The latest Market Talks covering Equities. Published exclusively on Dow Jones Newswires throughout the day.

0709 GMT - The artificial intelligence investment opportunity is expanding beyond semiconductors, with demand growing for optical interconnects, advanced materials and power systems, Allianz Global Investors says in a note. While inflation remains elevated in many parts of the world and geopolitical risks continue to warrant caution, the overall investment backdrop remains constructive for investors willing to remain selective and diversified, the asset manager says. In Asia, investors can find opportunities in hardware suppliers and China's AI ecosystem among other themes. Allianz remains overweight equities, with the strongest conviction in emerging markets then Japan, U.S. equities, and Europe, it says. (kosaku.narioka@wsj.com; @kosakunarioka)

0701 GMT - National Grid's first-half performance update is slightly positive, Jefferies analysts write. The grid operator now sees EPS growth for fiscal 2027 just above its previous 13% to 15% guidance. The 15% upper range of this implies around 88.9 pence, which is 3% above consensus expectations, they write. (adam.whittaker@wsj.com)

0655 GMT - Higher bond yields are hitting rate-sensitive sectors first, Saxo Markets chief market strategist Charu Chanana says in a research note. Utilities and real estate sectors face higher refinancing costs and stronger competition from bonds, she notes. "If investors can earn more than 5% from U.S. government debt, stocks need to offer a more compelling return to justify the additional risk," Chanana says. AI has been the market's shelter as strong earnings and balance sheets are helping mega-cap tech withstand higher yields, the strategist notes. As tech stocks have offset the weakness elsewhere, the S&P 500 has appeared resilient despite the bond selloff. However, that means the market is increasingly dependent on a narrow group of companies continuing to deliver exceptional growth, she adds. (sherry.qin@wsj.com)

0654 GMT - Haier Smart Home's 3Q performance could be weighed by weak demand in China's home-appliance industry, particularly the air-conditioner business, Citi analyst Xiaopo Wei says in a note. Pointing to the year-over-year decline in aircon shipments in August and the 13% year-over-year increase in its inventory at end-2Q, Citi expects channel destocking. It cuts its 2026, 2027 and 2028 net-profit estimates by 4%, 6% and 5%, respectively, and sales estimates by 4%, 4% and 6%, respectively. Citi lowers its A-share target to 25.30 Chinese yuan from 26.30 yuan and H-share target to 27.80 Hong Kong dollars from HK$28.90. It maintains a buy rating on both. Its Shanghai listed shares closed 1.04% higher at 20.42 yuan on Wednesday, while its Hang Seng listed shares are last down 1.4% at HK$19.79. (venkat.pr@wsj.com)

0546 GMT - Gunkul Engineering might benefit from a new investment cycle in Thailand's power infrastructure, ttb wealth securities' Nuttapop Prasitsuksant says in a note as the brokerage maintains the stock's buy rating. Drivers include surging demand from data-center investment boom and other advanced manufacturing industries, as well as Thailand's policy to raise the share of renewable generation under the Power Development Plan 2026, the analyst says. The Thai company is exposed to this potential opportunity via its engineering, procurement, and construction services business and its renewable power development business. However, the brokerage trims the stock's target price to 5.80 baht from 6.00 baht to partly reflect near-term drag from asset divestment. Shares are 2.0% higher at 5.15 baht. (ronnie.harui@wsj.com)

0545 GMT - New World Development could have greater flexibility for further deleveraging after the termination of the 11 SKIES sublease, which removes a major overhang for its stock, says DBS Group Research analysts in a note. The sublease's early termination likely frees the company from heavy long-term financial obligations amid a challenging operating environment, they say. The Hong Kong conglomerate's potential to reduce financial leverage--debt used to fund an investment for higher returns--is likely to be a key driver of New World's shares, which has fallen 25% in the past six months, the analysts add. DBS cuts its target price to 7.03 Hong Kong dollars from HK$11.17 and maintains its hold rating. Shares fall 1.55% to HK$5.73.(megan.cheah@wsj.com)

0529 GMT - Inflation in Taiwan is likely to have stayed elevated in September amid higher energy prices and strong domestic demand. The island's consumer prices likely rose 2.4% from a year earlier, according to a poll of six economists polled by The Wall Street Journal. While the rebound in oil prices have lifted transport costs, the earlier arrival of the Mid-Autumn Festival this year may have boosted food and services prices, DBS economists say. After the Taiwan central bank stood pat for another quarter in September despite rising inflation, markets will closely watch the next inflation reports ahead of the December decision meeting. DBS expects a modest 12.5bp hike for the policy rate to 2.125% in December. (sherry.qin@wsj.com)

0511 GMT - The Singapore real-estate investment trust sector's commercial asset deal activity is seen underpinned by safe-haven liquidity and low local interest rates, says UOB Kay Hian's Jonathan Koh in a note. While the city-state's REIT gauge has underperformed the benchmark FTSE Straits Times Index year-to-date, firm asset valuationsand continued low cost of debt are still likely to support the sector, he says. The analyst expects the sector's equities to be resilient, as he views them as major laggards. UOB KH maintains an overweight rating on the sector. Its top picks include Centurion Accommodation REIT and CapitaLand Integrated Commercial Trust.(megan.cheah@wsj.com)

0500 GMT - Tosoh Corp.'s earnings may be hit by weak polyvinyl chloride market conditions, say SMBC Nikko Securities analysts in a report. Increased supply of methylene diphenyl diisocyanate from new plants of other companies is also near-term concern. In late September, BASF said it had secured an industrial site in India and was advancing a feasibility study for a potential MDI production complex there, they note. In June, Covestro unveiled plans for an MDI project in China and a feasibility study for another project in the U.A.E. The brokerage lowers Tosoh Corp.'s target price to 2,500 yen from Y2,600 with an unchanged neutral rating. Shares are 0.8% higher at Y2,624.