Market Report, 2026-07-08

Stocks took a dive while oil prices jumped higher on Wednesday after the U.S. president stated that the U.S. may strike Iran again and that the ceasefire was over. Once again, geopolitical news grabbed the headlines and shifted market behavior. Nevertheless, some recovery took place in the market, especially in the technology sector, after the president made a contradictory statement later in the day. As a result, the Nasdaq was able to finish the day in the green with a 0.2% gain at 25,871, while all other indices posted losses.

The Dow declined the most, falling 577 points to 52,348. The S&P 500 slid 0.28% to 7,483. Outside of technology, the energy sector also ended the day higher as Brent crude oil hovered around $80 per barrel once again.

The bond market returned to an elevated state, with the U.S. 5-year Treasury yield rising 6 basis points to 4.32% and the 10-year yield rising 5 basis points to 4.58%. Gold prices also declined to below the 4,100 mark.

Pivoting to the June Federal Reserve meeting minutes, a few Federal Reserve officials leaned toward a rate hike in June. As concerns about the job market cooled while inflation remained elevated, more officials began showing growing concern about inflation. Combined with today’s geopolitical developments, Fed funds futures now price in a significantly higher chance of a near-term rate hike, while seeing two hikes by the middle of 2027 as the base case.

Weekly jobless claims will be released next, allowing us to monitor potential changes in the labor market. Adams Wealth Advisors will be back to provide more updates.