Stocks Retreat as Fed Inflation Warnings Weigh; Dollar Strengthens
MarketsFN Team
Fed's Warsh Sparks Market Caution as S&P 500 Dips, Dollar Rallies
U.S. equities closed lower Friday after former Fed Governor Kevin Warsh reignited inflation concerns, sending the S&P 500 down 0.25% to 7,711.76 despite a positive weekly performance. The dollar surged against major peers as safe-haven flows intensified, while precious metals suffered their worst drop in months.
🇺🇸 US Session Overview
Wall Street's risk-off tone was most pronounced in tech, with the Nasdaq 100 sliding 0.70% to 29,433.43 as megacaps struggled. The Dow Jones showed relative resilience, dipping just 0.02% to 53,559.99, while small caps bore the brunt with the Russell 2000 tumbling 1.39%. Sector rotation favored defensives after Warsh's remarks suggested the Fed may need to maintain restrictive policy longer than anticipated.
📅 Economic Calendar Highlights
The shock came from the Chicago PMI, which plunged to 47.1 in August versus expectations of 57.9, signaling unexpected contraction in Midwest manufacturing. Consumer sentiment data provided modest relief, with the University of Michigan index edging up to 51.7 from 51.0 forecast. Overseas, Sweden's Q2 GDP surprised at 1.6% QoQ growth, while France stagnated at 0.0%.
💱 FX & Commodities
The dollar index rallied as the EUR/USD sank 0.58% to 1.1587 and USD/JPY climbed 0.53% to 160.1. Commodities faced a bloodbath with gold crashing 2.14% to $4,510.90/oz and silver plummeting 3.35%. Oil showed resilience with WTI barely changed at $83.41, though Brent fell 1.71%. Cryptocurrencies mirrored the risk-off mood, with Bitcoin down 3.56%.
Markets now look toward Asia's open, with focus on whether China's stimulus measures can offset global risk aversion. Traders will scrutinize Sunday's OPEC+ meeting and Monday's Eurozone CPI data for fresh directional cues.
🇺🇸 US Indices — Session Close
| Index | Price | Change | Change % |
|---|---|---|---|
| S&P 500 | 7,711.76 | ▼ -19.23 | ▼ -0.25% |
| Nasdaq 100 | 29,433.43 | ▼ -208.13 | ▼ -0.70% |
| Dow Jones | 53,559.99 | ▼ -9.45 | ▼ -0.02% |
| Russell 2000 | 2,972.37 | ▼ -41.97 | ▼ -1.39% |
💱 FX Majors
| Pair | Rate | Change % |
|---|---|---|
| EUR/USD | 1.1587 | ▼ -0.58% |
| GBP/USD | 1.3537 | ▼ -0.44% |
| USD/JPY | 160.1 | ▲ +0.53% |
| AUD/USD | 0.7164 | ▼ -0.24% |
| USD/CHF | 0.8094 | ▲ +0.54% |
🛢️ Commodities & Crypto
| Asset | Price (USD) | Change % |
|---|---|---|
| Gold (XAU/USD) | 4,510.90 | ▼ -2.14% |
| Silver (XAG/USD) | 67.10 | ▼ -3.35% |
| Crude Oil (WTI) | 83.41 | ▼ -0.14% |
| Brent Oil | 88.17 | ▼ -1.71% |
| Natural Gas | 2.87 | ▼ -1.14% |
| Bitcoin | 77,396.97 | ▼ -3.56% |
| Ethereum | 2,430.60 | ▼ -3.18% |
📋 Today's Earnings
| Ticker | Company | Timing | Market Cap |
|---|---|---|---|
| AATHE | Alterity Therapeutics Ltd ADR | BMO | 82130000.0 |
| BBWLP | BW LPG Limited | BMO | 3630000000.0 |
| CCHA | Chagee Holdings Ltd ADR | BMO | 1360000000.0 |
| DDUO | Fangdd Network Group Ltd | BMO | 37020000.0 |
| FFRO | Frontline Plc | BMO | 9840000000.0 |
| HHAFN | Hafnia Ltd | BMO | 4110000000.0000005 |
| IIBIO | iBio Inc | BMO | 67560000.0 |
| JJFIN | Jiayin Group Inc ADR | BMO | 53190000.0 |
| MMNSO | MINISO Group Holding Ltd ADR | BMO | 3090000000.0 |
| NNA | Nano Labs Ltd | BMO | 51530000.0 |
| RRADX | Radiopharm Theranostics Ltd ADR | AMC | 34850000.0 |
📅 Economic Calendar
All times in UTC — Actual highlighted where available
| Time | Currency | Event | Imp. | Actual | Forecast | Previous |
|---|---|---|---|---|---|---|
| 13:45 | USD | Chicago PMI (Aug) | 🔴🔴🔴 | 47.1 | 57.9 | 57.6 |
| 06:00 | SEK | GDP (QoQ) (Q2) | 🟡🟡 | 1.6% | 1.4% | -0.2% |
| 06:00 | SEK | GDP (YoY) (Q2) | 🟡🟡 | 3.3% | 2.8% | 2.0% |
| 06:45 | EUR | French Consumer Spending (MoM) (Jul) | 🟡🟡 | 0.5% | 0.1% | 0.6% |
| 06:45 | EUR | French CPI (MoM) (Aug) | 🟡🟡 | 0.7% | 0.7% | 0.6% |
| 06:45 | EUR | French GDP (QoQ) (Q2) | 🟡🟡 | 0.0% | 0.2% | -0.2% |
| 06:45 | EUR | French GDP (YoY) (Q2) | 🟡🟡 | 0.5% | 0.7% | 0.9% |
| 06:45 | EUR | French HICP (MoM) (Aug) | 🟡🟡 | 0.8% | 0.6% | |
| 07:00 | CHF | KOF Leading Indicators (Aug) | 🟡🟡 | 106.7 | 103.0 | 104.2 |
| 07:00 | EUR | Spanish CPI (YoY) (Aug) | 🟡🟡 | 4.3% | 4.2% | 3.6% |
| 07:00 | EUR | Spanish HICP (YoY) (Aug) | 🟡🟡 | 4.5% | 4.6% | 3.9% |
| 07:55 | EUR | German Unemployment Change (Aug) | 🟡🟡 | 4K | 4K | 6K |
| 07:55 | EUR | German Unemployment Rate (Aug) | 🟡🟡 | 6.4% | 6.4% | 6.4% |
| 09:30 | EUR | Italian 10-Year BTP Auction | 🟡🟡 | 4.10% | 4.00% | |
| 12:30 | CAD | GDP (MoM) (Jun) | 🟡🟡 | 0.3% | 0.2% | 0.3% |
| 12:30 | CAD | GDP (QoQ) (Q2) | 🟡🟡 | 0.8% | 0.1% | |
| 12:30 | CAD | GDP Annualized (QoQ) (Q2) | 🟡🟡 | 3.3% | 3.4% | 0.3% |
| 12:31 | CAD | GDP (MoM) (Jul) | 🟡🟡 | 0.0% | 0.3% | |
| 14:00 | USD | Michigan 1-Year Inflation Expectations (Aug) | 🟡🟡 | 4.0% | 4.3% | 4.2% |
| 14:00 | USD | Michigan 5-Year Inflation Expectations (Aug) | 🟡🟡 | 3.3% | 3.3% | 3.3% |
| 14:00 | USD | Michigan Consumer Expectations (Aug) | 🟡🟡 | 51.5 | 50.6 | 55.4 |
| 14:00 | USD | Michigan Consumer Sentiment (Aug) | 🟡🟡 | 51.7 | 51.0 | 55.2 |
| 14:00 | USD | Payrolls Benchmark, n.s.a. | 🟡🟡 | -79.00K | -862.00K | |
| 14:30 | CAD | GDP (YoY) (Q2) | 🟡🟡 | 1.13% | 0.06% | |
| 17:00 | USD | U.S. Baker Hughes Oil Rig Count | 🟡🟡 | 447 | 454 | 452 |
| 17:00 | USD | U.S. Baker Hughes Total Rig Count | 🟡🟡 | 588 | 588 | |
| 19:30 | GBP | CFTC GBP speculative net positions | 🟡🟡 | -44.5K | -54.6K | |
| 19:30 | USD | CFTC Crude Oil speculative net positions | 🟡🟡 | 123.4K | 122.1K | |
| 19:30 | USD | CFTC Gold speculative net positions | 🟡🟡 | 243.3K | 222.2K | |
| 19:30 | USD | CFTC Nasdaq 100 speculative net positions | 🟡🟡 | 10.0K | -10.4K | |
| 19:30 | USD | CFTC S&P 500 speculative net positions | 🟡🟡 | -68.0K | -10.6K | |
| 19:30 | AUD | CFTC AUD speculative net positions | 🟡🟡 | -44.5K | -44.2K | |
| 19:30 | BRL | CFTC BRL speculative net positions | 🟡🟡 | 67.9K | 68.7K | |
| 19:30 | JPY | CFTC JPY speculative net positions | 🟡🟡 | -63.3K | -52.9K | |
| 19:30 | EUR | CFTC EUR speculative net positions | 🟡🟡 | -36.4K | -59.1K | |
| 14:00 | USD | Fed Governor Warsh Speaks | 🔴🔴🔴 | — | ||
| 12:00 | USD | Jackson Hole Symposium | 🟡🟡 | — | ||
| 14:30 | GBP | BoE MPC Member Mann Speaks | 🟡🟡 | — | ||
| 15:55 | EUR | ECB's Schnabel Speaks | 🟡🟡 | — |
Report published: August 28, 2026 — 22:21 CET
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