The Major Markets finished a volatile week mixed, as higher interest rates and renewed inflation concerns competed with continued strength in technology and AI-related stocks.

The Nasdaq gained 0.7%, while the S&P 500 slipped 0.1%. Meanwhile, the Dow fell 1.7%, and smaller companies struggled, with the Russell 2000 down 1.5%.

The big news last week was that the Federal Reserve raised interest rates by a quarter point to a range of 3.75% to 4%. This is the first hike since 2023. Fed Chair Kevin Warsh’s comments about persistent inflation pushed the 10-year Treasury yield back to 5%, putting additional pressure on rate-sensitive areas.

Technology provided an important offset. Semiconductor stocks rebounded sharply later in the week, while AI infrastructure, software, and mega-cap growth stocks remained areas of strength.

Meanwhile, Crude oil was also volatile, briefly moving above $105 before ending the week at $96 a barrel. Furthermore, the EIA reported that average Diesel prices crossed over $6 a gallon last week as inventories continue to be drawn down.

Diesel prices globally have risen dramatically due to the conflicts in the Middle East and Russia. The fuel crunch was further exacerbated last week when it was reported that Russia had to shut off a significant number of refineries following drone strikes by Ukraine.

Russia presently has an export ban in place on diesel. Now, some are calling for a similar diesel export ban in the United States as the shortage is expected to continue into 2027.

https://www.eia.gov/petroleum/gasdiesel/

https://www.reuters.com/business/energy/half-russias-top-diesel-producing-refineries-cut-back-output-after-drone-strikes-2026-09-15/

https://www.reuters.com/business/energy/russia-set-extend-diesel-export-ban-until-end-october-vedomosti-reports-2026-09-16/

https://www.reuters.com/business/energy/global-diesel-shortage-likely-last-into-2027-storage-tanks-drain-2026-09-21/