Wall Street closed out September and the third quarter with another mixed session Wednesday.
The S&P 500 declined 0.25% to 7,651.54, while the Dow Jones Industrial Average fell 0.86%, or nearly 444 points, to 50,906.05. The technology-heavy Nasdaq Composite bucked the trend, gaining 0.24% to 26,861.06. [cnbc.com]
Investors also received encouraging inflation data. The August PCE price index increased 3.4% from a year earlier, down from 3.7% the prior month, while core PCE eased to 3.0% from 3.3%. Despite the softer inflation reading, longer-term Treasury yields remained elevated, with the 10-year yield ending near 5.30%. [cnbc.com]
Saying Goodbye to September
September finished modestly lower for the broad market. An S&P 500 proxy recorded a September total return of approximately-0.3%, while a broad U.S. stock-market proxy declined approximately 1.0% for the month. [chartrow.com], [chartrow.com]
September has earned a reputation among market observers for periodically challenging performance, but it is important not to present seasonality as a rule. Recent history itself illustrates the point: the same S&P 500 proxy declined in September 2020 through 2023, but rose in September 2024 and 2025 before slipping modestly in 2026. [chartrow.com]
💎 Diamond of the Day: Micron Technology (MU)
Micron Technology earns our Diamond designation following its fiscal fourth-quarter earnings release after Wednesday’s closing bell.
Micron Technology reported fiscal fourth-quarter revenue of $54.23 billion, compared with $11.32 billion in the same quarter one year earlier. Adjusted earnings were $33.42 per share, compared with an LSEG consensus estimate of $31.61, while revenue exceeded LSEG’s $51.07 billion consensus estimate. [cnbc.com], [investors.micron.com]
The company’s GAAP net income was $37.70 billion, and operating cash flow reached $43.97 billion. For the full fiscal year, Micron Technology reported revenue of $133.19 billion versus $37.38 billion the prior year. [investors.micron.com]
Why It Stood Out
- Fiscal Q4 revenue reached a reported $54.23 billion. [investors.micron.com]
- Adjusted EPS of $33.42 exceeded the $31.61 LSEG consensus cited by CNBC. [cnbc.com]
- Revenue also exceeded the $51.07 billion LSEG consensus estimate. [cnbc.com]
- The company reported substantial year-over-year increases in revenue and net income. [investors.micron.com]
- Shares rose only slightly in extended trading immediately following the report. [cnbc.com]
🐕 Dog of the Day: Dow Jones Industrial Average
The Dow Jones Industrial Average declined 0.86%, substantially underperforming both the S&P 500 and Nasdaq Composite on the final trading day of September. [cnbc.com]
Why It Lagged
- The Dow lost nearly 444 points Wednesday. [cnbc.com]
- The decline came even as the latest inflation reading was softer than economists had expected. [cnbc.com]
- Longer-term Treasury yields remained high, with the 10-year yield near 5.30% and the 30-year yield near 5.64% late Wednesday. [cnbc.com]
Important Disclosure
This communication is provided solely for informational and educational purposes and should not be considered a recommendation to buy, sell, or hold any security, index, sector, or investment strategy. The “Diamond” and “Dog” designations reflect notable market performance, financial results, or publicly reported developments during the period discussed and are not intended as investment advice or an assessment of future performance. References to historical monthly or seasonal market performance should not be interpreted as predictive of future results. Past performance does not guarantee future results. Investing involves risk, including possible loss of principal.