Major U.S. stock indexes ended the volatile week higher as cautious optimism around a possible U.S.-Iran agreement, declining oil prices, and continued broadening beyond large-cap tech stocks helped offset mixed inflation data and volatility in AI-related shares. Small-cap stocks led the advance, with the Russell 2000 Index rising 3.9%, while the Dow, S&P 500, and Nasdaq Composite all added over 0.6%. The Russell 1000 Value Index outpaced its growth counterpart for the second week in a row. Risk appetite improved late in the week, following reports of progress toward a U.S.-Iran agreement and President Trump’s cancellation of planned strikes.

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From trillion-dollar rockets to crypto selloffs, the era of eye-watering numbers is here and it's moving fast. Each week, the Syz investment team takes you through the last seven days in seven charts.

Global equity markets fell broadly in the week ending 5 June 2026, with the MSCI ACWI down 2.2% as three headwinds converged simultaneously: a stronger-than-expected US jobs report that pushed Fed rate hike pricing sharply higher, Broadcom's below-consensus AI chip guidance that rattled the semiconductor complex, and renewed Middle East tensions as ceasefire efforts in Lebanon faltered. Technology and consumer discretionary bore the brunt of the selloff, while energy and financials outperformed. In Europe, defence stocks reversed sharply on de-escalation signals. South Korea was the worst-performing major market, with MSCI Korea down 5.3%, while China proved a rare exception, edging modestly higher.

Major U.S. stock indexes finished the week lower. Declines were led by the technology-heavy Nasdaq Composite, which fell 4.68%, followed by the Russell 2000 and S&P 500 Indexes, the latter of which posted a weekly loss for the first time since March. The Dow Jones Industrial Average held up best, declining 0.32%. Early gains tied to artificial intelligence (AI) optimism faded later in the week as investors weighed oil price volatility tied to Middle East headlines, elevated earnings expectations for AI-linked companies, a growing pipeline of AI-related equity issuance, and a stronger-than-expected May payrolls report that helped push Treasury yields higher on Friday.

Yields drop on lower oil prices

Global equity markets delivered another broad-based advance in the week ending 29 May 2026, with the MSCI AC World rising 2.2% and the S&P 500 logging a ninth consecutive weekly gain. A wave of blowout AI-related earnings — spanning hardware, data platforms, and identity security — drove technology to a near-6% weekly gain, while hopes for a US-Iran ceasefire extension pushed oil prices lower and lifted risk appetite globally. The report examines the broadening of technology leadership into software, the divergence between AI beneficiaries and potential AI victims within the sector, and the tensions between exceptional earnings momentum and an elevated inflation backdrop that continues to constrain the Federal Reserve's path to easing

Meanwhile, the widening performance gap highlights AI’s outsized role in equity markets. Each week, the Syz investment team takes you through the last seven days in seven charts.

Major U.S. stock indexes rose during the holiday-shortened week, with several benchmarks closing at record highs, as investor sentiment was supported by rising hopes for a U.S.-Iran peace agreement, falling oil prices, and continued momentum in artificial intelligence-linked stocks. The Nasdaq Composite led among the major benchmarks, buoyed in part by AI optimism, while the Russell 2000 and the S&P 500 Indexes also posted solid gains. The Dow Jones Industrial Average lagged but still rose 0.9%. Early reports that the U.S. and Iran were moving toward a 60-day ceasefire extension and a reopening of traffic through the Strait of Hormuz helped push oil prices lower and supported risk appetite through much of the week.