Global markets await the Federal Reserve’s decision with expectations of a policy hold and investors parsing the statement for signals on a potential September hike, while key GDP and PCE data influence the policy path. Mega-cap tech earnings from Microsoft, Meta, Apple and Amazon, alongside AI spending trends, remain central to assessing whether AI investments translate into earnings amid ongoing valuation uncertainties. Escalating West Asia tensions and higher oil prices are stoking inflation concerns and volatility across equities and currencies, with Indian markets pressured as crude nears $100 and yields rise amid mixed signals. The coming week centers on crucial data releases—Q2 GDP, June Core PCE, and jobless claims—alongside FOMC communications that could shape policy expectations into late-2026. In currency markets, the yen weakens toward multi-decade lows and the dollar strengthens, while the RBI intervenes to support the rupee as oil prices climb, highlighting the broader risk-off environment.