So far in 2026:

• 99 stocks have surged more than 20%
• 100 stocks are moving within ±5%
• 63 stocks have dropped at least 20%

The biggest winners have delivered massive returns:

• SanDisk +539.4%
• Intel +230.7%
• AMD +107.9%
• Amazon +17.9%
• Nvidia +13.4%

Meanwhile, some popular names have struggled:

• Palantir Technologies -24.0%
• Tesla -6.4%
• Oracle -0.8%

The takeaway: The S&P 500 is moving higher, but leadership is narrow. Investors who picked the right stocks significantly outperformed the index, while others were left behind. In 2026, stock selection matters more than simply buying the market.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

The post S&P 500 Is Up 8.2% in 2026, but Stock Picking Is Driving Returns first appeared on Finblog.

The Morningstar US Market Index gained 2.17%, supported mainly by technology, while the S&P 500 rose 2.33% and the Nasdaq climbed 4.51%.

Market leadership remained concentrated in growth names.

Performance across styles showed:

• Growth stocks: +3.42%
• Blend stocks: +1.94%
• Value stocks: -0.8%

Large caps also outperformed smaller names:

• Large caps: +2.73%
• Mid caps: +0.55%
• Small caps: +1.31%

Technology Continues to Dominate

Technology was the strongest sector of the week, rising 6.7%, as investors continued favoring AI-related names.

Some of the biggest winners included:

• Datadog +42.4%
• Akamai Technologies +42.2%
• Taboola +38.4%
• Micron Technology +37.7%
• IREN +34.1%

Several of these stocks have already posted major gains over the past year, reflecting how strongly investors continue to back AI infrastructure and semiconductor demand.

At the same time, some valuations are beginning to stretch, with multiple names trading above estimated fair value.

Energy Falls as Oil Pulls Back

While tech rallied, energy moved in the opposite direction.

The energy sector dropped 5.55%, making it the weakest performer of the week as oil prices retreated.

Key market moves included:

• WTI crude: -7.4% to $94.90
• Gold: +2.5%
• 10-year Treasury yield: slightly lower at 4.38%

The decline in oil helped reduce some inflation concerns, even as investors continue monitoring geopolitical risks.

Not Every Stock Joined the Rally

The market moved higher overall, but weakness remained underneath.

Major laggards included:

• Optimum Communications -29.4%
• Cogent Communications -28.1%
• Tandem Diabetes Care -20.3%
• Wingstop -19.3%
• Freshpet -18.5%

Interestingly, several underperformers now trade below estimated fair value, suggesting investors may begin looking for opportunities outside AI leaders.

Markets are still following the AI story, and technology remains the biggest winner.

But beneath the rally, another trend is starting to appear: AI leaders continue moving higher, while value opportunities may be quietly building elsewhere.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

Related: AI Rally Keeps Driving Markets, but Investors Are Starting to Ask What Comes Next

The post Weekly Market Update: Stocks Gain 2.17% as Technology Rises and Energy Falls first appeared on Finblog.

Here are the five biggest takeaways shaping markets right now.

1. AI Spending Is Huge… But Returns Are Still Unclear

Companies are pouring billions into artificial intelligence, but investors are starting to question the payoff. The key issue is timing. When will AI actually translate into higher profits?

Right now, that answer is uncertain. Many investors believe the returns may take years, potentially not materialising until the end of the decade.

2. Massive AI Investment Is Still Supporting Stocks

Despite those doubts, AI spending is still acting as a powerful support for markets. As long as companies continue investing heavily in data centers, chips, and infrastructure, it becomes difficult to build a strong bearish case.

Even with geopolitical risks and rising oil prices, equities remain resilient, partly because of this ongoing investment cycle.

3. AI Could Drive More Layoffs

Another emerging trend is less talked about, but increasingly expected. Investors are beginning to anticipate more AI-driven layoffs.

Companies are under pressure to improve efficiency, and AI offers a way to reduce labor costs. That means more announcements around workforce cuts could appear later this year.

4. The US Consumer Is Still Surprisingly Strong

Even with rising costs, the consumer is holding up. Spending remains solid across sectors:

• Mattel reported strong demand
• Starbucks continues to see steady spending
• Chipotle is still attracting customers even with paid add-ons

Analysts suggest it may take much higher gasoline prices, potentially around $5 per gallon nationwide, to significantly slow consumer activity.

5. Politics Is Not Moving Markets Right Now

One surprising takeaway: markets are largely ignoring politics. Despite upcoming elections, companies are not seeing meaningful impact on performance or guidance. For now, investors are focused on earnings, AI, and macro trends, not political noise.

This earnings season shows a market caught between confidence and caution.

• AI is driving growth, but also raising doubts
• Consumers are strong, but pressure is building
• Markets are resilient, but risks are increasing

The result: a market that keeps moving higher… but with more questions than before.

This article is based on reporting and analysis from Yahoo Finance, specifically Brian Sozzi’s opinion piece on S&P 500 earnings trends.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

The post 5 things we learned during S&P 500 earnings madness first appeared on Finblog.

The Nasdaq fell over 1%, while the S&P 500 slipped from record highs. The Dow Jones stayed mostly flat, showing how concentrated the weakness is in tech.

At the center of the sell-off is rising concern around OpenAI. A report suggesting the company missed internal growth targets raised a bigger question:
Is AI demand strong enough to justify the massive spending happening right now?

That doubt hit the entire AI trade.

• Oracle dropped as its cloud-AI story came under pressure
• Nvidia, AMD, and Broadcom all declined sharply
• Chip stocks, one of the best-performing sectors this year, suddenly became the biggest drag on the market

Still, not everything is breaking. Some analysts warn this might be more about expectations cooling than the AI story collapsing.

Now all eyes are on earnings. This week could define the market direction, with giants like Alphabet, Amazon, Meta Platforms, Microsoft, and Apple reporting.

These companies make up nearly half of the S&P 500’s value.
If they disappoint, the market doesn’t have much support. If they deliver, sentiment can shift quickly.

Outside of tech, the picture is mixed.

• Coca-Cola jumped after raising its outlook
• United Parcel Service fell on weaker profitability
• General Motors slipped despite beating earnings

Meanwhile, macro pressure is building.

Oil prices have surged above $100, driven by geopolitical tensions and supply disruptions. That’s bringing inflation fears back into focus just as the Federal Reserve prepares its next decision.

Investors are watching closely whether Jerome Powell will stay patient or signal concern about rising energy-driven inflation.

On the geopolitical side, uncertainty remains high. Donald Trump has pushed back on Iran’s latest proposal, reducing hopes for a quick resolution and keeping pressure on global energy markets.

Markets are shifting from pure optimism → to cautious reality. AI is still the story… but now it has to prove itself.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

Related: Iran War Is Rattling Markets. But History Says Investors Who Do This Will Win

The post US stocks fall on renewed AI growth worries ahead of big tech earnings first appeared on Finblog.

Volatility is back

The pattern has been clear. Markets are moving on headlines, not fundamentals, as uncertainty around the war continues.

This has led many investors to try timing the market, buying and selling based on short-term moves. But experts warn that approach rarely works.

What history shows

Despite the current turbulence, history offers a different perspective. Markets have gone through:

• Major wars
• Economic crises
• Global pandemics

And yet, over time, the trend has remained largely upward. That’s why many analysts argue the biggest mistake investors make is reacting emotionally to short-term volatility.

The strategy that works

Instead of chasing market moves, experienced investors tend to follow a simple rule: Stay invested and stay consistent.

One popular approach is dollar-cost averaging, where investors put money into the market regularly, regardless of conditions. This strategy reduces the risk of buying at the wrong time and helps smooth out volatility.

The Iran war is creating uncertainty, but not a new rulebook for investing. Short-term swings are unavoidable, especially during geopolitical crises.

But the long-term principle remains unchanged: Time in the market still matters more than timing the market.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

Related: ETFs vs Mutual Funds: What Investors Need to Know in 2026

The post Iran War Is Rattling Markets. But History Says Investors Who Do This Will Win first appeared on Finblog.

The move was led by tech. The Nasdaq jumped over 1.6%, while the S&P 500 gained around 0.8%, as investors piled back into growth stocks.

At the same time, the Dow lagged slightly, showing the rally is still heavily concentrated in technology and AI-driven names.

AI rally keeps accelerating

The biggest driver is clear. Semiconductors are on fire.

The chip sector extended its winning streak to 18 consecutive sessions, one of the strongest runs in years.

Intel surged more than 23% to a record high, after issuing a strong outlook, while other chipmakers and AI leaders also pushed higher. Concerns about AI spending are fading fast, and investors are now betting that massive investments from companies like Microsoft, Amazon, and Google will continue to pay off.

Geopolitics adds support

At the same time, markets got a boost from diplomacy. Reports that new US–Iran talks could take place in Pakistan helped ease some tensions, even though the situation remains unstable.

As one strategist put it, there are “some rays of sunlight”, but the back-and-forth nature of negotiations is likely to continue.

What investors are watching next

Focus is now shifting to the Federal Reserve.

• Markets are looking for signals on rate cuts later this year
• Expectations for easing have started to rise again
• Leadership changes at the Fed are also in focus

At the same time, earnings season is coming in strong, with growth expectations climbing above 16%, helping support the rally despite geopolitical risks.

This market is being driven by two forces at once: AI optimism and fragile geopolitics.

Right now, AI is winning. But with tensions in the Middle East still unresolved, volatility could return quickly.

For now, investors are making one thing clear: They are willing to keep buying the future.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

Related: Take Five: Lots of talk, lots of tech

The post Tech Rally Pushes S&P 500 and Nasdaq to New Highs as AI Momentum Builds first appeared on Finblog.

The move signals a major easing of one of the biggest risks markets have been pricing in over the past weeks.

The reaction across markets was quick but clear. Stocks extended gains, with the S&P 500, Nasdaq, and Dow all moving higher, while oil saw one of its sharpest declines recently as supply fears faded.

At the center of the shift is one key factor: The reopening of the Strait of Hormuz, a route that carries a large share of global oil supply

With that risk easing, investors are now pulling back from worst-case scenarios around inflation and energy shocks.

President Trump added to the optimism, saying “it’s looking very good that we’re going to make a deal with Iran,” suggesting negotiations could move forward in the coming days.

At the same time, a fragile ceasefire in the region appears to be holding for now, further supporting market confidence.

Still, not everything is moving in the same direction.

• Netflix shares dropped sharply despite beating expectations, as weak guidance disappointed investors
• Some banks reported solid results, showing underlying resilience in parts of the economy

This highlights that while markets are rising, stock-specific reactions remain selective.

The bigger picture is shifting fast. Markets have moved from war-driven fear to relief-driven optimism, with falling oil prices now supporting equities instead of pressuring them.

But the situation remains fragile. If geopolitical tensions return, both oil and stocks could reverse just as quickly.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

Related: Strait of Hormuz Reopens, Easing Global Energy Fears

The post Stocks Hit Records as Oil Plunges After Strait Reopens first appeared on Finblog.

The S&P 500 jumped from a near correction (-9%) to a new all-time high in just 54 trading days, marking the quickest recovery of its kind since 2020. Even more striking, the rebound from the bottom to a new record took only 11 trading days, the fastest for similar pullbacks since at least 1990.

What’s driving the rally

This surge is not random. It is powered by a mix of geopolitical relief and tech momentum.

• A temporary US–Iran ceasefire helped calm markets
• Oil prices pulled back toward $97 per barrel, easing inflation fears
• Investors quickly rotated back into AI-driven tech stocks

At the same time, strong earnings added fuel to the move. Taiwan Semiconductor delivered record profits and raised its 2026 outlook, reinforcing confidence that AI spending remains strong despite global tensions.

Tech is leading again

The rally is clearly being carried by AI and tech names. Semiconductors, internet companies, and hardware stocks are leading gains, reversing the weakness seen during the March sell-off. The Nasdaq extended its momentum with a 12-day winning streak, its longest since 2009.

Macro is helping, not hurting

Unlike previous rallies, this one is also supported by stable macro signals.

• Bank earnings from major players came in strong
• Producer Price Index (PPI) data showed cooler-than-expected inflation
• Economic resilience is surprising investors

That combination has helped markets climb a wall of worry despite recent geopolitical risks.

What Wall Street is saying

Confidence is rising quickly. Franklin Templeton CEO Jenny Johnson said she is “so bullish on the economy,” reflecting a broader shift in sentiment across Wall Street.

This rally shows how fast markets can flip. Just weeks ago, investors were pricing in war risk, inflation pressure, and tech weakness. Now, the narrative has changed to AI growth, easing tensions, and economic resilience.

Momentum is back, but the speed of this rebound also raises one question: how sustainable is it?

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

Rleated: What’s happening to UK petrol and diesel prices?

The post The S&P 500 Surges to Record Highs in One of the Fastest Comebacks Ever first appeared on Finblog.

The difference is not small, it is consistent.

Companies with high goodwill reported much lower profitability, with EBIT margins far below peers. In 2023, these firms averaged around 5.7% margins, compared to over 20% for companies with more balanced balance sheets.

At the same time, market performance tells a similar story.

• Returns were significantly weaker over five years
• Valuations were lower, showing investor skepticism
• Risk levels were similar, meaning investors got worse returns without taking less risk

What is goodwill and why it matters

Goodwill appears when companies pay more than the actual value of assets during acquisitions. It reflects expectations like: Future growth, Brand value, Customer relationships

The problem is that these values are not directly measurable and depend heavily on assumptions.

Why these companies struggle

The research points to a simple issue: companies often overpay for acquisitions. This can happen for several reasons:

• Executives overestimate future synergies
• Competitive bidding pushes prices too high
• Integration challenges reduce expected benefits

When that happens, the extra cost stays on the balance sheet as goodwill, even if the real value does not materialize.

A hidden risk for investors

There is also an accounting problem. Companies are supposed to reduce goodwill if its value drops, but in practice:

• Write-downs are often delayed
• Management has flexibility in valuation
• Losses can stay hidden for years

This creates a gap between the reported value and real performance. The takeaway is straightforward. Not all assets are equal, and some may be overstated. Companies growing through acquisitions may look strong, but the data suggests investors should be cautious.

In many cases, high goodwill is not a sign of strength, but a warning signal.

Related: Banks Launch New Tool to Bet on Private Credit Risk

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

The post Companies With ‘Hidden Assets’ Are Underperforming first appeared on Finblog.

Base case: standard correction

If the current decline follows historical averages:

• Market could bottom around May 21
• Index could fall into the 6,000 range
• Recovery may take until October to reach new highs

This scenario assumes a typical correction of 10%–20%, which is common in long-term bull markets.

Bull vs trader perspective

• Long-term investors: corrections are normal and temporary
• Short-term traders: may face months of volatility and delayed recovery

Bear case risk still exists

If the downturn turns into a full bear market:

• Bottom could come around January 2027
• S&P 500 could fall to around 4,400
• Full recovery might take years, potentially until 2031

However, history offers some reassurance. Only about 39% of major declines since 1928 turned into bear markets.

The current market setup suggests a likely normal correction rather than a deep crash, but uncertainty remains. If history holds, the market may stabilize by May, with recovery later in the year. If not, the downside could be much deeper and longer-lasting.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

Related: S&P 500 estimates keep rising. These stocks’ views rise most

The post S&P 500 May Bottom Near 6,000 as Correction Plays Out first appeared on Finblog.