Public Markets 3 Days

Last updated: August 14, 2026, 8:30 PM ET

US Equities Show Resilience, S&P 500 Edges Higher

U.S. stocks closed with gains for a third consecutive week, reaching their longest winning streak since May. The S&P 500 logged its third straight weekly gain, buoyed by new investor bets that the Federal Reserve will maintain interest rates steady in September. Despite a slight pullback from record highs on Friday, the index was on track to end the week near its peaks. The broader market sentiment was influenced by a report of moderated wholesale inflation, which eased concerns about interest rate hikes. US stocks rose and the S&P 500 closed at a record high following this data. However, a separate report on July retail sales showed the biggest drop in over a year, tempering some of the earlier enthusiasm driven by the artificial-intelligence boom. U.S. stocks fell after weak retail sales data tempered enthusiasm about the artificial-intelligence boom that has driven major indexes to record highs.

Treasuries Rally as Weak Retail Sales Dampen Rate Hike Expectations

Treasury yields saw a notable decline, with the US two-year yield falling for a third consecutive week. This movement follows soft July retail sales data that further eroded expectations for Federal Reserve interest-rate hikes The dollar fell to its lowest point since May after an unexpectedly weak report on US retail sales diminished expectations for a Fed rate increase. Similarly, the dollar fell as retail sales data reinforced the case for a Fed rate hold rather than a hike next month. Bond traders are now paring back their bets on Fed rate hikes, influenced by a retreat in oil prices that bolstered sentiment around the inflation outlook. Treasuries rise as weak retail sales data dampen Fed rate-hike expectations.

Nvidia's Strategic Moves and Tech Sector Dynamics

Nvidia has reportedly downsized its planned $250 billion guarantee for OpenAI's data center operations. This comes as the chip giant also disclosed a significant $21 billion stake in SpaceX. In broader tech news, Google has enabled Gemini AI for students using its Classroom app, expanding access beyond older users. Meanwhile, Amazon and Alphabet’s profits reveal the circular nature of the AI boom, with investment gains at both companies underscoring the increasing linkage of technology firms' fortunes. Wall Street is also making substantial bets on Nvidia's AI chips, with private capital firms wagering on the long-term value of the crucial hardware.

Energy and Commodities Markets Show Mixed Signals

Oil futures ended the week higher, with the situation in the Strait of Hormuz remaining a key focus. Geopolitical tensions and the ongoing standoff in the waterway contributed to market volatility. In other energy markets, U.S. natural gas futures edged up, supported by recovering LNG feedgas demand and strong pipeline exports to Mexico, with hot weather expected to maintain power-sector usage. Precious metals saw modest gains, with gold settling up 0.4% on Friday and silver rising 0.2%, both posting gains for the week. Oil futures ended little changed in cautious trading with the market still focused on the Strait of Hormuz.

Shipping and Logistics Sector Navigates Market Shifts

Diana Shipping has ended its bid to acquire Genco Shipping & Trading, concluding a nearly year-long takeover battle. In a separate development, Maersk shares rose after the shipping group raised its full-year guidance for the second time in less than three months, citing higher freight rates and strong demand in Asia. The company's stock surge was attributed to higher freight rates and robust demand.

Global Markets and Economic Indicators

In Brazil, Lula's lead over Bolsonaro narrowed in a new poll ahead of the October presidential election, contributing to anxiety in Brazilian markets. The country's assets experienced some of the world's largest losses this week amid growing apprehension about the election outcome. Meanwhile, hedge funds have halved short bets on the yen following a joint intervention by the US and Japan, signaling a reduction in negative sentiment towards the currency. Brazilian assets posted some of the biggest losses in the world this week amid growing angst over the October presidential election.

Corporate News and Dealmaking

MSG Sports has filed to spin off its New York Rangers hockey team business into a separate company, distinct from its New York Knicks basketball operations. In the fintech space, PayPal is reportedly in talks to sell itself to Stripe and private-equity firm Advent. The trading firm Jane Street suffered a $15 billion hit following a meltdown in an AI fund. Berkshire Hathaway Inc. increased its holdings in Delta Air Lines Inc. and Google parent Alphabet Inc. as Greg Abel began tapping into the company’s massive cash hoard.

Regulatory and Legal Developments

The FDA has classified an egg recall as Class I, indicating the highest health risk. This classification follows concerns over salmonella in nearly 20 million eggs recalled in July. In legal news, Luigi Mangione pleaded guilty in his federal case, a development that could impact the state's prosecution. The Trump family's crypto venture has received conditional approval for a bank license, a move that has become a political flashpoint. Luigi Mangione's plea in the federal case could make it difficult for New York State prosecutors to try their own case.

Geopolitical and Environmental Concerns

Hawaiian Electric has warned that power outages caused by severe tropical weather conditions could last for days, as the storm Lala approaches the state. The Navy and the USS Lincoln are facing issues tied to earlier attacks on a U.S. base, with Diego Garcia serving as the Navy’s logistics hub after a base in Bahrain was damaged. President Trump has dismissed reports about dire conditions aboard the U.S.S. Abraham Lincoln, stating its deployment has lasted "not nearly long enough." Meanwhile, Europe continues to grapple with extreme heat waves and wildfires, testing the continent's infrastructure and resilience. Europe faces extreme heatwaves and wildfires, testing the continent's infrastructure and resilience.