Weekly Market Commentary

US markets fell for the fourth consecutive week as the US-Israel-Iran conflict entered its 5th week.  President Trump’s announcement that he would extend the deadline to reopen the Strait of Hormuz by a couple of days sent markets soaring on Monday, but gains were met with selling after Iran dismissed Trump’s demand.  Later in the week, Trump extended his ultimatum by ten days to April 6th.  However, investors seemed to dismiss the extension, sending markets lower. The market will continue to be driven by headlines related to the war.  News that the US is sending more troops to the region, along with news that the Yemen-based Houthis have now entered the war, casts further uncertainty around the duration of the conflict.  Oil prices remained volatile and ended the week higher, with Brent crude closing at $112 a barrel on Friday.  Fears of higher inflation and slower global growth diminished the likelihood of a Fed rate cut and bolstered the chance of a Fed rate hike.  Weakness in mega-caps was prevalent with the Vanguard Mega-Cap Growth ETF falling 4.1% on the week.  Information Technology, Communication Services, and Software issues were also poor performers.  The Energy sector posted a 6.2% gain for the week, while Consumer Staples and Utilities finished the week higher.

The S&P 500 lost 2.1%, the Dow fell by 0.9%, the NASDAQ shed 3.2%, and the Russell 2000 posted a gain of 0.5%.  NASDAQ has now entered a technical correction, down 10.2% year-to-date.  US Treasuries fell for the 4th consecutive week, but the sell-off was relatively small when compared to the prior three weeks.  Treasury auctions in 2s, 3s, and 7s were weak and met with tepid demand.  The 2-year yield increased by three basis points to 3.92%, while the 10-year yield increased by five basis points to 4.44%.  West Texas Intermediate crude prices increased by 1.4% on the week to close at $99.51 a barrel.  Gold prices fell by 1.7% to $4,492.80 per ounce.  Silver prices increased by $0.44 to $69.80 per ounce.  Copper prices advanced by thirteen cents to $5.50 per Lb.  Bitcoin’s price fell by 5.06% to close the week at $66,888.  The US Dollar index increased by 0.7% to 100.15, as the Japanese Yen crossed 160 to the US Dollar.

Vanguard Mega-Cap Index 3/27/2026

The economic calendar was very quiet this week.  Initial Claims increased by 5k to 210k, while Continuing Claims fell by 32k to 1819k.  The final reading of the University of Michigan Consumer Sentiment index for March fell to 53.3 from the prior reading of 55.5, reflecting concerns about the war, inflation, and the labor market.

Investment advisory services offered through Foundations Investment Advisors, LLC (“FIA”), an SEC registered investment adviser. FIA’s Darren Leavitt authors this commentary which may include information and statistical data obtained from and/or prepared by third party sources that FIA deems reliable but in no way does FIA guarantee the accuracy or completeness.  All such third party information and statistical data contained herein is subject to change without notice.  Nothing herein constitutes legal, tax or investment advice or any recommendation that any security, portfolio of securities, or investment strategy is suitable for any specific person.  Personal investment advice can only be rendered after the engagement of FIA for services, execution of required documentation, including receipt of required disclosures.  All investments involve risk and past performance is no guarantee of future results. For registration information on FIA, please go to https://adviserinfo.sec.gov/ and search by our firm name or by our CRD #175083. Advisory services are only offered to clients or prospective clients where FIA and its representatives are properly licensed or exempted.

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Weekly Market Commentary

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