NEW YORK, August 14, 2026, 04:24 EDT — U.S. cash markets remained shut, while premarket trading saw heightened activity.
U.S. stock futures dipped early Friday, with oil prices climbing ahead of the upcoming July retail-sales report. Nasdaq futures fell 0.1%. On Thursday, the S&P 500 closed at a record 7,798.99, missing the 7,800 level by 1.01 points.
The slim difference is significant as markets have already factored in major cuts. The likelihood of a Federal Reserve hike in September slipped to 35%, down from 55% the prior week.
Oil is currently challenging that 20-percentage-point margin. Brent increased by 1.03% to reach $87.97 per barrel, aiming for an approximately 4% rise over the week. WTI climbed $0.91 to $82.16.
| U.S. benchmark | Thursday close | Daily move | Investor signal |
|---|---|---|---|
| S&P 500 | 7,798.99 | +0.65% | Hit new high; ended 1.01 points short of 7,800 |
| Nasdaq Composite | 26,803.03 | +0.81% | Tech sector led gains again |
| Dow Jones Industrial Average | 53,839.99 | +0.13% | Trailed growth-focused indexes |
Gains on Thursday were uneven. Seven of the S&P 500’s 11 sectors closed higher. Communication services climbed 1.56%, with real estate up 1.34%. Trading volume reached 16.1 billion shares, less than the 17.5 billion average.
Stocks gained support from producer prices. Final-demand prices in July remained flat compared to June, while economists had forecast a 0.2% increase. On an annual basis, the rate eased to 4.7% from 5.5%.
| Macro gauge | Latest reading | Previous or comparison | Market relevance |
|---|---|---|---|
| July producer prices | 0.0% month on month | -0.3% in June | Short-term rate pressure eased |
| Producer prices, annual | 4.7% | 5.5% in June | Improved pace of disinflation |
| September Fed-hike odds | 35% | 55% one week prior | 20-point buffer supports equities |
| Brent crude | $87.97; +1.03% | Roughly +4% this week | Inflation risk returns |
| June retail sales | $768.6 billion; +0.2% | July estimate to post 08:30 EDT | Gauges consumer demand |
Retail sales are the next link between interest rates and corporate earnings. Sales in June totaled $768.6 billion, a 0.2% increase. The July estimate due Friday is provisional and subject to revision.
A strong sales report may bolster profit expectations, while also potentially reigniting worries about interest rates. Conversely, a soft report could benefit bonds, though it might raise questions about the strength of consumer-driven growth.
Analysts continue to lean toward major technology stocks instead of integrated oil. Nvidia Corporation NASDAQ:NVDA and Microsoft Corporation NASDAQ:MSFT are each rated buys by nearly every analyst. Exxon Mobil Corporation NYSE:XOM, by contrast, receives more hold recommendations than buy ratings.
| Company | Buy | Hold | Sell | Average target | Implied upside |
|---|---|---|---|---|---|
| Nvidia NASDAQ:NVDA | 36 | 1 | 0 | $309.94 | 37.57% |
| Microsoft NASDAQ:MSFT | 33 | 1 | 0 | $564.49 | 13.61% |
| Exxon Mobil NYSE:XOM | 8 | 9 | 0 | $166.65 | 5.07% |
| Chevron NYSE:CVX | 13 | 4 | 0 | $216.50 | 9.51% |
The division in recommendations highlights a market balancing act. Technology stocks present higher target-price potential, but are more affected by valuation changes. Energy, meanwhile, serves as a geopolitical buffer, though consensus sees smaller upside.
Charu Chanana, chief investment strategist at Saxo, described the gains as a “headline-driven rally rather than a clean risk-on regime.” She cautioned that a fresh surge in oil could bring back inflation risks and worries for the Fed. Reuters
Asian markets provided upbeat momentum. Japan’s Nikkei climbed 1.5%, and South Korea’s KOSPI advanced 1.8%. The broader Asia-Pacific index was on track for a 2.6% gain for the week.
Risks: A steeper increase in oil prices, unexpected strength in retail sales, or fresh disruption in the Strait of Hormuz may upend rate expectations. On the other hand, weaker demand could highlight stretched equity valuations.
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