Wall Street began last week with a heavy sell-off as investors appeared anxious about the U.S.-Iran war, elevated inflation, and fears of a potential tech correction. However, stocks staged a massive turnaround midweek, driven by easing tensions in the Middle East and the largest initial public offering in U.S. financial history. Consumer staples and real estate led the market sectors, while information technology and communication services lagged. Crude oil prices reached an eight-week low as the potential for a deal to reopen the Strait of Hormuz gained traction. Gold prices declined for a second straight week on improving risk appetite.
Stock Market Indexes
Market/Index
2025 Close
Prior Week
As of 6/12
Weekly Change
YTD Change
DJIA
48,063.29
50,866.78
51,202.26
0.66%
6.53%
NASDAQ
23,241.99
25,709.43
25,888.84
0.70%
11.39%
S&P 500
6,845.50
7,383.74
7,431.46
0.65%
8.56%
Russell 2000
2,481.91
2,833.50
2,943.99
3.90%
18.62%
Global Dow
6,169.34
6,807.04
6,902.85
1.41%
11.89%
fed. funds target rate
3.50%-3.75%
3.50%-3.75%
3.50%-3.75%
0 bps
0 bps
10-year Treasuries
4.16%
4.53%
4.48%
-5 bps
32 bps
US Dollar-DXY
98.26
100.07
99.78
-0.29%
1.55%
Crude Oil-CL=F
$57.46
$90.28
$84.26
-6.67%
46.64%
Gold-GC=F
$4,323.90
$4,344.50
$4,236.40
-2.49%
-2.02%
Chart reflects price changes, not total return. Because it does not include dividends or splits, it should not be used to benchmark performance of specific investments.
Last Week’s Economic News
The Consumer Price Index rose 0.5% in May and 4.2% over the last 12 months, marking its highest yearly level since April 2023. Energy prices, which rose 3.9%, accounted for over 60% of the overall May increase. Prices at the pump increased 7.0% in May and 40.5% over the last 12 months. Prices for shelter rose 0.3% in May, while food prices increased 0.2% over the month. Prices less food and energy rose 0.2% in May and 2.9% from a year earlier, which was the highest rate since September 2025.
The Producer Price Index rose 1.1% in May, the same increase as in April. Producer prices increased 6.5% for the 12 months ended in May, the largest 12-month rise since moving up 7.4% in November 2022. Nearly 80% of the May advance in overall prices was attributable to a 2.8% increase in prices for goods, which was the largest increase since December 2009, when data was first calculated. Energy prices rose 10.7% in May (of which gasoline prices rose 23.4%), accounting for 80% of the overall increase in prices for goods. Goods prices less foods and energy rose 0.8% last month. Prices for foods increased 0.6%. Prices for services moved up 0.3% in May.
The latest report on international trade in goods and services from the Bureau of Economic Analysis, released June 9, was for April and revealed the trade deficit was $55.9 billion, 1.2% less than the March estimate. April exports were $327.1 billion, 2.6% more than March exports. April imports were $383.0 billion, 2.0% more than March imports. Thus far in 2026, the goods and services deficit decreased $213.5 billion, or 49.1%, from the same period in 2025. Exports increased $128.2 billion, or 11.3%. Imports decreased $85.3 billion, or 5.5%.
Sales of existing homes in May increased by 3.2% for the month and 3.2% since May 2025. Inventory sat at a 4.5-month supply in May, unchanged from the previous month but down slightly from 4.6 months one year ago. The median sales price, at $429,300, was 2.8% above the April figure and 1.3% higher than the price in May 2025. Sales of existing single-family homes increased 3.5% from April and 3.3% from a year ago. The median sales price for existing single-family homes in May was $434,300, up 2.9% from April and 1.3% higher than the price from May 2025.
The government deficit for May was $293 billion. This followed April’s surplus of $215 billion. Through the first eight months of the fiscal year, the deficit sits at $1,246 billion, slightly under the deficit of $1,364 billion over the same period in the prior fiscal year.
For the week ended June 6, there were 229,000 new claims for unemployment insurance, an increase of 4,000 from the previous week’s level. According to the Department of Labor, the advance rate for insured unemployment claims for the week ended May 30 was 1.2%, unchanged from the prior week’s rate. The advance number of those receiving unemployment insurance benefits during the week ended May 30 was 1,795,000, an increase of 24,000 from the previous week’s level, which was revised down by 6,000. States and territories with the highest insured unemployment rates for the week ended May 23 were New Jersey (2.1%), Washington (2.0%), Massachusetts (1.9%), California (1.8%), Oregon (1.7%), Rhode Island (1.7%), Nevada (1.6%), New York (1.6%), Puerto Rico (1.6%), and Illinois (1.4%). The largest increases in initial claims for unemployment insurance for the week ended May 30 were in California (+3,532), Minnesota (+1,706), Tennessee (+1,671), Ohio (+1,342), and Illinois (+1,203), while the largest decreases were in Texas (-2,125), New Jersey (-901), Kansas (-726), Massachusetts (-669), and Florida (-607).
The national average retail price for regular gasoline was $4.146 per gallon on June 8, $0.159 per gallon below the prior week’s price but $1.038 per gallon higher than a year ago. Also, as of June 8, the East Coast price decreased $0.145 to $3.990 per gallon; the Midwest price dipped $0.190 to $3.945 per gallon; the Gulf Coast price declined $0.161 to $3.643 per gallon; the Rocky Mountain price decreased $0.135 to $4.194 per gallon; and the West Coast price declined $0.142 to $5.358 per gallon.
Eye on the Week Ahead
The Federal Open Market Committee meets this week. With inflation at levels above the Fed’s 2.0% target and solid job gains, it is unlikely that the Committee will lower the federal funds target rate range at this time.
For much of last week, stocks continued a rally that appeared headed for another week of gains. However, investors, who had been clinging to the prospect of monetary easing, had those hopes all but dashed after a better-than-expected jobs report (see below) doused any hopes of an interest rate reduction in the immediate future. Heading into last Friday, the S&P 500 looked to be on pace for a tenth consecutive week of gains, a feat not achieved since 1985. Instead, a massive selloff, particularly in the tech sector, dragged stocks lower, resulting in each of the benchmark indexes listed here closing last week in the red. While hiring accelerated, wage growth cooled slightly to 3.4% for the 12 months ended in May, down from 3.6% for the year ended in April and below the consumer annual inflation rate of 3.8%. The strong jobs data not only led to a plunge in stocks but prompted a move to bonds, resulting in long-term yields climbing higher. Among the market sectors, consumer discretionary, information technology, and communication services fell the furthest, while financials, energy, and health care saw stocks move higher.
Stock Market Indexes
Market/Index
2025 Close
Prior Week
As of 6/5
Weekly Change
YTD Change
DJIA
48,063.29
51,032.46
50,866.78
-0.32%
5.83%
NASDAQ
23,241.99
26,972.62
25,709.43
-4.68%
10.62%
S&P 500
6,845.50
7,580.06
7,383.74
-2.59%
7.86%
Russell 2000
2,481.91
2,919.34
2,833.50
-2.94%
14.17%
Global Dow
6,169.34
6,899.16
6,807.04
-1.34%
10.34%
fed. funds target rate
3.50%-3.75%
3.50%-3.75%
3.50%-3.75%
0 bps
0 bps
10-year Treasuries
4.16%
4.45%
4.53%
8 bps
37 bps
US Dollar-DXY
98.26
98.93
100.07
1.15%
1.84%
Crude Oil-CL=F
$57.46
$87.87
$90.28
2.74%
57.12%
Gold-GC=F
$4,323.90
$4,573.00
$4,344.50
-5.00%
0.48%
Chart reflects price changes, not total return. Because it does not include dividends or splits, it should not be used to benchmark performance of specific investments.
Last Week’s Economic News
Total employment exceeded expectations in May after increasing 172,000. This followed the upwardly revised April estimate of 179,000. The change in employment for March was revised up by 29,000, from +185,000 to +214,000, and the change for April was revised up by 64,000, from +115,000 to +179,000. With these revisions, employment in March and April combined was 93,000 higher than previously reported. Last month, the total number of employed increased by 149,000 to 162.8 million. The labor force participation rate was unchanged at 61.8%, while the employment-population ratio ticked up 0.1 percentage point to 59.2%. The total number of unemployed in May was 7.3 million, little changed from the previous month’s total, while the unemployment rate was unchanged at 4.3%. The number of long-term unemployed (those jobless for 27 weeks or more) was little changed over the month at 2.0 million but was up by 524,000 over the year. The long-term unemployed accounted for 27.5% of all unemployed people in May. Average hourly earnings rose by $0.12, or 0.3%, to $37.53 in May. Over the year, average hourly earnings have increased by 3.4%. The average workweek was unchanged at 34.3 hours in May.
According to the latest Job Openings and Labor Turnover Summary, the number of job openings increased by 731,000 to 7.6 million in April. Job openings increased by 520,000 over the last 12 months. In April, the number of job openings increased in professional and business services (+668,000) but decreased in finance and insurance (-135,000). Conversely, the number of hires fell by 419,000 in April to 5.1 million. The number of separations decreased to 5.0 million (-399,000). Within separations, the number of layoffs and discharges declined by 192,000 to 1.7 million in April. The number of quits also decreased in April, falling 183,000 to 3.0 million.
Manufacturing conditions improved in May, according to the latest purchasing managers’ survey from S&P Global. New orders increased markedly last month, but growth in both output and sales was driven, in part, by inventory building as firms sought to protect themselves from potential supply chain disruptions and steeply rising prices principally caused by the war in the Middle East, which remained a notable headwind for the manufacturing sector.
Unlike manufacturing, business growth was slower in the services sector. May’s S&P Global PMI survey of services companies revealed a marginal expansion of business activity, largely attributable to rising prices, particularly for fuel and energy. Outlook sentiment softened to the lowest level since 2022, which survey respondents linked to uncertainty regarding inflation and the economy.
For the week ended May 30, there were 225,000 new claims for unemployment insurance, an increase of 13,000 from the previous week’s level, which was revised down by 3,000. According to the Department of Labor, the advance rate for insured unemployment claims for the week ended May 23 was 1.2%, unchanged from the prior week’s rate. The advance number of those receiving unemployment insurance benefits during the week ended May 23 was 1,777,000, a decrease of 8,000 from the previous week’s level, which was revised down by 1,000. States and territories with the highest insured unemployment rates for the week ended May 16 were New Jersey (2.1%), Washington (2.1%), California (1.9%), Massachusetts (1.9%), Oregon (1.7%), Rhode Island (1.7%), Nevada (1.6%), New York (1.6%), Puerto Rico (1.6%), and Illinois (1.5%). The largest increases in initial claims for unemployment insurance for the week ended May 23 were in Kansas (+1,292), Missouri (+1,246), Illinois (+1,026), Iowa (+874), and Minnesota (+455), while the largest decreases were in Texas (-1,322), California (-1,155), Kentucky (-960), Pennsylvania (-936), and Ohio (-902).
The national average retail price for regular gasoline was $4.305 per gallon on June 1, $0.170 per gallon below the prior week’s price but $1.178 per gallon higher than a year ago. Also, as of June 1, the East Coast price decreased $0.169 to $4.135 per gallon; the Midwest price dipped $0.217 to $4.135 per gallon; the Gulf Coast price declined $0.185 to $3.804 per gallon; the Rocky Mountain price decreased $0.228 to $4.329 per gallon; and the West Coast price declined $0.069 to $5.500 per gallon.
Eye on the Week Ahead
May inflation data is available this week with the release of the Consumer Price Index and the Producer Price Index. Most recent reports showed inflation has continued to increase.
The U.S. stock market continued its April momentum through May. Each of the benchmark indexes listed here posted notable monthly gains, with several indexes reaching historic highs. The May rally was largely dominated by the information technology sector, particularly AI shares. An exceptional Q1 corporate earnings performance helped support Wall Street’s May surge. The S&P 500 and the NASDAQ each set new records in May, and while the Dow lagged somewhat behind those benchmarks, it nonetheless rose well past the 50,000 threshold. However, while headlines throughout May focused on stocks at record highs, the broader economy showed signs of stagflation.
Stock Market Indexes
Market/Index
2025 Close
Prior Month
As of 5/29
Monthly Change
YTD Change
DJIA
48,063.29
49,652.14
51,032.46
2.78%
6.18%
NASDAQ
23,241.99
24,892.31
26,972.62
8.36%
16.05%
S&P 500
6,845.50
7,209.01
7,580.06
5.15%
10.73%
Russell 2000
2,481.91
2,799.91
2,919.34
4.27%
17.62%
Global Dow
6,169.34
6,664.36
6,899.16
3.52%
11.83%
fed. funds target rate
3.50%-3.75%
3.50%-3.75%
3.50%-3.75%
0 bps
0 bps
10-year Treasuries
4.16%
4.39%
4.45%
8 bps
23 bps
US Dollar-DXY
98.26
98.06
98.93
0.89%
0.68%
Crude Oil-CL=F
$57.46
$105.36
$87.87
-16.60%
52.92%
Gold-GC=F
$4,323.90
$4,630.60
$4,573.00
-1.24%
5.76%
Chart reflects price changes, not total return. Because it does not include dividends or splits, it should not be used to benchmark the performance of specific investments.
Wall Street’s rally in May was driven by tech and AI stocks, which heavily dominated the market share of gains. Health care and consumer discretionary shares also helped drive the overall market, which also saw gains in communication services, industrials, and real estate. Utilities, energy, consumer staples, financials, and materials lagged.
While equities soared, the bond market exhibited anxiety over inflation and fiscal sustainability. The yield on 10-year Treasuries hovered around 4.30%-4.60% for most of the month, with yields reaching their highest levels since July 2025, evidencing a broad repricing on inflationary pressures, elevated energy prices, and uncertainty surrounding Federal Reserve leadership and policy direction. Yields on two-year notes hovered around 4.00% as markets soured on potential interest rate cuts for the remainder of 2026.
Price pressures accelerated in May. Both the personal consumption expenditures (PCE) price index (the preferred inflation indicator of the Federal Reserve) and the Consumer Price Index rose 3.8% since last April, well above the Federal Reserve’s 2.0% target. Prices at the wholesale level increased by 6.0% over the past 12 months, their fastest pace of growth since 2022.
In addition to price pressures, the economy showed signs of slowing. First-quarter gross domestic product was revised downward to an annualized rate of 1.6% from an earlier estimate of 2.0%. While business and government spending provided some cushion, consumer spending decelerated from 1.9% to 1.4%. Slowing wage growth and higher fuel costs helped weaken consumer spending and disposable income, which fell to its lowest level since February 2025.
The labor market continued to show signs of moderate strengthening. Overall, the labor market presented a picture of stability, with signs of moderation, marked by steady unemployment and modest job gains. The Federal Reserve noted that the labor market remained stable but slower than in prior years.
Corporate earnings in Q1 showed very strong performance from S&P 500 companies, marking the fastest earnings growth since 2021, with gains spreading across several sectors. Earnings growth surged to 28.4% year over year according to FactSet, with 84% of S&P 500 companies beating earnings per share (EPS) estimates. All of the “Magnificent 7” companies beat EPS expectations, with their earnings exceeding estimates by 32.5%, roughly twice the S&P 500 average.
Crude oil prices experienced a sharp reversal in May, with prices falling over 16.5% as geopolitical uncertainty eased due to expectations of a U.S.-Iran ceasefire and improving prospects for the reopening of the Strait of Hormuz. The retail price of regular gasoline was $4.475 per gallon on May 25, $0.352 above the price a month earlier and $1.315 higher than the price a year ago. The dollar showed resilience in May, closing the month at about where it began, despite a myriad of domestic economic factors, including a slowing labor market and persistent inflationary pressures.
Latest Economic Reports
The following section contains a review of the latest economic data available as of April 30, 2026.
Employment: Job growth exceeded expectations in April, as employment rose by 115,000 after increasing 185,000 (revised) in the previous month. The change in employment for February was revised down by 23,000, from -133,000 to -156,000, and the change for March was revised up by 7,000, from 178,000 to 185,000. With these revisions, employment in February and March, combined, was 16,000 lower than previously reported. The unemployment rate was 4.3% in April, unchanged from the previous month’s rate but 0.1 percentage point above the April 2025 estimate. The number of unemployed persons in April, at 7.4 million, rose by 134,000 from the previous month and 218,000 more than the April 2025 figure. The number of long-term unemployed (those jobless for 27 weeks or more), at 1.8 million in April, was essentially unchanged from the March rate and accounted for 25.3% of all unemployed persons. The total number of long-term unemployed in April was about 161,000 above the estimate from April 2025. The labor force participation rate inched down 0.1 percentage point to 61.8% in April and was 0.8 percentage point below the rate from a year earlier. The employment-population ratio in April, at 59.1%, decreased 0.1 percentage point from March and 0.9 percentage point from April 2025. In April, average hourly earnings increased by $0.06, or 0.2%, to $37.41. Over the past 12 months ended in April, average hourly earnings rose by 3.6%. The average workweek edged up 0.1 hour to 34.3 hours last month.
There were 215,000 initial claims for unemployment insurance for the week ended May 23, 2026. During the same period, the total number of workers receiving unemployment insurance was 1,786,000. The insured unemployment rate was 1.2%, unchanged from the rate a year earlier. A year ago, there were 236,000 initial claims, while the total number of workers receiving unemployment insurance was 1,917,000.
FOMC/interest rates: The Federal Open Market Committee (FOMC) did not meet in May, thus the federal funds target rate range remained at its current 3.50%-3.75%. The Committee is scheduled to meet on June 17.
GDP/budget: The rate of economic expansion accelerated somewhat in the first quarter of 2026, with gross domestic product (GDP) rising 1.6%, according to the second estimate from the Bureau of Economic Analysis. In the fourth quarter, GDP rose 0.5%. Compared to the fourth quarter, the increase in GDP in the first quarter reflected advances in government spending (-5.6% to +4.4%) and exports (-3.2% to +13.1%) and a deceleration in consumer spending (+1.9% to +1.4%) that were partly offset by an acceleration in investment (+2.3% to +7.0%). Consumer spending, as measured by personal consumption expenditures, is the primary driver of GDP. In the first quarter, spending on goods rose 0.4%, while spending on services rose 1.8%.
April 2026 saw the federal budget register a surplus of $215 billion, driven by large individual tax deposits. A year earlier, the surplus was $258 billion. In April, receipts totaled $837 billion, while expenditures were $622 billion. Over the seven months of the current fiscal year, the government deficit sits at $954 billion, $95 billion less than the cumulative deficit over the same period of the previous fiscal year. Over the same seven months, individual income taxes, at $1,761 billion, accounted for nearly half of the total receipts of $3,320 billion. Total expenditures for this fiscal year equal $4,274 billion, of which Social Security ($957 billion) was the largest outlay.
Inflation/consumer spending: According to the latest Personal Income and Outlays report, personal income was unchanged in April from March, while disposable personal income (personal income less personal current taxes) decreased 0.1% for the month. Personal consumption expenditures increased 0.5%. Consumer prices, as measured by the PCE price index, rose 0.4% in April after advancing 0.7% in March. Excluding food and energy, the PCE price index increased 0.2% in April. From the same month one year ago, the PCE price index increased 3.8% (3.5% for the 12 months ended in March). Excluding food and energy, the PCE price index increased 3.3% from April 2025 (3.2% for the year ended in March).
The Consumer Price Index advanced 0.6% in April and 3.8% over the last 12 months, 0.5 percentage point higher than for the 12 months ended in March. Energy prices rose 3.8% in April and 17.9% over the last 12 months. Gasoline prices increased 5.4% in April and 28.4% since April 2025. Shelter prices also increased 0.6% in April and 3.3% since April 2025. Food prices rose 0.5% in April and 3.2% over the last 12 months. Prices less food and energy rose 0.4% in April. Over the last 12 months, prices less food and energy increased 2.8%.
The latest data reveals that the Producer Price Index increased 1.4% in April, twice as much as in March, and marked the largest monthly increase since March 2022. Producer prices increased 6.0% over the last 12 months, the largest 12-month advance since the 12 months ended December 2022. In April, prices for goods rose 2.0% from the previous month, while prices for services increased 1.2%. For the year, producer prices for goods rose 7.4%, while prices for services advanced 5.5%. Excluding foods and energy, prices increased 1.0% in April and 5.2% over the year. Excluding foods, energy, and trade services, producer prices moved up 0.6% in April and 4.4% since April 2025.
Housing: Existing home sales increased 0.2% in April but were unchanged from a year ago. Inventory of existing homes for sale in April, at a 4.4-month supply, ticked up from the prior month’s estimate of 4.2 months. The median sales price in April was $417,700, up 2.1% from the March estimate and 0.9% greater than the April 2025 price. Sales of existing single-family homes were flat in April (-0.3% over the last 12 months). The median sales price for existing single-family homes in April was $422,300, up from the previous month’s price of $413,300, and higher than the April 2025 price of $418,000.
The most recent data shows sales of new single-family houses in April 2026 were 6.2% below the March rate and 11.3% under the April 2025 estimate. Inventory of new single-family homes for sale in April represented a supply of 9.4 months at the current sales rate, 8.0% above the March estimate and 9.3% over the April 2025 figure. The median sales price of new houses sold in April 2026 was $422,500. This was 8.0% above the March price and 2.2% over the April 2025 price. The average sales price of new houses sold in April 2026 was $508,800. This was 0.7% above the March price but 1.1% under the April 2025 price.
Manufacturing: Industrial production (IP) increased 0.7% in April after falling 0.3% in March. IP was 1.4% above its year-earlier level. Manufacturing output rose 0.6% last month and increased 1.3% over the last 12 months. In April, the index for mining fell 0.1% but rose 0.2% for the year, while the index for utilities increased 1.9% in April and 2.7% over the last 12 months.
According to the latest report from the Census Bureau, which was released May 28, new orders for durable goods increased $25.5 billion, or 7.9%, in April following a 1.3% March advance. Excluding transportation, new orders increased 1.1%. Excluding defense, new orders increased 8.1%. Transportation equipment led the April increase, climbing $23.1 billion, or 21.5%.
Imports and exports: U.S. import prices increased 1.9% in April, according to the latest report from the Bureau of Labor Statistics, which was released May 14. Prices for exports increased 3.3% in April. Over the 12 months ended in April, import prices rose 4.2%, the largest over-the-year advance since import prices rose 4.2% in October 2022. Export prices increased 8.8% since April 2025, the largest over-the-year increase since export prices rose 9.8% in September 2022.
The international trade in goods deficit was $82.4 billion in April, down 3.4%. Exports of goods for April rose 4.0% since the previous month, while imports of goods increased 1.9%. Over the 12 months ended in April, the trade in goods deficit declined 4.0%. Over that same period, exports increased 15.6%, while imports rose 9.6%.
The latest information on international trade in goods and services, released May 5, 2026, was for March and revealed that the goods and services trade deficit was $60.3 billion, an increase of $2.5 billion, or 4.4%, from the February deficit. March exports were $320.9 billion, $6.2 billion, or 2.0%, more than February exports. March imports were $381.2 billion, $8.7 billion, or 2.3%, above the February estimate. Year to date, the goods and services deficit decreased $211.2 billion, or 55.0%, from the same period in 2025. Exports increased $100.2 billion, or 12.0%. Imports decreased $111.0 billion, or 9.1%.
International markets: The European stock market delivered strong gains im May, led by tech-driven momentum, AI earnings growth, and geopolitical optimism. Asian markets were much more diverse last month. While tech-heavy exporters rose to historic highs fueled by an AI surge, other markets, particularly in China, faced headwinds from shifting geopolitical events and energy market volatility. For May, the STOXX Europe 600 Index rose 2.4%; the United Kingdom’s FTSE ticked up 0.4%; Japan’s Nikkei 225 Index jumped 11.5%; while China’s Shanghai Composite Index fell 1.1%.
Consumer confidence: The Consumer Confidence Index dipped 0.7 point in May to 93.1 from 93.8 in April. The Present Situation Index, based on consumers’ assessment of current business and labor market conditions, decreased by 3.2 points to 121.2. The Expectations Index, based on consumers’ short-term outlook for income, business, and labor market conditions, rose by 1.0 point to 74.4.
Eye on the Month Ahead
Most of the attention in June will be focused on the employment and inflation data for May. The Federal Open Market Committee, with new Chair Kevin Warsh, meets in June for the first time since April.
Wall Street ended the week with broad gains, record-setting index performances, and a notable shift toward broader market participation beyond tech and AI shares. The Dow, the S&P 500, the NASDAQ, and the Global Dow each finished the week higher. The S&P 500 extended an eight-week winning streak, while the Dow recorded new highs. Markets swung throughout last week as news alternated between progress and tension in the U.S.-Iran ceasefire negotiations. Reports of a potential ceasefire helped ease oil-supply fears, influencing sharp moves in oil prices and Treasury yields.
Stock Market Indexes
Market/Index
2025 Close
Prior Week
As of 5/29
Weekly Change
YTD Change
DJIA
48,063.29
50,579.70
51,032.46
0.90%
6.18%
NASDAQ
23,241.99
26,343.97
26,972.62
2.39%
16.05%
S&P 500
6,845.50
7,473.47
7,580.06
1.43%
10.73%
Russell 2000
2,481.91
2,869.23
2,919.34
1.75%
17.62%
Global Dow
6,169.34
6,874.82
6,899.16
0.35%
11.83%
fed. funds target rate
3.50%-3.75%
3.50%-3.75%
3.50%-3.75%
0 bps
0 bps
10-year Treasuries
4.16%
4.55%
4.45%
-10 bps
23 bps
US Dollar-DXY
98.26
99.30
98.93
-0.37%
0.68%
Crude Oil-CL=F
$57.46
$96.19
$87.87
-8.65%
52.92%
Gold-GC=F
$4,323.90
$4,510.30
$4,573.00
1.39%
5.76%
Chart reflects price changes, not total return. Because it does not include dividends or splits, it should not be used to benchmark performance of specific investments.
Last Week’s Economic News
According to the second estimate, gross domestic product accelerated at an annualized rate of 1.6% in the first quarter of 2026. In the fourth quarter of 2025, GDP increased 0.5%. Personal consumption expenditures (PCE), a measure of consumer spending and the primary driver of GDP, rose 1.4% in the first quarter, a decrease from the 1.9% rise in the fourth quarter.
Personal income was virtually flat in April after advancing 0.5% in March. Disposable personal income (personal income less personal current taxes) decreased 0.1%. Personal consumption expenditures increased 0.5%. The PCE price index, a measure of inflation, rose 0.4% in April after increasing 0.7% in March. Core prices (excluding food and energy) increased 0.2% in April. Since April 2025, the PCE price index rose 3.8%, which was the largest 12-month gain since the index rose 4.0% for the year ended May 2023. Core prices advanced 3.3% since April 2025.
New orders for manufactured durable goods in April, up two consecutive months, increased $25.5 billion, or 7.9%, to $346.0 billion. Excluding transportation, new orders increased 1.1%. Excluding defense, new orders increased 8.1%. Transportation equipment, also up two consecutive months, led the overall increase, rising 21.5%.
The international trade in goods deficit was $82.4 billion in April, down $2.9 billion, or 3.4%, from March. Exports of goods for April were $219.7 billion, $8.5 billion, or 4.0%, more than March exports. Imports of goods for April were $302.1 billion, $5.6 billion, or 1.9%, more than March imports.
Sales of new single-family houses in April 2026 were 6.2% below the March 2026 rate and 11.3% under the April 2025 estimate. Inventory of new single-family homes for sale in April represented a supply of 9.4 months at the current sales rate. The median sales price of new houses sold in April was $422,500, which was 8.0% above the March price of $391,100 and 2.2% higher than the April 2025 price of $413,600. The average sales price of new houses sold in April was $508,800. This was 0.7% above the March price of $505,200 but 1.1% below the April 2025 price of $514,300.
For the week ended May 23, there were 215,000 new claims for unemployment insurance, an increase of 5,000 from the previous week’s level, which was revised up by 1,000. According to the Department of Labor, the advance rate for insured unemployment claims for the week ended May 16 was 1.2%, unchanged from the prior week’s rate. The advance number of those receiving unemployment insurance benefits during the week ended May 16 was 1,786,000, an increase of 15,000 from the previous week’s level, which was revised down by 11,000. States and territories with the highest insured unemployment rates for the week ended May 9 were New Jersey (2.1%), Washington (2.1%), California (2.0%), Massachusetts (1.9%), Rhode Island (1.8%), Oregon (1.7%), Nevada (1.6%), New York (1.6%), Puerto Rico (1.6%), and Illinois (1.5%). The largest increases in initial claims for unemployment insurance for the week ended May 16 were in Ohio (+941), Missouri (+641), Pennsylvania (+433), Massachusetts (+323), and Connecticut (+245), while the largest decreases were in Florida (-1,940), California (-1,398), Michigan (-660), Georgia (-611), and Kentucky (-594).
The national average retail price for regular gasoline was $4.475 per gallon on May 25, $0.015 per gallon below the prior week’s price but $1.315 per gallon higher than a year ago. Also, as of May 25, the East Coast price decreased $0.001 to $4.304 per gallon; the Midwest price dipped $0.047 to $4.352 per gallon; the Gulf Coast price rose $0.038 to $3.989 per gallon; the Rocky Mountain price decreased $0.030 to $4.557 per gallon; and the West Coast price declined $0.036 to $5.569 per gallon.
Eye on the Week Ahead
The jobs report for May is out this week. While job growth slowed during the first quarter of the year, it has picked up somewhat over the past few months.
What I'm Watching This Week 