Dow logs a third straight weekly loss, its worst since March, while tech keeps the Nasdaq in positive territory
NEW YORK, Sept. 18, 2026. U.S. stocks closed a turbulent week on a mixed note Friday. Rising Treasury yields and oil above $100 a barrel kept the Dow Jones Industrial Average in the red, while technology shares helped the S&P 500 and Nasdaq Composite edge higher.
The Dow fell 95.40 points, or 0.18%, to 51,682.64. The S&P 500 gained 0.17% to 7,650.50, and the Nasdaq rose 0.39% to 26,522.55.
For the week, the Dow lost 1.7%, its third consecutive weekly decline and its steepest since March. The S&P 500 slipped roughly 0.1%, and the Nasdaq gained 0.7%.
Fed hike still casting a shadow
The week’s central event was the Federal Reserve’s decision on Wednesday to raise interest rates by a quarter point, its first increase in three years. Policymakers also signaled that at least one more hike could come before year-end. The announcement hit stocks that day, but a rebound on Thursday, led by technology, suggested investors were willing to look past a longer stretch of tighter policy and refocus on the AI-driven earnings story.
Friday’s bond market complicated that picture. The benchmark 10-year Treasury yield, which earlier in the week topped 5% for the first time since July 2007, dipped Thursday and then moved back above that level, ending near 5.006%. The 30-year yield was above 5.3% during the session.
Scott Welch, chief investment officer at Certuity, said the Fed’s move removed some uncertainty but doesn’t look like a one-off. He expects another hike this year, possibly in October or after the elections, and one or two more in 2027. He also expects yields and oil to stay elevated for months, and described the outlook for stocks as a “chug-along” environment rather than a bearish one.
Oil stays above $100
West Texas Intermediate crude settled down 1.58% at $100.30 a barrel, and Brent fell 0.91% to $103.87. Prices were little changed on the week. Energy markets remain on edge over the widening Middle East conflict, with Saudi Arabia and Yemen’s Houthis trading fresh attacks along their border. Traders were partly reassured by reports that Saudi Arabia is making more crude available to Asian refiners through ship-to-ship transfers off Oman.
Financials sag, crypto surges
Bank stocks were among the week’s weakest performers. The Financial Select Sector SPDR Fund (XLF) fell more than 2%, its worst week since March. Goldman Sachs and Bank of America each dropped about 8%, their biggest weekly declines since April 2025.
Crypto-linked names went the other way. Bitcoin jumped more than 5% Friday to top $80,000 for the first time since Sept. 7, buoyed by enthusiasm over the Securities and Exchange Commission clearing a path for tokenized stocks. Coinbase rose about 11%, Strategy gained about 12%, and Robinhood added nearly 8%.
Chipmakers also advanced, with Applied Materials up about 4%, Lam Research up 5% and Sandisk up 7%. Steelmakers were a weak spot. Nucor and Steel Dynamics fell after issuing third-quarter guidance that fell short of analyst expectations. SpaceX slipped about 2% after pushing its next Starship launch to Sept. 28, dragging space-sector peers Rocket Lab and Intuitive Machines down more than 5%.
Sentiment sours
Investor mood soured noticeably. The American Association of Individual Investors’ weekly survey showed about 53% of respondents bearish on the six-month outlook, up roughly 14 points from a week earlier and the most pessimistic reading since May of last year. Bullish sentiment fell to just under 29%, its lowest in about a year.
Also making news
- Berkshire Hathaway: Warren Buffett, 96, is stepping down as chairman and becoming chairman emeritus, while staying on the board. His son Howard Buffett takes over as chairman. A Keefe, Bruyette & Woods analyst expected some pressure on the shares.
- Bank of Japan: The central bank raised its policy rate by 25 basis points to 1.25%, the highest since 1995, on a 7-2 vote.
- ECB: Christine Lagarde said she will leave the European Central Bank in 2027 and declined to rule out further rate hikes.
- Legal: Bloomberg reported that the Justice Department is weighing joining a lawsuit by Texas and 12 other states accusing BlackRock and State Street of pressuring coal producers to cut output.
What to watch
With the Dow on track for its first monthly loss in six, the S&P 500 on track for consecutive weekly declines, and all three indexes still higher for the year, investors will focus on whether yields settle back below 5%, where oil heads next, and whether the AI-fueled tech rally can offset a tighter Fed.
