U.S. stock indexes jumped after employers unexpectedly cut 23,000 jobs, signaling cooling labor conditions and boosting investor bets that the Federal Reserve may pause further rate hikes.
U.S. stocks edged higher after a rally, as investors weighed SpaceX and AMD results and President Trump’s hints that a Strait of Hormuz reopening deal could come soon; the Nasdaq rose about 0.4%, while the S&P 500 and Dow gained roughly 0.6%, with oil prices climbing on Hormuz optimism and SpaceX IPO-day volatility.
After the Fed’s first meeting led by new chair Kevin Warsh, policymakers’ dot plot suggested rate hikes could come in 2026 even though rates stayed at 3.5%–3.75%. Stocks sold off, with the Dow about 507 points lower (-0.98%), the S&P 500 down ~1.21%, and the Nasdaq ~1.34% lower, as bond yields jumped (2-year yield near 4.22%). Despite the hawkish tone, stock futures ticked higher overnight and Asia opened mixed, with Nikkei and Kospi hitting new records. Attention now shifts to earnings from Accenture and Kroger, plus May indicators, the Philadelphia Fed index, and initial jobless claims.
U.S. stocks trimmed early losses to hover near flat as investors weigh an extended U.S.-Iran ceasefire and a solid start to earnings season; the S&P 500 rose about 0.1%, the Nasdaq slipped 0.1%, and the Dow was little changed, with Brent crude above $100 as Middle East tensions persist. Tesla beat on the quarter but fell on big planned capex, IBM slumped after weaker software growth, and other major results kept the mood mixed. About 80% of S&P 500 companies reporting have beat expectations, while jobless claims rose to 214,000 and continuing claims held at 1.821 million as traders monitor peace-talk prospects amid oil-market volatility.
BlackRock warns that surging energy costs and a narrowed valuation gap to the US have dented Europe’s stock appeal, citing consumer spending stress and higher borrowing costs; while some areas like defense, banks and semiconductors remain selective opportunities, the market is seen as fragile and US equities currently offer more attractive investment prospects.
Citi is cutting its exposure to U.S. equities as it cautions that the war may not end quickly, signaling a cautious, risk-off stance for client portfolios.
U.S. stock futures edged lower on Monday as warnings about Iran weighed on sentiment, extending major indices' fourth straight weekly decline; Nasdaq-100, Dow, and S&P 500 futures fell roughly 0.46%, 0.39%, and 0.28% as oil prices rose and the S&P 500 slipped below its 200-day moving average ahead of CPI, PCE data, and a key consumer sentiment read.
U.S. stocks largely shrugged off Iran-related tensions on Monday, aided by a jump in energy shares and the U.S. being a net energy exporter, helping major indexes finish higher even as international markets slid and safe-haven assets rose; analysts cautioned that volatility could persist if the conflict disrupts energy supplies or inflation remains a concern.
Michael Burry warns a reversal in the Japanese yen could weigh on U.S. stocks if capital flows swing back toward Japan as rates diverge, a dynamic echoed by a Wall Street Journal note that the NY Fed contacted counterparties on yen/USD. Morgan Stanley’s Michael Wilson also sees USDJPY fair value around 145, with a potential move toward 140, highlighting yen strength and rate differentials as ongoing tactical risks for equity markets.
Asia-Pacific stocks mostly fell as investors digested China’s Q4 GDP and December data amid Greenland tensions; Japanese long-dated bond yields climbed to multi-decade highs, Hong Kong and mainland China shares declined while Korea bucked the trend with gains, Australia slipped, and precious metals rose to record highs as U.S. stocks closed Friday mixed.
U.S. stocks edged higher as solid bank earnings and stronger December data boosted sentiment and kicked off the fourth-quarter earnings season; the Dow, S&P 500 and Nasdaq rose modestly while investors weighed Fed comments on inflation and the likelihood of rate cuts later in the year, with oil also firmer.
US stocks reached new highs driven by sector rotation and hopes for interest rate cuts, with market sentiment supported by strong retail flows and positive economic signals, despite geopolitical and economic uncertainties. Investors are eyeing AI developments and macroeconomic data to gauge future gains, with analysts predicting continued growth in 2026.
The year 2025 was marked by a strong stock market rally driven by enthusiasm for AI, with Alphabet leading gains and gold and silver soaring. Major geopolitical events included U.S. military action in Venezuela, and the EV market saw Chinese automaker BYD surpass Tesla. The year also featured significant market movements and upcoming economic indicators to watch in 2026.
In 2025, US stocks performed well, but international markets outshined them, driven by AI growth in Asia, European economic reforms, and a weaker dollar, prompting investors to diversify globally amid ongoing US resilience.
US stocks experienced small gains in a volatile start to 2026, driven mainly by technology stocks focused on AI, with Nvidia leading gains and Microsoft and Tesla weighing down the market. The week was quiet due to holidays, but upcoming economic reports and Federal Reserve decisions are expected to influence the market further.