Key Takeaways
- US military forces launched heavy retaliatory strikes against multiple targets in southern Iran, including Abadan, Ahvaz, and Bushehr, following an Iranian missile attack on a US base in Jordan.
- Germany and Italy both reported Q2 GDP growth of 0.2%, exceeding analyst expectations of 0.1%, though German inflation accelerated to 2.8% in July.
- The EU Council amended its Ukraine Plan to include an additional €8.3 billion in financing for 2026, contingent on strict rule-of-law and anti-corruption reforms.
- Australia’s eSafety regulator commenced civil proceedings against Telegram, seeking penalties up to A$54.6 million ($38 million) for failing to remove pro-terrorist material.
- JPMorgan lowered its price target for Qualcomm (QCOM) to $215, citing near-term pressure from component costs and a slowdown in the China Android market.
US-Iran Conflict Reaches New Flashpoint
The US military conducted a "heavy wave of strikes" across southern Iran overnight on July 30, 2026, utilizing M142 HIMARS launchers stationed in Kuwait. The operation targeted Revolutionary Guard Corps (IRGC) command centers, drone facilities, and coastal defense sites in Abadan, Ahvaz, Bushehr, Kish Island, and Bandar Abbas. These strikes were a direct response to an Iranian ballistic missile attack on a US base in Jordan earlier this week, which had shattered a brief five-day pause in hostilities.
In a related diplomatic development, China officially denied reports that it plans to supply Iran with up to 400 shoulder-fired air defense systems. Foreign Ministry spokesperson Mao Ning characterized the reports as "not factual at all," emphasizing that Beijing continues to advocate for a peaceful resolution to the regional conflict. Pakistan also rejected claims that it would provide transit for such shipments, calling the speculations "baseless."
Eurozone Economies Show Resilience Amid Inflationary Pressure
Preliminary data released Thursday shows the German economy grew by 0.2% in Q2 2026, slightly beating the 0.1% consensus estimate. Growth was primarily driven by a rise in exports, though domestic household consumption remained subdued and capital investment saw a decline. Simultaneously, regional inflation data from German states like Saxony (2.8%) and Bavaria (2.8%) suggests that national inflation is accelerating again, potentially complicating the European Central Bank’s future interest rate path.
Italy’s GDP also expanded by 0.2% in the second quarter, marking its fourth consecutive period of growth and exceeding the 0.1% forecast. The Italian expansion was supported by a resilient services sector, which managed to offset contractions in industry and agriculture. On an annualized basis, Italy's growth reached 1.0%, significantly higher than the 0.7% previously estimated by analysts.
EU Bolsters Ukraine Support; Tech Sector Faces Regulatory and Market Headwinds
The EU Council has finalized amendments to the Ukraine Plan, allocating an extra €8.3 billion for 2026 through the Ukraine Support Loan mechanism. This funding, generated in part from the revenues of frozen Russian assets, is tied to 27 new reform milestones that Kyiv must meet, specifically regarding anti-corruption and the rule of law. This brings the broader EU loan program to approximately €90 billion, with a significant portion dedicated to defense production.
In the technology sector, Qualcomm (QCOM) shares faced renewed scrutiny as JPMorgan cut its price target to $215 from $265. While the firm maintains a "Neutral" rating, analysts pointed to "unprecedented memory prices" and higher manufacturing inputs as factors squeezing margins. Meanwhile, Telegram is facing a major legal challenge in Australia, where the eSafety Commissioner alleges the platform ignored takedown notices for videos of extremist violence. The regulator is seeking a maximum civil penalty of A$54.6 million, marking one of the most significant legal actions against the messaging app to date.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.