Market Summary
U.S. equities closed out the trading week on a strong note, with all five major averages finishing higher on Friday, September 25, as a sharp reversal in crude oil prices and encouraging headlines around U.S.-Iran diplomacy broadened market participation. The Dow Jones Industrial Average led with a gain of 478.64 points (+0.93%) to 51,828.53, while the S&P 500 added 39.28 points (+0.51%) to close at 7,743.51 and the Nasdaq Composite rose 129.34 points (+0.48%) to 27,089.76. The Russell 2000 (+0.1%) and S&P Mid Cap 400 (+0.3%) also turned positive after spending much of the morning underwater.
Technology and semiconductors remained the primary engines of strength, with the Information Technology sector advancing 1.0% and the PHLX Semiconductor Index up 1.4%. Microsoft (+3.66%) was a standout mega-cap and Dow component, while Industrials (+0.9%) and Financials (+0.5%) also contributed to a broadening advance. The pivotal catalyst was a $2.51 (-2.7%) plunge in WTI crude to $92.17/bbl, driven by reports that U.S.-Iran talks had entered a “technical phase” with a potential Strait of Hormuz agreement in focus. That relief in energy prices helped ease inflation concerns and supported a late-day bounce in Treasuries. Eight of eleven S&P 500 sectors finished higher, though breadth remained only modestly positive (NYSE advancers/decliners of 1,513/1,203), underscoring a market still led disproportionately by mega-cap and AI-linked names even on an up day.
For the week, the S&P 500 gained 1.2% and the Nasdaq climbed 2.1%, with the Dow up a more modest 0.3%, snapping a three-week losing streak. However, participation remained uneven: the Russell 2000 fell 0.8% and the S&P Mid Cap 400 slipped 0.1% for the week, while the equal-weighted S&P 500 underperformed the cap-weighted index by more than two percentage points. Rising Treasury yields — a defining theme of the month — continued to pressure rate-sensitive sectors and smaller-cap names even as technology and semiconductor leadership powered the headline indices to weekly and monthly gains.
Market Snapshot
| Index | Level | Change | % Change |
|—|—|—|—|
| Dow Jones Industrial Average | 51,828.53 | +478.64 | +0.93% |
| Nasdaq Composite | 27,089.76 | +129.34 | +0.48% |
| S&P 500 | 7,743.51 | +39.28 | +0.51% |
Breadth (NYSE): Advancers 1,513 | Decliners 1,203 | Volume 1.06 bln
Breadth (Nasdaq): Advancers 2,588 | Decliners 2,291 | Volume 7.32 bln
WaveFinder Breadth Metrics (as of 9/25/26):
- Primary Sentiment: Bearish | 4% Sentiment: Bullish | 40 SMA Sentiment: Neutral
- Primary Bulls: 422 | Bears: 640
- 4% Bulls: 140 | Bears: 115
- % of stocks above 20-day SMA: 40%
- % of stocks above 40-day SMA: 21.02%
- 9-Month Bulls: 8 | Bears: 5 (Bull Follow-Through: 28.57%)
The breadth data reveals a market still narrowly led — despite the positive headline close, the Primary Sentiment reading remains Bearish, and only about one-fifth of stocks trade above their 40-day moving average, reinforcing the “mega-cap masking broader weakness” narrative.
Sector Performance
Ranked by daily performance (Briefing.com Industry Watch + narrative detail):
1. Information Technology +1.0% — Strong; led by semiconductors and mega-caps (MSFT +3.66%)
2. Industrials +0.9% — Strong; boosted by semiconductor-linked names (Bloom Energy +8.27%)
3. Financials +0.5% — Strong
4. Materials — Strong (magnitude not specified)
5. Consumer Discretionary — Positive (among the eight sectors higher; magnitude not specified)
6. Consumer Staples — Positive (magnitude not specified)
7. Health Care — Positive (magnitude not specified)
8. Utilities — Positive (magnitude not specified)
9. Real Estate -0.4% — Weak
10. Communication Services -0.7% — Weak; Meta Platforms pullback (-3.33%) weighed heavily
11. Energy -0.9% — Weak; tracked crude oil’s 2.7% decline
Note: Eight of eleven S&P 500 sectors finished higher on the session; only Energy, Communication Services, and Real Estate declined.
Key Earnings & Movers
- Microsoft (MSFT) — $516.17, +$18.24 (+3.66%): Top Dow performer, driving the blue-chip index’s outperformance.
- Costco (COST) — $922.76, +$26.28 (+2.93%): Rallied on better-than-expected Q4 earnings, resilient comparable-sales growth, and improving membership renewal rates.
- Akamai Technologies (AKAM) — $113.94, +$3.53 (+3.20%): Surged after expanding its Anthropic partnership via an $11.6 billion, seven-year contractual commitment, with potential total value reaching $20 billion.
- Bloom Energy (BE) — $288.70, +$22.05 (+8.27%): Among the day’s biggest gainers, lifting the Industrials sector on semiconductor/AI infrastructure-linked strength.
- Meta Platforms (META) — $751.66, -$25.93 (-3.33%): Pulled back following its substantial “Muse”-driven rally in recent weeks, pressuring Communication Services.
- Rocket Lab USA (RKLB) — Iridium stockholders approved the merger agreement, advancing RKLB’s end-to-end space platform strategy; financing for the deal is fully secured following a $1.944 billion ATM offering and Iridium’s amended $1.775 billion term loan.
- Scholastic Corp (SCHL) — Traded sharply lower after Q1 (FY27) results showed a widened adjusted operating loss ($88.7 mln vs. $81.9 mln) and heavier free cash outflow ($110.8 mln vs. $100.2 mln), driven by a 24% decline in Education segment revenue; FY27 guidance was reaffirmed.
Stock Spotlight
Akamai Technologies (AKAM): AI Infrastructure Deal Validates Strategic Pivot
Akamai shares jumped 3.20% to $113.94 after the company announced a major expansion of its relationship with Anthropic, anchored by an $11.6 billion contractual commitment over seven years. Potential additional commitments could bring the total relationship value to as much as $20 billion, making this one of the more significant AI-infrastructure partnerships disclosed this week. The deal underscores growing enterprise demand for edge computing, security, and delivery infrastructure to support large-scale AI model deployment — a theme that has increasingly driven capital allocation decisions across the technology sector.
The announcement arrives amid a broader market narrative in which mega-cap and AI-infrastructure-linked names have been the primary source of index-level strength, even as the equal-weighted market and smaller-cap stocks struggle against a backdrop of rising Treasury yields. Akamai’s ability to secure a multi-year, multibillion-dollar commitment from a leading AI developer offers tangible evidence that the AI infrastructure buildout continues to generate real, monetizable demand — reinforcing why semiconductor and technology-adjacent names remain a favored destination for capital despite this month’s rate-driven volatility elsewhere in the market.
Bond Market & Treasuries
U.S. Treasuries endured a volatile session but finished on a firmer note, with price swings largely dictated by the reversal in crude oil and a sense that yields were technically oversold after a sharp September climb.
Yield Changes (Daily / Weekly):
- 2-yr: 4.85% (-6 bps day / +10 bps week)
- 3-yr: 4.93% (-6 bps day / +9 bps week)
- 5-yr: 4.99% (-5 bps day / +12 bps week)
- 10-yr: 5.16% (-2 bps day / +16 bps week) — intraday high of 5.22%
- 30-yr: 5.49% (+2 bps day / +16 bps week)
Shorter-dated securities outperformed longer maturities in a curve-steepening trade. The 10-year note yield remains near its highest level since 2007, having surged 44 basis points in September alone on stubborn inflation, robust economic data (Atlanta Fed GDPNow Q3 estimate of 5.0%), and elevated debt issuance concerns. The CME FedWatch Tool currently assigns a 64.2% probability to another 25-basis-point rate hike at the October FOMC meeting. The U.S. Dollar Index fell 0.3%, driven by yen strength (USD/JPY -1.1% to 157.14).
Commodities
- WTI Crude Oil: $92.17/bbl, -2.7% (-$2.51) — driven by reports of a potential U.S.-Iran diplomatic breakthrough regarding the Strait of Hormuz
- Gold: $4,320.50/ozt, +0.5%
- Copper: $6.77/lb, -0.1%
- Silver: Not available in today’s data
Overseas Markets
Specific Asian and European index-level performance was not included in today’s available briefing materials. Notable overseas/geopolitical developments included:
- The Trump-Xi summit reportedly yielded few concrete economic outcomes (WSJ), though President Trump urged Xi to reduce China’s support for Iran.
- Japan Prime Minister Sanae Takaichi described the yen as “problematic” given its undervaluation (Bloomberg), coinciding with a 1.1% strengthening move in USD/JPY to 157.14.
- Gulf allies reportedly want President Trump to maintain pressure on Iran (WSJ) even as diplomatic talks progress.
- Saudi Arabia’s crude oil exports reached their highest level since the Iran war began, per CNBC.
Currency Levels: EUR/USD 1.1400 (+0.2%), GBP/USD 1.3252 (+0.2%), USD/CNH 6.7231 (+0.1%), USD/JPY 157.14 (-1.1%)
Economic Data
- August Durable Goods Orders: 0.0% m/m (Briefing.com consensus: -0.4%; prior revised to +0.9% from +1.1%)
- Durable Goods ex-Transportation: +0.3% m/m (consensus: +0.5%; prior revised to +0.7% from +0.4%)
- Nondefense Capital Goods ex-Aircraft (business spending proxy): +1.6% m/m, following +0.6% in July — a notably strong reading reflecting continued economic growth momentum
- University of Michigan Consumer Sentiment (Final, September): 48.1 (consensus: 47.8; preliminary: 47.8; August final: 51.7; year-ago: 55.1) — high prices continue to weigh on consumer sentiment and forward-looking expectations
Looking Ahead
Monday, Sept 28: No U.S. economic data of note
Tuesday, Sept 29: July FHFA Housing Price Index; S&P Case-Shiller Home Price Index; September Consumer Confidence; September JOLTS Job Openings
Wednesday, Sept 30: MBA Mortgage Applications; September ADP Employment Change; August Personal Income and Spending (including PCE Price Index); Q2 GDP – Third Estimate; August Advance International Trade in Goods, Retail Inventories, and Wholesale Inventories; September Chicago PMI; EIA Crude Oil Inventories
Thursday, Oct 1: Initial and Continuing Jobless Claims; September S&P Global U.S. Manufacturing PMI (Final); August Construction Spending; September ISM Manufacturing Index; EIA Natural Gas Inventories
Friday, Oct 2: September Employment Situation Report; August Factory Orders
Markets will keep a close eye on Wednesday’s PCE Price Index as the next key inflation gauge ahead of the October FOMC meeting, where futures markets currently price a 64.2% probability of another 25-basis-point rate hike.