US stocks weekly: Rate reckoning

Advanced Micro Devices

21/09/2026 11:00

Repeats from Friday with no changes to text. Updates graphic
** S&P 500 .SPX falls second straight week, though dips just 0.1% as Fed Chair Kevin Warsh takes center stage .N
** Dow .DJI drops 1.7%, while tech-heavy Nasdaq Composite .IXIC lifts 0.7%
** Nasdaq gyrates, survives support test, but upside still capped
** Though recent breadth breakdown leaves Nasdaq bulls on alert after the Dow tested a key line in the sand ahead of Fed decision
** And then the S&P 500 has a bounce, not yet a breakthrough
** US 10-year Treasury yield US10YT=RR finishes around 5.00% after ascending to 19-year high ahead of the Federal Reserve's decision to hike rates US/
** Most sectors succumb to the verdict: Interest-rate-sensitive plays like Utilities and Financials harshly judged, while Tech, Communication Services and Healthcare get a reprieve
** Financials .SPSY flop 2.3%. Big banks extend slide after Fed rate hike, Warsh press conference
For the week, S&P 500 banks index .SPXBK drops ~4%, KBW regional banking index .KRX loses >1%
** Industrials .SPLRCI sag 1.5%. J.B. Hunt JBHT.O skids as higher trucking costs prompt CFO's profit warning  
A bright spot, Generac GNRC.N surges after $2.4 bln deal to supply backup generators for Amazon AMZN.O data centers
** Tech .SPLRCT adds 1.1%. AI-related stocks including chipmakers Nvidia NVDA.O and Advanced Micro AMD.O fall on Mon after top CEOs urge slower model development amid safety worries. Optical fiber supplier Corning GLW.N biggest sector loser, sheds 10% on week
This as Jefferies says AI demand remains strong, with Nvidia at the center
Semiconductor index .SOX rises 0.8%; NVDA and AMD notch weekly gains of ~2% and 8.5%, respectively
** Communication Services .SPLRCL gains 1.2%. Though Netflix NFLX.O declines after Wells Fargo turns bearish, citing softer viewership, 'messier story'
** Meanwhile, AAII bearish sentiment climbs to 16-month high as optimism tumbles
** SPX performance YTD:

SP 500 2026 YTD THROUGH SEPTEMBER 18 https://fingfx.thomsonreuters.com/gfx/buzz/zdpxedewrvx/SP%20500%202026%20YTD%20through%20Sept%2018.jpg
(Lance Tupper and Terence Gabriel are Reuters market analysts. The views expressed are their own)
((lance.tupper@tr.com ; terence.gabriel@tr.com))