Market Update for Q2 2026

Here’s a market update as of early July 2026. I want to focus on three main things:

The jobs market.

Interest rates and inflation.

The stock market.

Jobs:

The U.S. economy continues to show resilience in the labor market. Through the first half of 2026, we’ve seen steady private-sector job gains averaging around 140,000–160,000 per month, with unemployment holding steady near 4.2%. The overall labor market remains solid and supportive of consumer spending.

Interest Rates and Inflation:

Interest rates have remained in the 4.25%–4.50% range as the Federal Reserve has taken a measured approach. Inflation has continued to moderate — we’re currently sitting at approximately 2.5% year-over-year as of June 2026. This cooling trend, especially in energy and goods prices, has been a positive development and gives the Fed more flexibility moving forward.

The Stock Market:

The markets have shown strong resilience in the first half of 2026. The S&P 500 and Nasdaq have posted solid gains year-to-date, driven by strength in technology, artificial intelligence, and select growth sectors. Global events, including ongoing tensions in the Middle East (particularly involving Iran), have created some volatility, but the U.S. markets have largely shrugged off these concerns and continued their upward trend, recently trading near all-time highs.

That’s the current picture as we head into the second half of the year. I’m always here if you have questions about any of this or want to review your specific portfolio.

As always, here are my three simple rules I like to remind everyone:

1. Be consistent in saving and investing (every time you get paid).

2. Buy low, sell high!

3. Keep a long-term perspective — play the long game.

Happy investing!

Johnny T