Chartstopper: June 26, 2026 | Nasdaq

This Week

Fairness markets and bond markets had totally different focuses this week.

For equities, IT‘s been elevated concern concerning the AI commerce – each the trail to profitability (the AI hyperscalers are down about 5% this week) and the truth that robust AI-related demand for memory and storage is main some firms to raise prices on shopper items. Even the mega cap Micron reporting that its income are up nearly 15x YOY solely reversed the slide briefly.

Bond markets, nonetheless, seem extra targeted on inflation.

Headline PCE inflation rose to 4.1% YOY in Could, representing a three-year excessive and greater than double the Federal Reserve’s 2% goal. However, with transport via the Strait of Hormuz ramping up (regardless of an IT-soaring-again-80ab9ba8?mod=home_lead” title=”https://www.marketwatch.com/story/oil-heads-for-another-losing-week-but-analyst-warns-sluggish-strait-of-hormuz-traffic-could-send-IT-soaring-again-80ab9ba8?mod=home_lead” data-outlook-id=”d0e5d3be-e04a-49b1-be00-1701300a766a” data-mce-href=”https://www.marketwatch.com/story/oil-heads-for-another-losing-week-but-analyst-warns-sluggish-strait-of-hormuz-traffic-could-send-IT-soaring-again-80ab9ba8?mod=home_lead” goal=”_blank”>assault on a ship yesterday), oil costs are back to pre-conflict levels and down 20% this month. This means that headline inflation is likely to slow quickly.

Given this, markets are actually pricing 30 foundation factors (bp) in Fed hikes this 12 months, which is down from 43bp at first of the week.

So, bond markets and equities moved in numerous instructions this week, with 10-year Treasury yields down practically 10bp to maneuver under 4.4%, whereas the Nasdaq-100 Index® is down 4%.

Subsequent Week

Listed here are the highest occasions I’m watching subsequent week:

• Tuesday: JOLTS Job Openings (Could), Client Confidence (Jun.)
• Wednesday: ISM Manufacturing PMI (Jun.), ADP Personal Sector Jobs (Jun.)
• Thursday: Nonfarm Payrolls (Jun.), Jobless Claims (Jun. 27)