Expo News Today — July 31, 2026

The global economy is showing mixed signals as the latest data from China reveals a contraction in factory activity for July, suggesting that the export-driven growth may be losing steam. This development comes as technology stocks experience a resurgence, driven in part by the ongoing excitement around artificial intelligence. Major players in the semiconductor industry, such as SK Hynix and Samsung, have seen significant gains in their share prices, with SK Hynix surging 25% and Samsung soaring over 20%.

The AI rally appears to be selectively boosting certain stocks, including those of tech giants like Microsoft, which recently reported earnings that sent its stock to a historic gain. However, not all tech stocks are benefiting equally, with software stocks in general experiencing a decline. Within this sector, a few companies are expected to stand out for the rest of the year, according to analysts. Meanwhile, the competitive landscape in AI continues to evolve, with China reportedly taking a lead in open-weight models, highlighting a potential blind spot in the US approach to AI development. These developments are set to influence market dynamics and investor strategies in the days to come.

Today's signal:
• China's factory activity unexpectedly contracts in July as export rush fades (cnbc.com)
• We're raising our Apple price target, seeing plenty of good despite the memory crunch knocks (cnbc.com)
• SK Hynix shares surge 25%, while Samsung soars over 20% as AI rally roars back (cnbc.com)
• Software stocks are fading — but these 4 could shine through the rest of the year (marketwatch.com)
• Why Microsoft’s stock soared to a historic gain after earnings (marketwatch.com)
• China’s open-weight model lead exposes America’s AI blind spot (cnbc.com)