NEW YORK, January 2, 2026, 15:24 ET — Regular session
- McDonald’s shares were down about 0.7% in late-afternoon trade.
- Consumer-discretionary stocks lagged as Treasury yields moved higher in the year’s first U.S. session. 1
- Investors are watching next week’s U.S. jobs report and inflation data for clues on Federal Reserve policy. 2
McDonald’s shares fell 0.7% to $303.38 in late-afternoon trading on Friday, starting 2026 on the back foot as investors trimmed exposure to consumer-facing names.
The move matters now because trading volumes are returning after the holiday lull, and the market’s attention is shifting back to interest rates and consumer demand. Consumer discretionary stocks were among the day’s laggards in early action, a pressure point for restaurant operators that rely on steady traffic. 3
Next week brings the first major slate of U.S. economic reports of the year, including the monthly employment report due January 9 and the consumer price index on January 13, both key inputs for rate expectations. 2
On Wall Street, major indexes were modestly higher in afternoon trade even as investors debated how long last year’s rally can last. The Dow rose 0.67%, the S&P 500 added 0.26% and the Nasdaq gained 0.12%, a Reuters report said. 1
The consumer discretionary sector remained weak, with a widely tracked sector ETF down about 0.7%. Benchmark 10-year U.S. Treasury yields rose to about 4.20%, lifting borrowing costs across the economy and often weighing on rate-sensitive stocks. 1
“Stocks trade expensive on 18 of 20 measures, and we see elevated risks to the index level in the near term,” Savita Subramanian, Bank of America’s equity and quantitative strategist, wrote in a note. 3
On the company side, McDonald’s has been keeping marketing fresh. The chain has partnered with Crayola on a global “Planet McDonald’s” Happy Meal campaign, rolling out in more than 60 countries with a scan-to-play digital element, Nation’s Restaurant News reported. 4
For investors, the question is whether promotions and digital engagement are enough to protect traffic as consumers stay selective on spending. The industry has leaned more heavily on value messaging, even as input costs and wages remain a focus.
Peers were mixed on Friday. Yum Brands slipped 0.3% and Restaurant Brands International fell 0.4%, while Chipotle rose 1.4% and Starbucks gained 0.5%.
McDonald’s traded between $300.33 and $306.48 on the day, with volume around 2.0 million shares in regular trading. The $300 level is a near-term line traders often watch as psychological support.
Macro catalysts are likely to stay in the driver’s seat into the close. Fed funds futures — contracts investors use to bet on where the policy rate is headed — suggest little chance of a cut at the Fed’s late-January meeting, according to Reuters. 2
The next company-specific test comes with McDonald’s next quarterly update, when investors will focus on comparable sales — a measure of revenue at restaurants open at least a year — and profit margins. Until then, traders are likely to keep reacting to shifts in rates, risk appetite and any read-through from consumer discretionary spending trends.
