Daily Update — February 5, 2026
Steel Decarbonization in India; Stablecoin Adoption; and Liquidity Outlook 2026
Today is Thursday, February 5, 2026, and here’s your curated selection of Essential Intelligence on global markets from S&P Global. Subscribe to be notified of each new Daily Update.
Energy Transition & Sustainability
Indian budget's infrastructure push, decarbonization aid to support steel industry
The infrastructure drive of Indian’s 2026–27 Union Budget is set to spur strong demand for steel and support the sector's green transition. The budget, announced Feb. 1, highlighted the government's focus on scaling manufacturing and infrastructure development. Indian Finance Minister Nirmala Sitharaman proposed 12.2 trillion rupees of capital expenditure for fiscal 2026–27, up from 11.2 trillion rupees in the previous fiscal year, maintaining momentum in public investment-led growth.
"The … effective increase in capital expenditure, supported by measures to improve logistics and assistance to downstream [micro, small and medium enterprises], is expected to sustain infrastructure activity and steel demand," Indian Steel Association President and Jindal Steel Chairman Naveen Jindal said on X.
Digital Assets
Listen: Stablecoin Adoption: The Next Wave
Stablecoins are designed to keep a steady value — by pegging to a reserve asset such as the US dollar — while delivering the speed and lower cost of blockchain-based payments. In this episode of “The Decisive” podcast, S&P Global Market Intelligence economist Robert Matthee joined host Kristen Hallam to explain how stablecoins work, why their market has surged to an estimated $300 billion and the drivers behind the market’s forecast growth.
Matthee and Hallam also discussed the factors powering adoption, including demand for cheaper cross-border transfers, growing use by major issuers and the impact of clearer regulation — including the Guiding and Establishing National Innovation for U.S. Stablecoins Act — on mainstream acceptance.
Economy
Liquidity Outlook 2026: Six Questions, Six Answers
Uncertainty for the macroeconomic outlook and volatility are persisting into 2026. Given the unpredictability, S&P Global Ratings addressed six questions on key issues that could affect liquidity and volatility in global credit markets during the year.
Increasing leverage at nonbank financial institutions could exacerbate financial fragilities and put pressure on central banks again, particularly if downside risks from weakening AI valuation tailwinds become more apparent. The US Federal Reserve is likely to pursue measured rate cuts in 2026 while its strong institutional foundation bolsters confidence in its independence. Clarification of US bank capital and stablecoin regulations could also gradually affect systemwide liquidity. Leveraged borrowers will rely on private and broadly syndicated markets to meet refinancing needs until 2028.
In case you missed it
- Indonesia issued import licenses for 3.1 million metric tons of raw sugar for 2026, multiple Asia-based trade sources and a Jakarta-based importer said Feb. 2.
- Islamic finance in South Africa has grown rapidly in recent years, but product complexity and a small Muslim population means it will remain a niche industry.
- US real estate investment trust stocks edged higher during the week ended Jan. 30. The Dow Jones Equity All REIT Index rose 0.56% week over week, while the MSCI US REIT Index grew 0.74%.
Upcoming events
- Asia-Pacific Corporate Outlook Virtual Conference 2026: New Plans, New Tails, New Players | February 9 (Webinar)
- 2026 Investment Outlook: Market Trends and Insights for the Year Ahead | February 10 (Webinar)