Wednesday, August 12, 2026

Wall Street closed mostly higher on Wednesday after an in-line July CPI report (up 0.1% monthly, 3.4% YoY; Core up 0.2%, 2.5% YoY) cooled Federal Reserve rate hike fears. The tame inflation print sent the VIX dropping 4.78% to 14.55, allowing risk assets to rally. The Nasdaq Composite led the pack with a 0.54% gain to 26,588.488, while the Russell 2000 advanced 0.61% to 3,045.483, and the S&P 500 added 0.26% to 7,748.5. The Dow Jones Industrial Average was the lone holdout, slipping a fractional 0.04% to 53,770.27.

Sectors in focus:

• Hardware and Machinery: The Electrical Industrial Apparatus (+6.30%) and Computer Storage Devices (+4.03%) industries surged on tech optimism. Super Micro Computer skyrocketed 14.2% after reporting Q4 EPS 84% above estimates with strong forward guidance. Meanwhile, CoreWeave jumped 18.6% on narrowing losses and a massive $104B order backlog.
• Aviation and Transport: The Aircraft (-3.62%) and Air Transportation, Scheduled (-1.76%) groups lagged today. Lockheed Martin dragged defense aerospace by cutting its outlook, while Delta Air Lines weighed on carriers by seeking damages over recent IT outages.
• Commodities: Gold climbed 0.60% to 4,467.9, buoyed by the tame CPI print lowering Treasury yields alongside continued central bank buying led by China. Conversely, WTI Crude dropped 0.72% to 82.6 as OPEC and the IEA lowered 2026 demand forecasts, overshadowing ongoing geopolitical risks in the Gulf of Oman.

On the radar: Investors are preparing for more critical macro data and corporate earnings to close out the week:

• August 13: July Producer Price Index (PPI), plus earnings from Cisco (CSCO) and Cerebras.
• August 14: July Retail Sales report and June Business Inventories.
• August 17: Empire State Manufacturing Index and the NAHB Housing Market Index.