Your Weekly Update for Tuesday, May 26, 2026.
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Bill Roller
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CHARTERED FINANCIAL ANALYST
CERTIFIED FINANCIAL PLANNERTM
CHARTERED MARKET TECHNICIAN
bill.roller@beaconrwa.com
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Summary
Markets were UP last week. The Dow Jones Industrial Average was UP 2.13% to 50,579.70 while the S&P500 ended UP 0.45% to 7,473.47. The Nasdaq Composite ROSE 0.45% to 26,343.97. The annual yield on the 30-year Treasury FELL 6.4 basis point(s) to 5.064%.
Last Week
Stocks extend winning streak to eight weeks on broad strength
The S&P 500 (+0.4%), Nasdaq Composite (+0.2%), and DJIA (+0.6%) traded in a relatively stable range today, locking in weekly gains that extend the S&P 500’s winning streak to eight weeks and pushing the DJIA to fresh record highs. The Russell 2000 (+0.9%) and S&P Mid Cap 400 (+0.8%) outperformed.
Despite mixed performances across mega-cap stocks and heightened expectations for a rate hike later in the year, the broader market showed resilience, with nine S&P 500 sectors finishing higher.
Earnings and several other corporate news items of note contributed to the advance.
Within the information technology sector (+0.5%), hardware names such as Dell (DELL 295.25, +42.45, +16.79%) and HP Inc. (HPQ 25.24, +3.34, +15.27%) led the way after rival Lenovo (LNVGY 39.96, +6.04, +17.81%) posted an encouraging earnings report.
Workday (WDAY 128.14, +6.29, +5.16%) moved higher after topping its own earnings estimates, which contributed to strength across software names in the iShares GS Software ETF (IGV 93.98, +1.50, +1.62%).
It is worth noting the PHLX Semiconductor Index (+1.9%) posted a solid gain as well, though NVIDIA (NVDA 215.33, -4.18, -1.90%) has yet to garner any buy-the-dip interest following its own earnings report earlier in the week, which somewhat limited the technology sector’s gain today.
Alphabet (GOOG 379.38, -4.09, -1.07%) was the other mega-cap laggard today, which contributed to weakness in the communication services sector (-0.7%). The Vanguard Mega Cap Growth ETF (+0.2%) finished modestly higher.
The broader market, however, traded in a stable range, which contributed to the outperformance of the S&P 500 Equal Weighted Index (+1.0%) relative to the market-weighted S&P 500 (+0.4%).
The health care sector (+1.2%) captured the widest gain as Merck (MRK 122.42, +6.54, +5.64%) moved higher following some positive updates to its oncology drugs, while the utilities sector (+0.8%) was supported by strength in electric utilities names.
The industrials sector (+0.7%) rounds out today’s top performers, with Generac (GNRC 270.21, +22.42, +9.05%) trading sharply higher after Jefferies upgraded the stock to Buy from Hold.
Importantly, stocks showed resilience despite some hawkish developments on the monetary policy front. Fed Governor Christopher Waller (voting FOMC member) said that he would need to see considerable improvements in inflation to consider a rate reduction, which weighed on shorter-tenor Treasury yields today. Inflation concerns were also reflected in the final May reading for the University of Michigan Consumer Sentiment Index, which fell to a record-low 44.8 as rising gas prices helped push year-ahead inflation expectations to an elevated 4.8%.
The CME FedWatch Tool is now assigning a 52.7% probability to a rate hike at the October FOMC meeting, with that probability rising to 74% by the January 2027 meeting.
That backdrop creates a challenging environment for new Fed Chair Kevin Warsh, who was sworn in today.
For the time being, stocks continue to draw support from solid earnings results and generally stable oil prices, with crude oil ultimately retreating for the week despite several bouts of geopolitical volatility. The market also heads into the weekend with little in the way of material developments surrounding U.S.-Iran negotiations, though Secretary of State Marco Rubio said that “slight progress” has been made in talks between the two sides.
As a reminder, the market will be closed Monday, May 25, for Memorial Day.
U.S. Treasuries had a mixed showing to end the week with the 5-year note and shorter tenors recording losses while 10s and 30s outperformed, finishing in the green. The Treasury complex was eager to continue trimming this week’s losses at the start of the session, but the higher open was rebuffed quickly, sending shorter tenors into the red in mid-morning trade. The 2-year note yield settled up two basis points to 4.12% (+4 basis points this week), and the 10-year note yield settled down three basis points to 4.56% (-4 basis points this week).
- Russell 2000: +15.6% YTD
- Nasdaq Composite: +13.4% YTD
- S&P Mid Cap 400: +11.1% YTD
- S&P 500: +9.2% YTD
- DJIA: +5.2% YTD
Reviewing Friday’s data:
- The final reading for the University of Michigan Consumer Sentiment Index for May dropped to 44.8 (Briefing.com consensus: 48.2) from the preliminary reading of 48.2, marking a new historic low. The final reading for April was 49.8. In the same period a year ago, the index stood at 52.2. The key takeaway from the report is that consumers are clearly concerned about rising costs and their ability to out-earn inflation, which they are concerned will increase beyond fuel prices.
- The April leading Economic Index checked in at 0.1% (Briefing.com consensus -0.3%), from the prior reading of -0.6%.
This Week
S&P futures vs fair value: +52.00. Nasdaq futures vs fair value: +325.00.
Equity futures point to a higher opening this morning as investors return from the long holiday weekend to headlines of negotiation progress between the U.S. and Iran. Geopolitical volatility resulted in some choppy action last week, but stocks ultimately finished on a higher note, with the S&P 500 extending its winning streak to eight consecutive weeks and the DJIA finishing at record highs on Friday.
Axios reports that the U.S. and Iran are negotiating a 60-day memorandum of understanding that will include the reopening of the Strait of Hormuz with no tolls and a commitment from Iran to never pursue nuclear weapons and negotiations over the removal of its stockpile of highly enriched uranium. Crude oil is down $4.00 (-4.1%) to $92.60 per barrel, and Treasury yields are lower across the curve, creating a constructive backdrop for stocks this morning.
Later this morning, the market will receive the May reading of the Consumer Confidence Index (Briefing.com consensus 92.0). This week will be lighter in the total number of data releases, but Thursday will bring the Personal Income and Outlays report for April, which includes the PCE Price Index (Briefing.com consensus 0.5%), the Fed’s preferred inflation gauge.
In corporate news:
- U.S. oil companies are increasing production, according to the Financial Times.
- Airlines are expecting record Memorial Day travel, according to CBS News.
- Uber (UBER 72.15, +0.33, +0.5%) is considering a higher offer for Delivery Hero (DELHY 4.09, +0.27, +7.1%) after a shareholder refused a previous offer, according to Financial Times.
Reviewing overnight developments:
Equity indices in the Asia-Pacific region ended Tuesday on a mostly lower note, taking a step back after their strong showing on Monday, which followed news that the U.S. and Iran reportedly made significant progress on a deal. Japan’s Nikkei: -0.3%, Hong Kong’s Hang Seng: UNCH, China’s Shanghai Composite: -0.2%, India’s Sensex: -0.6%, South Korea’s Kospi: +2.6%, Australia’s ASX All Ordinaries: -0.4%.
In news:
- The situation was muddled a bit overnight after U.S. forces conducted strikes that were described as defensive.
- South Korea’s Kospi (+2.6%) bucked the trend, rising to a fresh record high after being closed yesterday.
- Taiwan’s equity market overtook India’s as the fifth largest in the world, thanks to support from Taiwan Semiconductor Manufacturing.
- Japan’s Prime Minister Takaichi confirmed plans for a JPY3 trln extra budget.
- Sri Lanka’s central bank raised its policy rate by a 100 basis points to 8.75% due to hot inflation.
In economic data:
- Japan’s March BoJ Core CPI 2.8% yr/yr (expected 1.7%; last 2.5%). March Leading Index 114.0 (expected 114.5; last 113.2) and Coincident Indicator 0.2% m/m (expected 0.3%; last -1.7%)
- Singapore’s April Industrial Production 5.8% m/m (expected 1.5%; last 3.5%); 17.6% yr/yr (expected 12.0%; last 9.2%)
Major European indices trade on a mostly lower note while the U.K.’s FTSE (+0.4%) outperforms after being closed for Spring Bank Holiday yesterday. STOXX Europe 600: -0.2%, Germany’s DAX: -0.6%, U.K.’s FTSE 100: +0.4%, France’s CAC 40: -0.8%, Italy’s FTSE MIB: -0.2%, Spain’s IBEX 35: +0.1%.
In news:
- European Central Bank policymaker Villeroy de Galhau said that second-round effects of inflation have not appeared yet while policymaker Schnabel said that a rate hike should be made in June.
- The U.K. is reportedly looking to join EU’s EUR4 bln investment fund for startups.
In economic data:
- U.K.’s May CBI Distributive Trades Survey -46 (expected -52; last -68)
- Spain’s April PPI 8.3% yr/yr (last 3.4%)
Mortgage Rates
“The 30-year fixed-rate mortgage averaged 6.51% this week,” said Sam Khater, Freddie Mac’s Chief Economist. “As rates fluctuate, aspiring buyers should remember that by shopping around for the best mortgage rate and getting multiple quotes, they can potentially save thousands.”
The 30-year FRM averaged 6.51% as of May 21, 2026, up from last week when it averaged 6.36%. A year ago at this time, the 30-year FRM averaged 6.86%.
The 15-year FRM averaged 5.85%, up from last week when it averaged 5.71%. A year ago at this time, the 15-year FRM averaged 6.01%.
Selected Cryptocurrencies
| Symbol | Name | Price | 24h % | 7d % | Market Cap | Volume(24h) |
| BTC | Bitcoin | $77,440.99 | -0.03% | 0.53% | $1,551,507,573,615 | $22,671,073,759 |
| ETH | Ethereum | $2,126.59 | 0.57% | 0.39% | $256,649,226,767 | $11,042,480,817 |
| BNB | BNB | $662.58 | 0.22% | 3.61% | $89,306,679,804 | $1,489,362,873 |
| XRP | XRP | $1.35 | -0.25% | -1.28% | $83,857,204,310 | $1,302,017,017 |
| SOL | Solana | $85.56 | -0.41% | 1.31% | $49,472,783,922 | $2,936,759,852 |
| TRX | TRON | $0.37 | 1.63% | 4.82% | $35,275,633,179 | $1,065,100,800 |
| DOGE | Dogecoin | $0.10 | -0.51% | -1.67% | $15,794,147,675 | $555,751,053 |
| HYPE | Hyperliquid | $61.33 | -3.34% | 27.27% | $15,581,869,823 | $697,123,090 |
| ZEC | Zcash | $620.65 | -6.50% | 11.29% | $10,361,023,435 | $1,039,840,697 |
| LEO | UNUS SED LEO | $10.00 | -0.56% | -0.83% | $9,207,255,198 | $1,053,303 |
| ADA | Cardano | $0.24 | -0.27% | -1.83% | $8,870,879,228 | $327,893,698 |
| XMR | Monero | $385.78 | -1.10% | -1.39% | $7,116,541,903 | $127,098,547 |
| BCH | Bitcoin Cash | $353.53 | 0.71% | -5.32% | $7,084,753,568 | $122,886,401 |
| LINK | Chainlink | $9.60 | 0.35% | 0.21% | $6,984,189,407 | $295,564,907 |
| CC | Canton | $0.16 | -3.45% | 6.92% | $6,221,431,079 | $18,308,434 |
| TON | Toncoin | $1.94 | 7.91% | -2.40% | $5,245,252,081 | $586,864,241 |
| XLM | Stellar | $0.15 | -1.35% | 3.49% | $5,045,389,306 | $87,152,204 |
Data as of 4:00 AM PDT, Tuesday, May 26, 2026. Source: https://coinmarketcap.com
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Sources: Bill Roller, BR Capital, Inc. dba Beacon Rock Wealth Advisors American Association for Individual Investors (AAII), Associated Press, Barclays Capital, Bloomberg, Briefing.com, Citigroup, Deutsche Bank, FactSet, Financial Times, Goldman Sachs, JPMorgan Asset Management, MarketfieldAsset Management, Morgan Stanley, MSCI, Morningstar, Northern Trust, Oppenheimer Funds, PIMCO, Standard & Poor’s, StockCharts.com, The Conference Board, Thomson Reuters, T. Rowe Price, U.S. Bureau of Economic Analysis, U.S. Federal Reserve, Wall Street Journal, The Washington Post. Index performance is shown as total return, which includes dividends, with the exception of MSCI-EM, which is quoted as price return/excluding dividends. Performance for the MSCI-EAFE and MSCI-EM indexes is quoted in U.S. Dollar investor terms.
The information above has been obtained from sources considered reliable, but no representation is made as to its completeness, accuracy or timeliness. All information and opinions expressed are subject to change without notice. Information provided in this report is not intended to be, and should not be construed as, investment, legal or tax advice; and does not constitute an offer, or a solicitation of any offer, to buy or sell any security, investment or other product BR Capital, Inc. dba Beacon Rock Wealth Advisors is a registered investment advisor.
Notes key: (+) positive/encouraging development, (0) neutral/inconclusive/no net effect, (-) negative/discouraging development.