Week Ending September 25th, 2026

Friday's Market Moves

S&P 500 – 7,743.41 (+0.51%)

Dow Jones – 51,828.62 (+0.93%)

NASDAQ – 27,068.72 (+0.48%)

• Stocks Finish the Week Higher: U.S. equities closed higher Friday as stabilizing Treasury yields, softer oil prices and resilient economic data gave markets some breathing room after a volatile week. The Dow, S&P 500 and Nasdaq all finished the week in positive territory.
• Iran Signals Potential Diplomatic Path: Iran reportedly proposed a seven-day plan to reopen the Strait of Hormuz and resume negotiations if the U.S. agrees to certain conditions. The possibility of renewed talks helped push oil prices lower, offering some relief to markets and Treasury yields.
• Oil Prices Pull Back: WTI crude fell toward $92 per barrel, while Brent crude traded below $98. U.S. gasoline prices remained near $4.50 per gallon, keeping pressure on consumers despite the pullback in crude.
• Consumer Sentiment Hits Four-Month Low: The University of Michigan’s final September consumer sentiment reading fell to 48.1 from 51.7 in August, marking a four-month low. Concerns over gasoline prices and tariffs weighed on households, while expectations for personal finances weakened by roughly 10%. The reading was slightly better than the 47.5 expected by economists.
• Treasury Yields Ease: The 10-year Treasury yield finished Friday at 5.16% after reaching its highest level since 2007 earlier in the week. The 2-year yield also edged lower to 4.85%, giving stocks some relief as bond-market volatility cooled.
• Business Investment Stays Strong: August durable goods orders were unchanged overall, but core capital goods orders jumped 1.6% month over month and 14.9% from a year earlier. The closely watched measure excludes volatile aircraft and defense orders and points to continued strength in business investment.
• Mortgage Rates Hit Hard: The average 30-year fixed mortgage rate climbed to 7.49% Friday, ending the week 30 basis points higher than where it started, according to Mortgage News Daily. Higher borrowing costs continue to add pressure to the housing market and consumers.
• Costco Beats Estimates: Costco (COST) topped Wall Street expectations for its latest quarter, but shares slipped ahead of Friday’s open as investors focused on another slowdown in membership-revenue growth.
• Akamai Lands Major Anthropic Deal: Akamai Technologies (AKAM) surged after signing a seven-year, $12 billion agreement with Anthropic to provide cloud infrastructure services, according to Barron’s.
• Nike Faces Another Setback: Nike (NKE) dropped after Bank of America downgraded the stock to Underperform from Neutral. The firm cited downside risks to earnings and valuation and said the company’s turnaround is taking longer than expected.
• AMD Gets an AI Boost: Advanced Micro Devices (AMD) gained after Bank of America raised its price target, pointing to the continued importance of CPUs as AI agents become a larger part of computing demand.
• Chip Stocks Stay in the Green: AI and semiconductor stocks were mostly higher, led by Arm Holdings (ARM), which climbed 5%. The PHLX Semiconductor Index remained above its 50-day moving average, keeping a key technical level in focus.
• MGM Takeover Falls Apart: MGM Resorts (MGM) dropped after a takeover offer for the company was rescinded, removing a potential catalyst for the shares.
• Nebius Gets a Forecast Boost: Nebius Group (NBIS) jumped after Bank of America raised its revenue forecasts for the company covering 2026 through 2028.
• Meta Rides Muse Momentum: Meta Platforms (META) gained after two Wall Street firms raised their price targets, citing momentum around the company’s Muse AI agent.

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“Sometimes the most productive thing you can do is relax.”

 — Mark Black

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Notable Stocks

• Akamai Technologies (AKAM)
• Microsoft (MSFT)
• Arm Holdings (ARM)
• Costco (COST)
• Dell Technologies (DELL)

Weekly Notables

McDonald’s Takes Its Drive-Thru into the AI Era

The fast-food giant is testing an AI-powered ordering system as it looks to boost the customer experience. McDonald’s (MCD) is testing “Archy,” an AI-powered drive-thru system designed to take customer orders in both English and Spanish. The technology has achieved more than 90% accuracy at early test locations and has received positive customer feedback, according to the company.

Google Takes the AI Race to Space

Project Suncatcher could put AI computing in orbit as Big Tech looks beyond Earth’s limits. Google is taking the AI infrastructure race to a whole new level — space. The company is developing Project Suncatcher, an ambitious effort to place a micro data center in orbit and tap space-based computing to help overcome resource constraints on Earth. Google’s first step will be an experimental satellite launched into orbit aboard SpaceX, equipped with chips capable of handling simple AI queries from space. The project would represent an early test of whether orbital data centers can become a viable part of the rapidly expanding AI infrastructure ecosystem.

Earnings Spotlight: Nike (NKE)

NIKE (NKE) will release its Q1 fiscal 2027 earnings report on October 1, 2026, after the market closes. Analysts expect an earnings per share (EPS) of $0.44. Wall Street anticipates a slight year-over-year decline in quarterly revenue as the company navigates ongoing retail and lifestyle category pressures. 

What to Watch Ahead:

September 28: Expected earnings from Jefferies Financial Group (JEF).

September 29: August Job Openings and Labor Turnover Survey (JOLTS) and consumer confidence for September.

September 30: ADP September employment change, August PCE prices, second quarter GDP-third estimate, and expected earnings from Micron (MU), Conagra (CAG), and Levi Strauss & Co. (LEVI).

October 1: August construction spending, September ISM Manufacturing PMI, S&P Global final September U.S. Manufacturing PMI, and expected earnings from Accenture (ACN), McCormick & Company (MKC), and Nike (NKE).

October 2: September nonfarm payrolls, September unemployment, and August factory orders.