Weekly Market Update (Sep 26, 2026)
HIGHLIGHTS
Energy prices remain elevated amid ongoing volatility. Growth remains solid, supported by PMI data. Government bond yields continue to rise.
- Fed: The Fed reinforced its hawkish message. More policymakers are aligned with Warsh on the need to maintain restrictive policy. More data are due next week, including the jobs report, GDP revisions, and the annual NIPA revision.
- Eurozone: The economy remains resilient despite the high-energy-price environment. Growth and inflation are firmer, and policymakers are considering another rate hike in December.
- Power: Access to electricity is increasingly important given strong demand for computing capacity. Power constraints present both an opportunity and an execution risk.
MARKETS
| Nasdaq | 27,068.72 | +2.06% |
| S&P 500 | 7,743.41 | +1.21% |
| Dow | 51,828.62 | +0.28% |
| 10-Year | 5.18% | +18bps |
| Brent | 97.44 | -6.19% |
| DXY | 101.04 | +0.82% |
*Data as of market close. 5-day change ending on Friday.
VIEW FROM THE STREET
Equity
Goldman Sachs: Macro uncertainty is affecting investor equity positioning and market breadth. Market breadth is at its lowest level since the dot-com bubble. There is potential for the broader market and laggards to catch up as macro uncertainty eases.
Standard Chartered: We suggest buying the dip in equities. Strong economic and earnings growth outweigh other factors. There could be volatility around the US midterm elections, but we think any further pullbacks would present opportunities to increase exposure.
Fixed Income
Goldman Sachs: The bond market overreacted to the PMI data. We believe economic activity is growing at a healthy pace but is unlikely to move far above trend.
UBS: Bond yields have been rising, partly driven by concerns over high government debt levels.
Economy
Goldman Sachs: Renewed risks in the Middle East pushed oil prices higher. Economic activity data beat expectations, with real GDP growing 3.3% last quarter. Nonfarm payrolls also increased last month.
UBS: Policy tightening is likely to be less aggressive than markets are pricing in. We expect disinflation over the next six months.