Market Summary
Stocks finished mixed on Monday as a sharp retreat in semiconductor names weighed heavily on the technology-heavy averages while broad strength elsewhere allowed the DJIA to buck the negative trend. The Dow Jones Industrial Average closed at 53,417.16, up 140.15 points (+0.26%), while the S&P 500 slipped to 7,652.86, down 21.51 points (-0.28%), and the Nasdaq Composite underperformed with a decline of 200.26 points (-0.76%) to 26,001.23.
Semiconductors were the central story, with the PHLX Semiconductor Index tumbling 2.7% and the Information Technology sector falling 1.6% to the bottom of the sector standings. NVIDIA (NVDA 208.46, -6.26, -2.92%) extended its losing streak to seven consecutive sessions ahead of its Wednesday after-close earnings report. That weakness spilled into Industrials (-0.7%), pressured by Caterpillar (CAT 811.02, -16.88, -2.04%), Boeing (BA 210.46, -3.74, -1.75%), and continued softness in aerospace and defense names.
In contrast, eight of eleven S&P 500 sectors finished higher, led by Consumer Staples (+1.8%) on a Walmart (WMT 106.49, +2.79, +2.69%) rebound, and Financials (+1.2%) on strength in banking and payment names. Communication Services (+1.0%) also outperformed behind gains in Alphabet (GOOG 344.59, +2.84, +0.83%) and Meta Platforms (META 559.02, +9.12, +1.66%). A $2.09 (-2.4%) drop in WTI crude to $84.98/bbl and lower Treasury yields provided a constructive backdrop for rate-sensitive and consumer-facing groups, though small- and mid-cap benchmarks lagged, with the Russell 2000 and S&P MidCap 400 each down 0.8%.
Market Snapshot
| Index | Level | Change | % Change |
|—|—|—|—|
| DJIA | 53,417.16 | +140.15 | +0.26% |
| S&P 500 | 7,652.86 | -21.51 | -0.28% |
| Nasdaq Composite | 26,001.23 | -200.26 | -0.76% |
NYSE: Adv 1,385 | Dec 1,344 | Vol 1.05 bln
Nasdaq: Adv 1,931 | Dec 3,004 | Vol 7.35 bln
WaveFinder Breadth (2026-08-24):
- Primary Sentiment: Very Bullish
- 4% Sentiment: Bearish
- 40 SMA Sentiment: Neutral
- Primary Bulls: 1,147 | Bears: 793
- 4% Bulls: 100 | Bears: 177
- Above 20-day SMA: 42%
- Above 40-day SMA: 51.42%
- 9-Month Bulls: 8 | Bears: 15
- 9-Month Bull Follow-Through: 7.32%
YTD Performance:
- Russell 2000: +20.7%
- S&P MidCap 400: +15.0%
- S&P 500: +11.8%
- Nasdaq Composite: +11.8%
- DJIA: +11.1%
Sector Performance
1. Consumer Staples — +1.8% (led the market; Walmart rebound)
2. Financials — +1.2% (banking and payment names strong)
3. Communication Services — +1.0% (Alphabet, Meta gains)
4. Utilities — Positive (among Briefing.com “Strong” list)
5. Real Estate — Positive (among Briefing.com “Strong” list)
6. Consumer Discretionary — Positive (among Briefing.com “Strong” list; benefited from lower oil)
7. S&P 500 Equal Weighted Index — +0.1% (outperformed cap-weighted index)
8. Health Care — Not specifically quantified; WaveFinder ATR 3.13% (rising, P79)
9. Materials — Not specifically quantified; WaveFinder ATR 1.58% (flat, P74)
10. Energy — -0.8% (weighed by falling oil prices)
11. Industrials — -0.7% (Caterpillar, Boeing, aerospace/defense weakness)
12. Information Technology — -1.6% (worst performer; semiconductor selloff)
Note: Eight of eleven S&P 500 sectors finished higher on the session.
WaveFinder Sector Volatility (ATR):
- Communication Services: 2.61% (rising, P100)
- Energy: 3.16% (rising, P79)
- Health Care: 3.13% (rising, P79)
- Materials: 1.58% (flat, P74)
- Consumer Staples: 1.43% (flat, P89)
- Consumer Discretionary: 0.82% (flat, P63)
- Real Estate: 0.08% (flat, P63)
- Financials: 0.77% (falling, P16)
- Technology: -1.49% (falling, P5)
- Industrials: -1.01% (falling, P0)
- Utilities: -2.00% (falling, P5)
Key Earnings & Movers
- NVIDIA (NVDA) — 208.46, -6.26 (-2.92%); seventh straight losing session ahead of Wednesday after-close earnings
- Walmart (WMT) — 106.49, +2.79 (+2.69%); rebounded from post-earnings weakness, led Consumer Staples
- Caterpillar (CAT) — 811.02, -16.88 (-2.04%); weighed on Industrials
- Boeing (BA) — 210.46, -3.74 (-1.75%); aerospace/defense weakness
- Alphabet (GOOG) — 344.59, +2.84 (+0.83%); helped Communication Services
- Meta Platforms (META) — 559.02, +9.12 (+1.66%); helped Communication Services
- XPeng (XPEV) — New 52-week low after mixed Q2; adjusted loss of RMB1.29/ADS ($0.19), revenue +8% yr/yr to RMB19.74 bln; weak Q3 delivery guidance (115,000-121,000 units, roughly flat yr/yr)
- PDD Holdings (PDD) — Slid after third consecutive revenue miss; non-GAAP EPS beat but revenue growth slowed to 8% yr/yr; net income declined 12%
- Gorilla Technology Group (GRRR) — -10.6% after-hours; guided FY27 revenue below consensus despite 1H26 revenue growth of 99.3%
- Real REMAX Group (REAX) — +7.9% after-hours; authorized up to $450 mln share repurchase
- Parker-Hannifin (PH) — +3.0% after-hours; filed mixed securities shelf offering
- The Trade Desk (TTD) — -1.1% after-hours; filed mixed securities shelf offering
- Grand Canyon Education (LOPE) — -1.5% after-hours; CFO Daniel Bachus placed on administrative leave
- Vistra Corp (VST) — +0.8% after-hours; CEO James Burke bought 2,000 shares at $135 (~$270K)
- Nebius (NBIS) — Flat after-hours; closed $5.75 bln private convertible notes offering
Stock Spotlight
PDD Holdings (PDD) delivered a mixed Q2 that extended the company’s pattern of top-line disappointment. Non-GAAP diluted EPS beat expectations, but revenue missed the FactSet consensus for the third consecutive quarter, with overall growth slowing to just 8% yr/yr. The breakdown was telling: online-marketing services revenue rose only about 3% to RMB57.6 bln, while transaction-services revenue climbed 13% to RMB54.7 bln — suggesting healthy transaction activity but softer merchant advertising demand or monetization pressure.
Operating performance was more resilient than the headline suggests. Gross margin expanded to approximately 57.3% from 55.9%, driving an 8% rise in operating profit and a 5% increase in non-GAAP operating profit. However, total operating expenses climbed 13% as PDD stepped up merchant support and compliance investment, and net income ultimately declined 12% due to a RMB7.4 bln other loss versus modest other income a year ago. The company’s cash position remains formidable at RMB456.4 bln, but investors continue to lack a clear capital-return framework and transparent Temu/Pinduoduo segment disclosure, leaving the stock under pressure despite underlying profitability trends.
Bond Market & Treasuries
U.S. Treasuries opened the week with gains in longer tenors while the short end underperformed, finishing with a slim loss at the front of the curve.
Yield Check (Close):
- 2-yr: 4.24% (+1 bp)
- 3-yr: 4.30% (-1 bp)
- 5-yr: 4.41% (-2 bps)
- 10-yr: 4.70% (-3 bps)
- 30-yr: 5.23% (-5 bps)
Key Drivers: No significant U.S. economic data was released. The session was dominated by anticipation of Treasury Secretary Bessent’s press conference on “Operation Economic Outcast,” the new Iran economic pressure campaign involving sanctions on Iran-linked entities, brokerage networks, and shadow-fleet vessels, with potential secondary sanctions on five critical sectors. Separately, CNBC reported the Treasury’s general account — nearly $1 trillion — could be used to fund buybacks of longer-dated Treasuries, which helped drive outperformance in the long end. The U.S. Dollar Index rose 0.2% to 99.01.
Treasury Auction: $69 bln 2-yr Treasury note auction results (13:00 ET)
Commodities
| Commodity | Price | Change |
|—|—|—|
| WTI Crude Oil | $84.98/bbl | -2.09 (-2.4%) |
| Natural Gas | $2.83 | +0.06 |
| Gold | $4,695.00/ozt | +14.90 (+0.3%) |
| Silver | $68.57/ozt | -0.99 |
| Copper | $6.60/ozt | +0.01 (+0.2%) |
Crude oil’s decline below $85/bbl provided a favorable backdrop for oil-sensitive consumer and industrial names, though it weighed on the Energy sector (-0.8%).
Overseas Markets
Europe:
- DAX: -0.1%
- FTSE: +0.4%
- CAC: -0.4%
Asia:
- Nikkei: -0.7%
- Hang Seng: -1.9%
- Shanghai: -0.6%
Weak overnight showings in Asian markets contributed to laggard performance in memory and semiconductor-component stocks in the U.S. session. Currency moves included USD/JPY +0.2% to 159.18 and EUR/USD -0.1% to 1.1662.
Economic Data
There was no economic data of note released today.
Looking Ahead
Tomorrow (Tuesday, August 25):
- 9:00 ET: June FHFA Housing Price Index (prior 0.3%)
- 9:00 ET: July S&P Case-Shiller Home Price Index (Briefing.com consensus 1.8%; prior 1.6%)
- 10:00 ET: July New Home Sales (Briefing.com consensus 620,000; prior 628,000)
- 10:00 ET: August Consumer Confidence (Briefing.com consensus 90.6; prior 90.8)
Later This Week:
- Wednesday: July Personal Income/Outlays; second estimate of Q2 GDP (Briefing.com consensus 1.5%; prior 1.5%); NVIDIA (NVDA) reports earnings after the close
- Thursday–Saturday: Kansas City Fed’s Jackson Hole Symposium (“Financial Innovation: Implications for Payments and Policy”); Bank of Japan Deputy Governor Himino expected to hint at more rate hikes (Thursday)
- Friday: Fed Chairman Warsh delivers keynote address at Jackson Hole
Other Notables:
- Canada’s retaliatory tariffs on U.S. goods set to take effect September 8
- Reported potential 7.5% U.S. tariff on Chinese imports (would raise overall China tariff rate to 20%)
- Aggreko, Inc. files IPO prospectus with the SEC (share count/price range not yet determined)