffers, including China's sharp reduction in crude imports, they say. However, the latest strikes raise concerns about whether these buffers can effectively keep the world supplied with oil, as a disruption to the Red Sea and Bab el-Mandeb shipping would undermine one of the market's most important workarounds, they note. ANZ maintains its end-Q3 2026 Brent crude forecast of $92 per barrel, but warns if regional supply disruptions intensify, Brent could rise towards $120 a barrel. (sherry.qin@wsj.com)

0725 GMT - Allianz's $2.1 billion deal to buy HSBC Holdings' Singapore insurance unit doesn't come cheap and might get a muted reaction from investors, Keefe, Bruyette & Woods's William Hawkins says in a note. The deal is expected to lead to a five percentage-point hit to the German insurer's solvency ratio and add less than 1% to its global earnings, according to KBW. Still, Allianz presumably sees value from adding a business with growth potential in a major regional hub that could benefit from integration with its other units, the analysts say. "We expect a muted reaction in the share price because this deal has been well trailed," they add. "Maybe Day 1 perception could be negative because of the near term dilution. At the margin, this could be a buying opportunity." Allianz shares rise 0.5%. (adria.calatayud@wsj.com)

0652 GMT - HSBC Holdings' proposed sale of its Singapore insurance unit to Germany's Allianz for $2.1 billion looks like a good deal for the London-based banking group, J.P. Morgan analysts write in a research note. The business contributed only 0.2% of HSBC's pretax profit last year and faced potential profitability pressure from competition, the analysts say. A disposal gain of $1.8 billion upon completion is expected to translate into a 4% boost to HSBC's 2027 pretax profit and lift its CET1 ratio by 15 basis points, according to JPM. This could point to room for higher buybacks next year, the analysts say. Moreover, the two parties will enter into a 15-year bancassurance agreement, which should limit disruption to HSBC's Singapore banking services, they add. Hong Kong-listed shares in HSBC fall 1.1%. (adria.calatayud@wsj.com)

0638 GMT - Banco de Sabadell's second-quarter results look messy, with several exceptional items affecting its earnings, Keefe, Bruyette & Woods's Hugo Cruz and Ben Maher say in a research note. A new buyback of 331 million euros launched by the Spanish lender seems small, they add. The final effect of the sale of TSB to Banco Santander, a loss on the sale of an equity stake and another redundancy package in Spain all influenced Sabadell's results, the analysts say. The bank improved its cost expectations and launched a new buyback, but the program accounts for just 2.1% of its share capital, they add. "[Sabadell's] share price has outperformed the [Euro Stoxx Banks index] by 2% over the last month, but we do not think these results change the equity story," KBW says. (adria.calatayud@wsj.com)

0515 GMT - Unless oil prices fall significantly over the coming weeks, a rate hike by the European Central Bank in September is highly likely, while market pricing of further hikes might prove excessive, Pictet Wealth Management's Nadia Gharbi says in a note. "We continue to believe current market pricing is exaggerated... given the absence of second-round effects, the loosening of the labour market and the underlying weakness in the economy, which is being exacerbated by the energy shock," the senior economist says. Money markets currently price in almost 70bps of additional tightening by June 2027, according to LSEG. (emese.bartha@wsj.com)

0334 GMT - Krung Thai Bank may benefit from lower operating costs, UOB Kay Hian's Thanawat Thangchadakorn says in a report. The Thai bank's operating expenditures dropped 14% on year in 2Q, the analyst says. Its cost-to-income ratio declined to 38.9% in 2Q from 42.3% a year earlier thanks to cost control, higher operational efficiency and lower property provisions. The bank has also funded strategic digital and information-technology investments for future growth. The brokerage increases its earnings forecasts for the bank by 2.3% for 2026, 2.5% for 2027 and 0.9% for 2028. It raises its target price on the stock to 52.00 baht from 44.00 baht, with an unchanged buy rating. Shares are 0.6% lower at 41.75 baht. (ronnie.harui@wsj.com)

0251 GMT - Singapore's central bank is likely to retain its monetary-policy parameters in its July statement due Monday, say nine of 10 economists polled by The Wall Street Journal. Inflation likely remains contained, with the core figure unlikely to exceed the Monetary Authority of Singapore's 1.5%-2.5% forecast range thanks to a stronger Singapore dollar and softening labor market, says Maybank economist Brian Lee in an email. "[The] MAS has already tightened once in April this year. A wait-and-see [approach] might be warranted for the July round, with the option to respond if any major inflation shocks does materialize by the next meeting in October," he adds. The MAS uses the exchange rate as a policy tool for maintaining price stability, thanks to Singapore's small and open economy. (megan.cheah@wsj.com)

0236 GMT - New U.S. tariffs unveiled by President Trump are unlikely to have significant direct drag to Singapore's blue-chip companies on the FTSE Straits Times Index, says DBS Group Research in commentary. The U.S. says it will impose tariffs ranging from 10% to 12.5% on its major trading partners. The index heavyweights, mostly in banking, telecommunications and real-estate sectors, have large domestic and regional exposure and offer minimal exports to the U.S., DBS notes. The U.S. tariffs are also likely to be a secondary risk to the stocks compared with investor jitters over massive artificial-intelligence spending, the resurgence of oil prices and a potential Federal Reserve rate hike in September, they add. (megan.cheah@wsj.com)

0048 GMT - Macquarie looks fairly valued to Morgans analyst Richard Coles given his expectation that favorable market volatility is likely to plateau at some point. Maintaining a hold rating on the stock, Coles acknowledges the Australian financial group's strong start to fiscal 2027, but points out that a substantial increase in first-quarter profit contribution from its commodities and global markets unit reflects subdued conditions in the year-earlier period. Coles tells clients in a note that Macquarie remains a quality franchise with exposure to structural growth, including in infrastructure, but that it looks fairly priced at 19X earnings. Morgans lifts its target price 3.0% to 255.80 Australian dollars. Shares are up 1.1% at A$256.58. (stuart.condie@wsj.com)

0038 GMT - Macquarie's good start to fiscal 2027 lifts confidence in the earnings outlook among its bulls at Morgan Stanley. The investment bank's analysts are unconcerned that the Australian financial group maintained rather than lifted its guidance, pointing out in a note to clients that there is a strong second-half earnings skew at both its commodity and investment banking units. They see improving operating conditions supporting the revenue for Macquarie's investment bank, asset-management and commodities units, adding that earnings risks are tilted toward the upside. MS keeps an overweight recommendation on the stock and lifts its target price 3.8% to 273.00 Australian dollars. Shares are up 1.3% at A$257.14. (stuart.condie@wsj.com)

2346 GMT - Macquarie's bulls at Jarden caution that the announcement of a new CEO could herald further executive changes at the Australian financial group. Jarden's analysts keep a buy rating on the stock, but warn clients that the promotion of bank head Greg Ward to replace longstanding CEO Shemara Wikramanayake could take some time to be digested by the market. Macquarie'sability to promote from within--to "grow its own timber," as the analysts call it--is seen as a strength at Jarden, but does mean Macquarie will need at least a new head of banking and financial services. Jarden has an unchanged target price of 250.00 Australian dollars on the stock. Shares are at A$253.75 ahead of the open. (stuart.condie@wsj.com)

Macquarie's bull at Jefferies thinks the appointment of an internal candidate as CEO reduces risks of a material near-term strategy shift. Analyst Andrew Lyons tells clients in a note that the promotion of Greg Ward to CEO resolves longstanding succession uncertainty in the latter stages of Shemara Wikramanayake's eight-year tenure. Lyons thinks that Ward will be well received by investors due to his 30-year tenure at Macquarie, which has included leading its fast-growing retail banking business. His relationships with key regulators and tech experience are also positives, Lyons adds. Jefferies keeps a buy rating on the stock and raises its target price 12% to 284.03 Australian dollars. Shares are at A$253.75 ahead of the open. (stuart.condie@wsj.com)

(END) Dow Jones Newswires

July 24, 2026 04:20 ET (08:20 GMT)

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