Market Summary
U.S. equities closed out a volatile week on a strong note, with the Dow Jones Industrial Average leading a broad Friday rebound. The DJIA surged 517.80 points (+0.98%) to 53,277.01, while the S&P 500 added 33.21 points (+0.43%) to close at 7,674.37 and the Nasdaq Composite gained 113.29 points (+0.43%) to finish at 26,201.49. The rally was broad-based, with the Russell 2000 outperforming at +0.9% and the S&P MidCap 400 rising in line with the S&P 500 at +0.4%, as stabilizing Treasury yields and oil prices removed two key headwinds that had pressured markets earlier in the week.
Precious metals leadership was the standout theme of the session, with materials stocks topping the sector standings as gold surged 2.4% and silver climbed 2.1%. Financials and crypto-adjacent names also drove gains, with Robinhood (+13.70%) and Coinbase (+8.20%) rallying alongside an extended Bitcoin surge. Health care outperformed on a Moderna rebound, while consumer discretionary strength was fueled by company-specific catalysts at Tesla, Target, and Ross Stores. Semiconductors remained the lone soft spot, with the PHLX Semiconductor Index slipping 0.5% and capping a difficult week for chip stocks, keeping the technology sector flat despite gains in software names.
Despite Friday’s broad advance, the major averages finished the week firmly lower: the S&P 500 fell 1.4%, the Nasdaq dropped 2.1%, and the DJIA declined 0.9% as a sharp semiconductor pullback, rising oil prices, and elevated Treasury yields weighed on sentiment for much of the week. Attention now turns to a heavy catalyst calendar next week, headlined by Wednesday’s PCE Price Index and NVIDIA’s earnings report after Wednesday’s close.
Market Snapshot
| Index | Level | Change | % Change |
|—|—|—|—|
| DJIA | 53,277.01 | +517.80 | +0.98% |
| Nasdaq Composite | 26,201.49 | +113.29 | +0.43% |
| S&P 500 | 7,674.37 | +33.21 | +0.43% |
NYSE: Advancers 1,652 | Decliners 1,068 | Volume 1.16 bln
Nasdaq: Advancers 3,147 | Decliners 1,781 | Volume 7.44 bln
WaveFinder Breadth (as of 8/21/26):
- Primary Sentiment: Bullish (Bulls 857 / Bears 526)
- 4% Sentiment: Bullish (Bulls 274 / Bears 77)
- 40 SMA Sentiment: Neutral
- Stocks above 20-day SMA: 60%
- Stocks above 40-day SMA: 54.9%
- 9-Month Bulls: 31 | Bears: 9 (Follow-Through: 25%)
Year-to-Date Performance:
- Russell 2000: +21.6% YTD
- S&P MidCap 400: +15.9% YTD
- Nasdaq Composite: +12.6% YTD
- S&P 500: +12.1% YTD
- DJIA: +10.9% YTD
Sector Performance
1. Materials +2.2% — precious metals rally lifted Newmont and Freeport-McMoRan (ATR 1.88%, flat, P95)
2. Health Care +1.3% — Moderna rebound (ATR 3.58%, flat, P100)
3. Financials +1.0% — banking and crypto-linked strength (ATR 0.88%, falling, P26)
4. Consumer Discretionary +0.9% — Tesla, Target, Ross Stores catalysts (ATR 0.55%, falling, P47)
5. Communication Services +0.9% — Alphabet, Meta gains (ATR 2.41%, rising, P100)
6. Industrials — listed among session’s strong sectors; specific % not disclosed (ATR -0.48%, falling, P0)
7. Information Technology Flat — software strength offset by semiconductor weakness (ATR -1.05%, flat, P32)
8. Energy -0.2% — crude little changed (ATR 3.39%, rising, P89)
9. Real Estate — listed among session’s weak sectors; specific % not disclosed (ATR -0.21%, flat, P32)
10. Consumer Staples — not specified in today’s sector commentary (ATR 0.83%, flat, P58)
11. Utilities -2.3% — sole S&P 500 sector with a sizable decline (ATR -2.41%, flat, P0)
Key Earnings & Movers
- Robinhood Markets (HOOD) $108.13, +13.03 (+13.70%) — crypto-related strength as Bitcoin extended its weekly surge
- Freeport-McMoRan (FCX) $76.67, +5.45 (+7.65%) — tracked gold/copper rally
- Moderna (MRNA) $145.13, +11.81 (+8.86%) — rebounded after giving back part of Wednesday’s cancer-vaccine rally
- Coinbase Global (COIN) $186.49, +14.14 (+8.20%) — crypto-linked gains
- Tesla (TSLA) $362.86, +17.73 (+5.14%) — Nevada approved robotaxi services in Clark County
- Target (TGT) $165.42, +7.17 (+4.53%) — extended post-earnings momentum to a multi-year high
- Ross Stores (ROST) $239.04, +10.05 (+4.39%) — beat-and-raise Q2 earnings report
- Newmont Corporation (NEM) $131.58, +3.94 (+3.09%) — gold rally
- Alphabet (GOOG) $341.75, +3.55 (+1.05%) — lifted communication services
- Meta Platforms (META) $549.90, +4.07 (+0.75%) — lifted communication services
- Marvell Technology (MRVL) $237.04, -13.97 (-5.57%) — profit-taking after Wednesday’s nearly 10% surge on Alphabet custom-silicon deal
- NVIDIA (NVDA) $214.76, -2.09 (-0.96%) — weighed by semiconductor sector weakness; earnings due Wednesday
- Boston Beer (SAM) — shares lower after disclosing CFO Diego Reynoso’s departure effective Sept. 14; Q2 adjusted EPS of $3.65 missed expectations, net revenue fell 3.3%
Stock Spotlight
Ross Stores (ROST) was among the session’s standout performers, closing at $239.04 (+10.05, +4.39%) after delivering a beat-and-raise Q2 (July) report. The off-price retailer posted revenue growth of 13.3% year-over-year to $6.26 billion and EPS of $2.66, which included an approximate $0.60 benefit from tariff refunds — though results still topped expectations even excluding that benefit. Comparable sales rose a robust 10%, well above the company’s 6-7% plan and marking the second consecutive quarter of double-digit comp growth, driven primarily by transaction gains from new, returning, and more frequent existing shoppers.
Gross margin expanded 625 basis points year-over-year (610 bps operating margin expansion), with roughly 405 bps attributable to the tariff-refund benefit; excluding that item, operating margin still expanded a healthy 205 bps on improved merchandise margin and lower distribution costs. Management raised its full-year outlook despite tougher upcoming comparisons, guiding FY27 EPS to $8.61-$8.77 and lifting its store-opening plan to 115 locations from 110. The report reinforces a broader trend of resilient, traffic-driven strength in the off-price retail channel even as other consumer categories show more mixed signals.
Bond Market & Treasuries
Treasuries finished the week on a lower note, giving back a brief midweek boost tied to news that the Treasury will increase its buyback allowance for longer-dated securities. Friday’s session saw a steady retreat across the curve, with the 10-year yield settling just below its 2026 high from late July.
Yield Levels (Friday close / weekly change):
- 2-yr: 4.23% (+4 bps day / +6 bps week)
- 3-yr: 4.31% (+4 bps day / +6 bps week)
- 5-yr: 4.42% (+4 bps day / +6 bps week)
- 10-yr: 4.74% (+4 bps day / +4 bps week)
- 30-yr: 5.28% (+4 bps day / +1 bp week)
The U.S. Dollar Index slipped 0.1% to 98.81, remaining near its lowest level since mid-May and down 0.8% for the week. Treasury Secretary Bessent reiterated that his department has multiple tools to address liquidity issues, though the market has maintained a “show me” posture. Currency moves were modest: EUR/USD unchanged at 1.1682, USD/JPY unchanged at 159.02, GBP/USD +0.2% to 1.3652, and USD/CNH unchanged at 6.7206.
Commodities
- WTI Crude: $87.07/bbl, -1.2% — gained nearly $5/bbl for the week amid Iran-related geopolitical tensions
- Gold: $4,680.10/ozt, +2.4% — extended August advance to nearly $600/oz
- Silver: $69.56/oz, +2.1%
- Copper: $6.59/lb, +1.9%
Overseas Markets
Overnight action was subdued across Asia and Europe, with a heavy slate of flash August PMI data providing the key focus. Japan’s Manufacturing PMI came in at 55.1, marking an eighth consecutive month of expansion, while the eurozone’s composite reading of 52.8 expanded at its fastest pace in over four years. Germany’s flash Manufacturing PMI beat expectations at 54.1 (vs. 52.1 expected), though its Services PMI slipped to 48.5. France’s Manufacturing PMI improved to 51.5 while Services softened to 48.4. The U.K. posted mixed results, with July Retail Sales down 0.5% m/m (better than the -0.4% forecast) but Core Retail Sales down 0.9% m/m, missing expectations.
In Asia-Pacific data, Japan’s July National CPI rose 1.9% yr/yr (Core CPI +1.8% yr/yr, as expected), and South Korea’s exports through the first 20 days of August were up a striking 56% yr/yr, with chip exports “almost tripling.” China’s July FDI fell 6.2% year-to-date. Japan’s Prime Minister Takaichi is reportedly planning cabinet changes for the second half of September.
Economic Data
- Flash August S&P Global U.S. Services PMI: 56.8 (vs. 54.6 in July) — notable acceleration
- Flash August S&P Global U.S. Manufacturing PMI: 53.2 (vs. 53.9 in July) — modest deceleration
The stronger services reading helped support Friday’s risk-on tone alongside stabilizing yields and oil prices.
Looking Ahead
Monday (8/24): No notable economic releases scheduled.
Tuesday (8/25):
- June FHFA Housing Price Index (prior: 0.3%) – 9:00 ET
- July S&P Case-Shiller Home Price Index (consensus: 1.8%; prior: 1.6%) – 9:00 ET
- July New Home Sales (consensus: 620,000; prior: 628,000) – 10:00 ET
- August Consumer Confidence (consensus: 90.6; prior: 90.8) – 10:00 ET
- $69 billion 2-year Treasury note auction – 13:00 ET
Wednesday (8/26):
- Weekly MBA Mortgage Index (prior: -0.4%) – 7:00 ET
- Q2 GDP – second estimate (consensus: 1.5%; prior: 1.5%)
- Q2 GDP Deflator – second estimate (consensus: 6.3%; prior: 6.3%)
- July Personal Income (consensus: 0.2%; prior: 0.2%)
- July Personal Spending (consensus: 0.2%; prior: 0.3%)
- July PCE Price Index (consensus: 0.1%; prior: -0.1%)
- NVIDIA (NVDA) earnings after the close — widely viewed as the centerpiece event of the week given recent semiconductor and AI-stock volatility
Markets will also continue monitoring Treasury liquidity-management developments and any follow-through in precious metals and crypto-related strength heading into the holiday-shortened week.