Market Insights
Get insights into what has been happening in US and world markets, and other economic indicators.
Bottom Line Up Front
- In the US and Canada, stocks rose in May, helped by gains in big tech, encouraging economic news and ongoing diplomatic efforts in the Middle East.
- In Europe, the MSCI EAFE Index climbed 2.60%, but underperformed all three major US market averages for the third consecutive month.
- Markets outside of Europe saw mixed results. Japan and Korea were top performers with gains of 11.88% and 28.45%, respectively, while China’s Hang Seng Index lost 2.30%.
- Jerome Powell finished his eight-year tenure as the Chair of the Federal Reserve and Kevin Warsh was sworn in as the new chair later in the month. The handover appeared to bolster investor confidence as all three major averages hit multiple record closes.
Time to Read
6 minutes
June 15, 2026
Monthly Market Insights: June 2026
US and Canadian markets
Stocks pushed higher in May, fueled by big tech names, positive economic news, and ongoing diplomatic efforts in the Middle East.
The Nasdaq Composite, which rose 15.29% in April, tacked on another 8.36%. The Standard & Poor’s 500 Index picked up 5.15%, while the Dow Jones Industrial Average advanced 2.78%. The S&P/TSX Composite Index gained 2.37%.
Stocks climbed early despite volatility
Stocks rallied early in the month, notching multiple intraday and closing records amid plenty of volatility. Investors cheered falling oil prices and better-than-expected earnings results from a couple of chipmakers, which lifted the entire tech sector and led the broader averages higher.
Hiring stays strong
Better-than-expected April job growth fueled a relief rally from investors who were pleasantly surprised that the Middle East conflict had not impacted hiring.
Despite a hotter-than-expected April inflation report, investors appeared more focused on the US-China diplomatic summit. By mid-month, the S&P 500 had closed over 7,500 for the first time, while the Dow reclaimed the 50,000 level.
Fed leadership change reassures investors
Kevin Warsh was sworn in as the new Fed chair late in the month, which appeared to bolster investor confidence as all three major averages hit multiple record closes.
Confidence in ongoing Middle East diplomatic efforts grew, and stocks finished the month on a nine-week winning streak—their longest since 2023—with the Dow Industrials cracking the 51,000 level for the first time.
US sectors
Sector performance tells an interesting story about the month. Information Technology (+19.76%) was the dominant leader and the only sector to post a double-digit gain. Health Care (+2.38%) and Consumer Discretionary (+2.13%) helped support the rally.
On the downside, Real Estate (-0.92%), Materials (-0.62%), and Communication Services (-0.70%) were under pressure. Industrials (-0.83%) and Consumer Staples (-1.66%) also felt some pressure.
Elsewhere, Financials lost 1.06% while Utilities (-5.19%) and Energy (-5.63%) fell further.
Canada recap
Canada's S&P/TSX Composite Index was under a bit of pressure early in the month as geopolitical tensions and Middle East-driven inflation fears unsettled investors. Oil prices remained high, which weighed on consumer-facing sectors but helped lift energy stocks, one of the largest weightings in the index.
The TSX recovered over the second half of the month, rising steadily as AI chipmakers' strong Q1 corporate reports lifted sentiment across North American markets, carrying the TSX higher. As the month came to a close, the TSX extended its gains as ongoing diplomatic efforts in the Middle East helped ease some inflation concerns.
| Market/Index | May 2026 Change | YTD Change |
|---|---|---|
| S&P 500 | 5.15% | 10.73% |
| NASDAQ | 8.36% | 16.05% |
| Russell 2000 | 4.27% | 17.62% |
| S&P/TSX Composite | 2.37% | 9.64% |
| 10-Year Treasury Notes | 4.45 | 0.29 |
| Fed Funds Rate | 3.50-3.75 | 3.50-3.75 |
The market indexes discussed are unmanaged and generally considered representative of their respective markets. Individuals cannot directly invest in unmanaged indexes. Past performance doesn't guarantee future results. US Treasury Notes are guaranteed by the federal government as to the timely payment of principal and interest. However, if you sell a Treasury Note prior to maturity, it may be worth more or less than the original price paid.
What investors may be talking about
On June 8th, one of the world’s most influential tech companies kicks off its Worldwide Developers Conference. Although it’s hosted by one company, the conference has become a seminal event for the industry. Hundreds of thousands attended online, while a much smaller group traveled to Cupertino, California to attend in person.
Expect artificial intelligence to be a big focus again this year. Industry watchers anticipate that some new AI concepts will be introduced, which could cause some ripples in financial markets.
World markets
The MSCI EAFE Index climbed 2.60%, but the Index underperformed all three major US market averages for the third consecutive month.
In Europe, Spain (+3.27%), Italy (+3.71%), and Germany (+3.34%) notched solid gains. France (+0.84%) and the United Kingdom (0.29%) lagged a bit.
Markets outside of Europe were also mixed. Mexico rose 1.08%, while India fell 2.78%. Brazil (-7.22%) was under pressure throughout the month.
Japan (+11.88%) was a top performer in the Pacific Rim. Australia added 0.76%, while China’s Hang Seng index lost 2.30%. And for the second consecutive month, Korea (+28.45%) delivered a 25%+ gain.
World market recap
| Emerging Markets | May 2026 Change | YTD Change |
|---|---|---|
| Hang Seng (China) | -2.30% | -1.75% |
| KOSPI (Korea) | 28.45% | 101.13% |
| Nikkei (Japan) | 11.88% | 31.61% |
| Sensex (India) | -2.78% | -12.26% |
| EGX 30 (Egypt) | 1.73% | 25.89% |
| Bovespa (Brazil) | -7.22% | 7.86% |
| IPC All-Share (Mexico) | 1.08% | 6.65% |
| ASX 200 (Australia) | 0.76% | 0.20% |
| DAX (Germany) | 3.34% | 2.51% |
| CAC 40 (France) | 0.84% | 0.42% |
| IBEX 35 (Spain) | 3.27% | 6.10% |
| FTSE 100 (United Kingdom) | 0.29% | 4.81% |
| IT40 (Italy) | 3.71% | 11.33% |
The market indexes discussed are unmanaged and generally considered representative of their respective markets. Individuals cannot directly invest in unmanaged indexes. Past performance doesn't guarantee future results. International investments carry additional risks, which include differences in financial reporting standards, currency exchange rates, political risks unique to a specific country, foreign taxes and regulations, and the potential for illiquid markets. These factors may result in greater share price volatility.
Indicators
- Gross Domestic Product (GDP). The economy grew 1.6% on an annualized basis in the first quarter, based on the Commerce Department’s second revision of GDP, down from its initial estimate of 2.0%. Downward revisions to inventory investment and consumer spending drove most of the overall lower pace.
- Employment. Employers added 115,000 jobs in April, versus the 55,000 economists expected. Jobs grew the most in the healthcare, retail, and leisure & hospitality sectors. Unemployment held steady at 4.3% last month. Wage growth rose 0.2% month over month in April. Year-over-year wage growth increased to 3.6%, below expectations.
- Retail sales. Consumer spending rose 0.5% in April as expected. Sales at furniture and health & personal-care stores contracted. Interestingly, excluding slower-than-expected sales at gas stations, retail sales rose 0.3% month over month. Year-over-year retail sales increased 4.9% in April.
- Industrial production. Industrial output rose 0.7% in April over the prior month, rebounding from March’s upwardly revised 0.3% decline and exceeding expectations for a 0.2% increase.
- Housing. Housing starts fell by 2.8% in April over the prior month, beating expectations. An unexpected 14% rise in multifamily starts offset a 9% drop in single-family starts. Regionally, single-family starts rose the most in the Northeast (+16.1%) with modest increases in the West (+5%) and the Midwest (+2.5%), while the South (-11%) was the only region where starts fell.
Sales of existing homes rose 0.2% in April over the prior month. Increased inflation expectations stemming from higher oil prices pushed mortgage rates higher, which affected sales. Year over year, existing home sales rose 0.5%. The median existing home sales price was $417,700—0.9% higher than in April 2025. The supply of unsold homes rose 5.8% month over month in April to 4.4 months of supply at the current sales rate (1.4% year over year).
Three months of new home sales data came in last month, previously delayed by government shutdowns. Homebuyers purchased 622,000 newly constructed homes in April, falling short of the expected 663,000 new home sales. The median new home price rose to $422,500 in April, 8% higher than in March. The 489,000 unsold new homes in April marked a still-high level of inventory, equal to 9.4 months of supply at the latest sales pace.
- Consumer Price Index (CPI). In April, consumer prices rose 0.6% over the prior month—which was in line with expectations. Higher energy prices (including gasoline) drove over 40% of the CPI’s monthly rise. Core inflation, which excludes energy and food prices, rose 2.8% year over year, also a little higher than expected.
- Durable goods orders. Orders of manufactured goods designed to last three years or longer jumped 7.9% in April, the biggest increase in almost a year. Civilian aircraft orders soared 166%, with China committing to purchasing 200 planes following a recent US-China presidential summit. Excluding transportation, durable goods orders rose 1.3%.
The Federal Reserve
While there was no Federal Open Market Committee meeting in May, the month was noteworthy for several reasons. On May 15, Jerome Powell finished his eight-year tenure as the Chair of the Federal Reserve. On May 20, the FOMC released minutes from its April meeting, which showed the Middle East conflict has reshaped the Fed’s outlook on interest rates. On May 22, incoming Fed Chair Kevin Warsh was sworn in. And on June 16–17, the Federal Reserve will convene its next meeting. That meeting will include a Summary of Economic Projections, including the "dot-plot" of long-term interest rate forecasts.
By the numbers: Father's Day
$24 billion
Total US Father's Day spending in 2025, up from $22.4 billion the year before
$199.38
The average amount Americans spent per person for Father's Day in 2025
50%
How much Father's Day spending has grown since 2019
76%
Share of US consumers who planned to celebrate Father's Day in 2025
$4.8 billion
Amount earmarked for special outings such as dinners, concerts and events
98%
Increase in the sale of BBQ at full-service restaurants on Father's Day
#3
Father's Day ranks as the third busiest dining day of the year for US restaurants
58%
Share of US shoppers who planned to purchase a greeting card for Father's Day in 2025
46%
Share of Canadians who celebrated Father's Day in 2025
#1
Dining out ranked as the top Father's Day spending category in Canada
43%
Share of US shoppers who planned to gift a subscription box in 2025
Disclosures
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↵Data sources: Based on data from WSJ.com; TMX.com; CNBC.com; SSga.com; TradingEconomics.com; YahooFinance; MacRumors.com; MSCI.com; KPMG.com; Realtor.com; Census.gov; Reuters.com; NRF.com; Toasttab.com; Paytronix.com; Retailcouncil.org.
The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. Please consult legal or tax professionals for specific information regarding your individual situation. This material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG Suite, LLC, is not affiliated with the named representative, broker-dealer, or state- or SEC-registered investment advisory firm. The opinions expressed and material provided are for general information and should not be considered a solicitation for the purchase or sale of any security. Investing involves risks, and investment decisions should be based on your own goals, time horizon and tolerance for risk. The return and principal value of investments will fluctuate as market conditions change. When sold, investments may be worth more or less than their original cost.
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The forecasts or forward-looking statements are based on assumptions, subject to revision without notice, and may not materialize.
The market indexes discussed are unmanaged and generally considered representative of their respective markets. Individuals cannot directly invest in unmanaged indexes. Past performance does not guarantee future results.
The Dow Jones Industrial Average is an unmanaged index that is generally considered representative of large-capitalization companies on the US stock market. The S&P 500 Composite Index is an unmanaged group of securities considered to be representative of the stock market in general. The Nasdaq Composite is an index of the common stocks and similar securities listed on the Nasdaq stock market and considered a broad indicator of the performance of stocks of technology and growth companies. The Russell 1000 Index is an index that measures the performance of the highest-ranking 1,000 stocks in the Russell 3000 Index, which is comprised of 3,000 of the largest US stocks. The MSCI EAFE Index was created by Morgan Stanley Capital International (MSCI) and serves as a benchmark for the performance in major international equity markets, as represented by 21 major MSCI indexes from Europe, Australia, and Southeast Asia. Index performance is not indicative of the past performance of a particular investment. Past performance does not guarantee future results. Individuals cannot invest directly in an index. The return and principal value of stock prices will fluctuate as market conditions change. And shares, when sold, may be worth more or less than their original cost.
International investments carry additional risks, which include differences in financial reporting standards, currency exchange rates, political risks unique to a specific country, foreign taxes and regulations, and the potential for illiquid markets. These factors may result in greater share price volatility.
The Hang Seng Index is a benchmark index for the blue-chip stocks traded on the Hong Kong Stock Exchange. The KOSPI is an index of all stocks traded on the Korean Stock Exchange. The Nikkei 225 is a stock market index for the Tokyo Stock Exchange. The SENSEX is a stock market index of 30 companies listed on the Bombay Stock Exchange. The Jakarta Composite Index is an index of all stocks that are traded on the Indonesia Stock Exchange. The Bovespa Index tracks 50 stocks traded on the Sao Paulo Stock, Mercantile, & Futures Exchange. The IPC Index measures the companies listed on the Mexican Stock Exchange. The MERVAL tracks the performance of large companies based in Argentina. The ASX 200 Index is an index of stocks listed on the Australian Securities Exchange. The DAX is a market index consisting of the 30 German companies trading on the Frankfurt Stock Exchange. The CAC 40 is a benchmark for the 40 most significant companies on the French Stock Market Exchange. The Dow Jones Russia Index measures the performance of leading Russian Global Depositary Receipts (GDRs) that trade on the London Stock Exchange. The FTSE 100 Index is an index of the 100 companies with the highest market capitalization listed on the London Stock Exchange.
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