Oil Price Surge and Yen Intervention Spark Market Volatility

The global markets are facing a pivotal moment on August 2, 2026, as crude oil prices surge by 26.57% in July to $86.80 per barrel.

This sharp increase has dramatically shifted Federal Reserve rate hike probabilities from under 53% to 82% for September.

The US and Japan executed a rare coordinated intervention on August 1 to prop up the yen, causing it to rally over 1% against the dollar and euro, reaching its highest level since early May.