Deutsche Bank’s Jim Reid highlights that the S&P 500 closed within half a percent of its record high, supported by a rebound in software and broader tech stocks as AI fears eased. Nvidia, the NASDAQ and the Magnificent 7 all advanced, while US IG and HY spreads tightened from year‑to‑date wides.
Deutsche Bank Research Team highlights a recurring market pattern in 2026 characterized by sharp sell-offs followed by rapid recoveries. Despite various causes for these sell-offs, they have not resulted in lasting damage, with the S&P 500 showing resilience.
US stock indices ended mixed on Tuesday as corporate earnings reports varied. The S&P 500 rose by 0.4%, driven by technology stocks, while the Dow Jones Industrial Average fell by 0.8%. The Treasury yield curve steepened as investors reacted to weak consumer confidence readings, HSBC notes.