US Stock Market Daily — May 15, 2026
U.S. stock markets suffered their worst day in months on May 15, 2026, as the S&P 500 shed 1.24%, the Nasdaq fell 1.54%, and the Dow Jones lost 537 points (-1.07%). The selloff was driven by a surge in oil prices—Brent crude topped $109/barrel amid escalating Middle East tensions—reigniting inflation fears just as the Federal Reserve navigates a leadership transition.
Market Close: May 15, 2026
| Index | Close | Change |
|---|---|---|
| S&P 500 | 7,408.50 | -1.24% |
| Nasdaq Composite | 26,225.14 | -1.54% |
| Dow Jones | 49,526.17 | -537 pts (-1.07%) |
Top Developments
Oil Prices Surge on Middle East Tensions
WTI crude jumped 4.2% to $105.42/barrel and Brent crude rose 3.35% to $109.26. Markets now price a Fed rate hike as the more likely next move, with December 2026 hike probability at ~51%.
Treasury Yields Spike to Multi-Year Highs
The 10-year Treasury yield jumped to 4.595% (highest since February 2025) and the 30-year yield closed at 5.127%—the highest since July 2007.
Kevin Warsh Confirmed as Fed Chair
Senate confirmed Kevin Warsh as Fed Chair (54-45, mostly party-line). Warsh has signaled ambitions to reduce forward guidance, shrink the balance sheet, and narrow the Fed's scope of activities.
China Summit: Boeing Jet Order Underwhelms
Trump and Xi met with major U.S. tech CEOs (Nvidia, Tesla, Qualcomm, Micron, Apple, Boeing). China agreed to purchase 200 Boeing jets—only 50 more than anticipated, disappointing investors.
Bill Ackman's Microsoft Position; Applied Materials Beats
Pershing Square's Bill Ackman disclosed a new position in Microsoft. Applied Materials reported Q2 EPS of $2.86 (vs $2.66 est.) on $7.91B revenue (vs $7.65B est.).
Sector Performance
| Sector | May 15 | Notes |
|---|---|---|
| Energy | +1.6% | Only gaining sector; oil surge beneficiary |
| Semiconductors (SOX) | -4%+ | Micron -6.6%, AMD -5.7%, Nvidia -4.4% |
| Russell 2000 | -2%+ | Worst day since November |
| Retail | -6%+ this week | 4th straight weekly decline |
Week in Review
Despite Friday's selloff, the S&P 500 gained +1.38% WTD (7th consecutive positive week) and the Dow gained +0.92% WTD (6th positive week in 7). Markets hit record highs on May 13-14 before reversing on oil/inflation fears.
Looking Ahead
The Fed's mid-June meeting will be closely watched. With oil prices elevated and inflation expectations rising, the bond market is pricing growing odds of a rate hike. The Strait of Hormuz situation and Iran diplomacy remain key geopolitical flashpoints.
Sources: CNBC · Investopedia · WSJ · Sina Finance