Market Review: June 23, 2026

Closing Recap

Tuesday, June 23, 2026

Index	Up/Down	%	Last
DJ Industrials	-47.28	0.09%	51,665
S&P 500	-107.22	1.43%	7,365
Nasdaq	-579.56	2.21%	25,587
Russell 2000	-28.95	0.96%	2,975

The markets followed yesterday’s choppy session with an overnight slide as investors continued to digest the potential for Fed rate hikes and questioned previous expectations around size and longevity of ai investment and earnings growth in big tech. A bit of multiple contraction appeared to be the result, at least for now. Stocks moved off early lows by mid-morning with market breadth favoring decliners by 9:7 as small caps outperformed with IWM (-0.79%) versus SPY (-0.98%) and QQQ (-2.78%). SPY breadth favored advancers by 11:7, while QQQ breadth was about neutral with slight tilt toward advancers. Sector performance was fairly evenly split with Real Estate (+2.12%), Health Care (+1.90%) and Energy (+1.50%) outperforming among S&P sector ETFs, while Communications (-1.66%), Consumer Discretionary (-2.18%) and Technology (-2.99%) paced the underperformers with 6 sectors gaining versus 5 declining.

In data of note today, while we may be seeing some selling pressure in US markets, it could always be worse. Per @bespokeinvest, South Korea suffered its largest one-day drop in history with a 9.99% slide. In oil, $73 crude now marks only a 7% rise year/year after coming well off recent highs. On the Tech pull-back, @DataTrekMB’s Jessica Rabe sees this as a health pause in a longer run sector bull market despite it possibly feeling more like a Tech bear market for some investors.

Heading into the final hour of trading equities had faded back to lows as investors retreated from, “buy the dip” mentality, at least for today. Friday will bring a new round of PCE data and attempts to read through to the Fed, so stay tuned. Tonight, after the bell is Fed-Ex (FDX) earnings in transports ahead of Micron (MU) results this week in semis/memory chips.

Economic Data

US S&P Services PMI Flash 51.3 versus 51.1 expected and 50.7 prior. US S&P Manufacturing PMI Flash 55.7 versus 54.6 expected and 55.1 prior. US S&P Composite PMI Flash 52.2 versus 52.1 expected and 51.5 prior.

Richmond Fed Composite Manufacturing Index +4 versus +13 prior. Richmond Fed Manufacturing Shipments index +3 versus +16 prior. Richmond Fed Services Revenues Index -1 versus +14 prior.

Commodities & Currencies

Gold futures pulled back again overnight and never gained much traction during the regular session. With the Dollar strengthening to a one-year high and Fed rate hike expectations rising, pressure continues to mount on gold. Further, today Deutsche Bank cut its gold forecast to $4,800/oz in Q4 with downside risk to $3,800 if the Fed is more aggressive with hikes. August gold settled at -$53.30/oz, or -1.27%, at $4,149.40

WTI crude futures slipped again overnight despite commentary questioning whether Israel had violated the ceasefire. More peaceful commentary on the Strait of Hormuz kept oil prices down as did new discussions between VP Vance and Lebanese President Aoun. August WTI crude settled -$0.65/bbl, or -0.88%, at $73.21.
The U.S. dollar (DXY) climbs for fifth day as risk sentiment deteriorates and hit a resh 14‑month high, supported by haven demand as tech‑led equity losses, weaker commodities, and persistent central bank concerns over elevated inflation weighed on the global growth outlook. The euro slid to a one‑year low below 1.14, pressured by risk‑off USD demand, cross weakness and softer European yields after weak PMIs; the dollar held recent gains against the Japanese yen, falling from recent 2024 highs just under 162.

Macro	Up/Down	Last
WTI Crude	-0.65	73.21
Brent	-0.82	77.08
Gold	-53.30	4,149.40
EUR/USD	-0.0046	1.1382
JPY/USD	-0.02	161.52
10-Year Note	-0.012	4.496%

Sector News Breakdown

Retail, Consumer Staples & Restaurants:

In Retail: BBY announced that CFO Matt Bilunas will step down on July 31, after serving as CFO for seven years. This announcement follows plans for current CEO Corie Barry to leave BBY at the end of F3Q. FIVE was downgraded to Peer Perform at Wolfe Research in dollar stores. TPR price tgt raised to $230 from $187 at UBS saying they have the brand strength, product Engine, marketing budget, and balance sheet to power big growth…yet also has the best Ai capabilities in Softlines. HD was downgraded to Peer Perform at Wolfe in home improvement retail. ROST downgraded from Overweight to Equal Weight at Wells Fargo saying while execution under CEO Conroy has been essentially flawless, the risks of 1) low-end demo, 2) tough compares ahead, and 3) building inventory push US to the sidelines. NKE was downgraded to In-line from Outperform at Evercore as checks are still picking up unexpected new resets lower in the wholesale channel, "minimal needle-moving innovation" in the pipeline into calendar 2027. EPC Edgewell Personal Care Co., which makes Schick Razors, rejected an unsolicited $30/share takeover offer from private equity firm Yellow Wood Partners, according to people familiar with the matter. BBWI today announced a strategic partnership with ULTA bringing a curated selection of its most-loved body care and home fragrance products to more than 600 Ulta Beauty stores nationwide and Ulta.com. The WSJ reported that WMT will pay $1.4B for Vibe.co, a private French company that enables advertising through connected TVs, according to people familiar with the matter

In Restaurants: DPZ announced a leadership succession plan. The plan includes the transitions of current CEO Russell Weiner to Executive Chairman; current COO/President – Domino’s U.S. Joe Jordan to CEO; and the retirement of current Executive Chairman Dave Brandon.
In Auto sector: CAR said it reached a settlement agreement with Pentwater Capital Management to resolve its pending lawsuit seeking recovery of alleged short-swing profits under Section 16(b) of the Securities Exchange Act. Avis Budget Group is set to receive $650 million in a settlement agreement with Pentwater Capital Management. SONO entered a partnership with �koda to supply the premium in-cabin audio system for the automaker’s new flagship EV, the Peaq. TM will slash even more output abroad as Iran war crimps demand; Strait of Hormuz shutdown keeps fuel costs high.
In Leisure: CCL reported Q2 earnings, Adj. EPS $0.41 beat the $0.35 estimate but Sales of $6.663B missed the $6.692B estimate. CCL lowered Q3 EPS guidance to Q3 Adj EPS $1.35 vs $1.42 estimates but raised FY26 EPS guidance to $2.22 from $2.21 vs $2.25 estimates. Carnival says Q2 operational outperformance and accelerated cost-saving efforts offset temporary weakness tied to the Middle East conflict; sees 2026 benefiting from strong demand, pricing and operational improvements, with recent booking trends suggesting a reversal of those headwinds.
In Gaming: MGM and BetMGM today announced the renewal of their partnerships with Major League Baseball. This extends a historic relationship that began in 2018 with MGM Resorts and BetMGM becoming MLB’s first Official Gaming and Sports Betting Partners. The NY Times reported that Mark Zuckerberg directed META to create a prediction markets app; The experimental app, internally called “Arena,” would be independent of Facebook and Instagram. It could compete for attention with Polymarket and Kalshi, the biggest prediction markets.

Energy, Industrials and Materials

In E&C Sector: PRIM shares tumbled after cut its outlook, warning of Q2 headwinds in its renewables business, and said its chief operating officer left the company; now expects adjusted EPS between $2.05 and $2.60 vs the prior $4.80 to $5.00 range and expects lower revenue and gross profit for full-year in its renewables business; Cut in renewables business revenue estimate to $2.1 billion reflecting project delays, with the biggest earnings hit expected in Q2.

In Defense: BAH announced an agreement to acquire Ultra Mission Solutions for $720m. Ultra Mission Solutions is a defense technology business specializing in mission critical software, encryption, and edge compute products; defense contractors GD, RTX, LMT seeing rebound after sliding on Monday. Israel is considering listing state-owned defense giants Israel Aerospace Industries Ltd. and Rafael Advanced Defense Systems Ltd. in the US to potentially avoid stricter disclosure obligations in the local market.
In Aerospace: SPCX shares trade to their lowest levels since recent IPO, a day after shares tumbled for a third consecutive session on Monday as investors reacted to the company’s plans to enter the investment-grade bond market. The stock declined to the $146 range shortly after today’s opening before rebounding to the mid-$160 level by midday. SpaceX sees peak demand of $89B for first high-grade bond offering. ASTS shares traded higher after the company announced that its BlueBird 11, 12 and 13 direct-to-device communications satellites will launch from Florida in the first half of August.
In Power/Utility: NI announced the Indiana Utility Regulatory Commission (IURC) has approved key agreements supporting the company’s previously announced partnership with Amazon to serve new data center development in northern Indiana. The US DOE issued $17.5B in loans for the purchase infrastructure to rebuild commercial nuclear supply chain. Westinghouse (co-owned by CCJ & BAM) will partner with up to five utilities and energy companies to procure reactors and other infrastructures at fixed prices.
In Transportation: Shares of BRK were up on the day despite reports that 2 of their BNSF trains derailed yesterday in Woodward, OK and Danville, KS. FDX is expected to report earnings after the close
In Mining: Brazil’s Previ reiterates that its decision to request VALE’s board for an extraordinary general meeting to replace Chairman Daniel Stieler is aligned with its role as an institutional investor. UUUU said on Tuesday it would acquire German magnet manufacturer Vacuumschmelze GmbH for a cash-and-stock consideration of about $1.9B

Banks, Brokers, Asset Managers:

In Private Credit: APO $26B private credit fund, Apollo Debt Solutions, said it was curbing redemptions at 5% of its shares after investors sought to withdraw approximately 16.8% of the total. Paying out those investors will bring gross outflows from the fund to $700M, outpacing inflows of $300M, based on preliminary data. That leaves net outflows worth about 3% of the fund’s asset value so far this year.

Biotech & Pharma:

The FDA approved first generic of SNY’s priftin (rifapentine) tablets. LLY expects to launch its weight-loss pill in Europe and Britain in the second half of 2026 or early 2027, with the drugmaker targeting the out-of-pocket telehealth market as it ‌has done in the United States; says Trump pricing policy will affect obesity drug launches in Europe.

CHRS and Zumutor Biologics announce clinical collaboration to evaluate ZM008 in combination with loqtorzi® (toripalimab-tpzi). XLV UNH CI HUM The Justice Department on Tuesday is expected to unveil charges against around 450 defendants for alleged Healthcare fraud totaling over $6.5B as part of the Trump administration’s stepped-up antifraud efforts.
Florida AG James Uthmeier issues subpoena to CVS’s CVS Health Corporation and Caremark for alleged anticompetitive practices harming Florida families.

Technology

Software movers: the group rebounded after tumbling late on AI impact fears; ORCL shares fell after saying it plans to reduce its workforce by about 13%, or roughly 21,000 employees, in fiscal 2026 as part of a broad restructuring. Oracle is preparing to raise up to $50b in new capital to fund AI infrastructure, with more than half of its backlog estimated to be tied to OpenAI related commitments. ZETA shares bounced early after PLTR CEO said Zeta is using Ontology to build a “next generation marketing environment” that delivers the advantages of AI while protecting against many known risks. Supply chain software maker SPSC is exploring a sale amid pressure from activist investors, according to three people familiar with the matter per Reuters.

IT Services & Consulting: ACN increases FY26 share repurchase program by $2B to $7.5B; expects Q4 repurchases of $2.3B including additional $2B.
EDA Sector: SNPS was upgraded to Overweight at Piper and raised tgt to $550 from $450 saying while changing fortunes at Intel are appreciable with shares up ~220% QTD (INTC), announcements had previously yielded more optimism on INTC’s x86 offerings. Intel’s 18A-P node presents a very different demand environment at SNPS’s largest customer
In Hardware: IBM was upgraded from Neutral to Overweight at JP Morgan and raise tgt to $291 from $270 with greater confidence in a 2H26 CC software acceleration following a deeper look at IBMs software business. The company is about to lap tough comps from its recent z17 mainframe cycle, but this is well known and less relevant to long-term growth in JPM’s view. CDW was upgraded from Equal Weight to Overweight at Morgan Stanley and tgt to $170 from $142.
Quantum compute: President Trump signed two quantum EOs: one targets a U.S. quantum computer for major scientific calculations plus quantum sensors/networks within 5 years; the other directs federal agencies to move to post-quantum cryptography by 2031 (shares of INFQ, RGTI, IONQ, QBTS, QMCO, QUBT were generally higher).
In AI: MSFT completes construction on datacenter in Wisconsin; estimates to spend $4.7B from 2024-2028 in Wisconsin. BX plans to invest $30B in AI data Centers in Japan over the next 3 to 5 yrs.

Semiconductors:

A sharp sell off in semiconductors this afternoon after the SOX recently hit an all-time high, with a decline of around 8% this afternoon to 13,500 with broad pullbacks across the board.

In Memory, South Korean chip giants SK Hynix and Samsung tumbled more than 12% each to drag the Kospi index down 10%, having finished Monday at a record high. Meanwhile Wall Street awaits MU earnings later this week.
QCOM is in advanced talks to acquire Modular Inc. in a transaction valuing the artificial intelligence infrastructure software company at about $4B, according to Bloomberg News

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Market commentary provided by Hammerstone Markets, Inc, a firm separate from and not affiliated with Regal Securities. Regal Securities has not participated in the creation of the content, and does not explicitly or implicitly endorse the content.