Opening Comment — Friday, August 21, 2026
DJIA: 52,759.21, down 703.84
S&P 500: 7,641.16, down 66.82
NASDAQ: 26,067.17, down 263.92
Stocks higher ahead of PMI data
Stock futures are higher Friday morning ahead of today’s preliminary August Purchasing Managers’ Index (PMI) data. Markets are also awaiting further details on the U.S.’s planned tougher economic sanctions on Iran. As of 7:21 AM ET, the Dow and the S&P 500 Index are both rising 0.4%. The Nasdaq 100 is increasing 0.6% relative to fair value on the GLOBEX.
U.S. equities were lower on Thursday as markets digested the U.S. Treasury’s plans to increase buybacks for long-dated bonds. Initial jobless claims fell, while continuing claims for the prior week picked up. Meanwhile, the leading Index for July increased more than expected, rising 0.2%. The Dow was down 1.3%, while the tech-heavy Nasdaq Composite fell 1.0%. The S&P 500 decreased 0.9% with nine of 11 sectors finishing in negative territory. The Energy sector was the top performer, rising 0.4%, while the Consumer Staples sector was the bottom performer, falling 1.9%.
Technical Analysis
As of midday Thursday, the S&P 500 remains in an uptrend. Resistance is at the recent high of 7,799, while support is provided by the 50-day moving average at 7,534 and the 200-day moving average at 7,092.
On the data front, the preliminary reading of S&P Global’s manufacturing PMI for August is expected to remain unchanged at 53.9, while the services and composite PMIs are both forecasted at 54.0, compared to the prior month’s 54.6 and 54.5, respectively.
Across the pond, European stocks are higher in mid-day trading as preliminary August manufacturing PMIs for France, Germany, and the eurozone rose to 51.5, 54.1, and 52.8, respectively, while the U.K.’s reading eased to 51.5. The services PMIs for France and Germany fell to 48.4 and 48.5, respectively, while the eurozone’s measure remained steady at 51.7 and the U.K.’s reading rose to 52.8. Meanwhile, the U.K.’s retail sales for July decreased by 0.5% month-over-month and increased by 1.6% year-over-year (YOY). France’s manufacturing confidence improved in August.
Overnight in Asia, stocks were mostly higher as South Korea’s exports and imports through the first 20 days of August increased 56.0% and 19.0% YOY, respectively, compared to prior month’s increases of 52.3% and 20.0%, respectively. Meanwhile, Japan’s July headline Consumer Price Index came in as expected, increasing by 1.9% YOY. The country’s preliminary August manufacturing, services and composite PMIs increased to 55.1, 52.3, and 53.4, respectively. Australia’s preliminary August manufacturing PMI held steady at 52.0, while the country’s services PMI fell to 52.9.
In FOREX trading, the U.S. dollar is lower ahead of today’s U.S. PMI data.
Over in the commodity pits, West Texas Intermediate (WTI) crude oil is little changed at $86.82/barrel.
In the metals complex, gold is 1.6% higher at $4,590.15/ounce following a weakening U.S. dollar.