Market View: Week of Sep. 11, 2026
ECONOMIC REVIEW¹
The Producer Price Index (PPI) rose 0.4% month-over-month (MoM) in August, in line with market expectations, bringing the year-over-year (YoY) increase to 5.4%.
Rising energy costs were the primary driver, accounting for roughly three-quarters of the monthly increase as geopolitical tensions in the Middle East intensified toward the end of the summer.
Core PPI, which excludes the more volatile food and energy categories, rose 0.2% MoM, slightly below expectations, bringing the year-ago comparison to 4.6%.
The Consumer Price Index (CPI) rose 0.3% MoM in August, slightly above expectations. On a year-over-year basis, CPI is up 3.4%, unchanged from the previous month's reading.
Similar to PPI, energy prices contributed meaningfully to the increase, rising 2.1% MoM.
Core CPI rose 0.3% MoM, above expectations, with shelter and transportation services increasing 0.3% and 0.5%, respectively.
The preliminary University of Michigan Consumer Sentiment Index fell to 47.8 from 51.0 for the September reading, suggesting consumers have become more cautious about the economic outlook. Concerns surrounding future business conditions and inflation increased as renewed hostilities involving Iran added to economic uncertainty.
Existing home sales fell 2.0% MoM to a 14-month low, seasonally adjusted annualized rate of 3.98 million units in August, in line with market expectations. With mortgage rates remaining elevated, the modest decline in home-buying activity is not surprising, as higher borrowing costs continue to weigh on housing demand.
How does the most recent economic data impact you?
This week’s inflation data showed that overall price increases remain firmly above the Federal Reserve’s 2% target, as the ongoing conflict in the Middle East continues to put upward pressure on energy prices. With labor remaining resilient and inflation elevated, the case for a rate hike at the upcoming meeting has strengthened as the Fed looks to bring inflation back toward its target.
Consumer sentiment has trended lower over the past two months as the conflict in the Middle East shows few signs of easing. Energy prices have surged, with oil climbing above $100 per barrel, adding pressure on consumers and contributing to inflation concerns. The combination of higher energy costs and greater uncertainty about future business conditions is weighing on consumers’ economic outlook.
A LOOK FORWARD¹
All eyes will be on the Federal Reserve this week, as investors await the central bank’s interest rate decision. We will also get an updated look at consumer health with the release of retail sales data.
How does this week’s slate of economic data impact you?
The Federal Reserve’s interest rate decision directly impacts borrowing costs across the economy. A potential rate hike would raise financing costs for businesses, which could weigh on investment and potentially slow some of the economic momentum and business activity we have seen so far this year.
MARKET UPDATE²
| Market Index Returns as of 9/11/26 | WTD | QTD | YTD | 1 YR | 3 YR | 5 YR |
|---|---|---|---|---|---|---|
| S&P 500 | -0.78% | 2.33% | 12.77% | 17.66% | 21.30% | 13.03% |
| NASDAQ | -0.64% | 0.57% | 13.78% | 19.65% | 24.95% | 12.57% |
| Dow Jones Industrial Average | -1.56% | 0.81% | 10.64% | 16.58% | 16.95% | 10.79% |
| Russell Mid-Cap | -1.74% | -0.41% | 14.82% | 15.20% | 16.80% | 8.00% |
| Russell 2000 (Small Cap) | -2.38% | -3.77% | 17.95% | 22.64% | 17.69% | 6.91% |
| MSCI EAFE (International) | -1.38% | 2.80% | 12.51% | 18.56% | 18.26% | 8.85% |
| MSCI Emerging Markets | -0.23% | 0.38% | 24.32% | 32.31% | 23.47% | 8.21% |
| Bloomberg U.S. Agg Bond | -1.04% | -2.04% | -1.43% | -0.59% | 3.98% | -0.50% |
| Bloomberg High Yield Corp. | -0.54% | 0.05% | 2.01% | 3.58% | 8.35% | 3.93% |
| Bloomberg Global Agg | -0.77% | -0.69% | -0.90% | -0.78% | 3.86% | -1.87% |
OBSERVATIONS
Major domestic indices sold off last week, with the Dow leading the decline despite negative AI-related headlines. The Dow Jones (-1.56%) led the sell off, followed by the S&P 500 (-0.78%), while the NASDAQ held up slightly better, declining -0.64%.
Down-cap equities were hit the hardest, as the Russell Mid-Cap declined -1.74% and the Russell 2000 fell -2.38%.
International equities faltered as well, with developed markets (MSCI EAFE) declining -1.38%, while emerging markets pulled back a more modest -0.23%.
Domestic fixed income markets mirrored the downward trend, with the Bloomberg U.S. Aggregate declining -1.04% and high yield bonds falling -0.54%. International bonds (Bloomberg Global Aggregate) declined 0.77% as interest rates moved higher across global markets throughout the week.
BY THE NUMBERS
Remembering 9/11, 25 Years Later:
The United States marked the 25th anniversary of the September 11 terrorist attacks with ceremonies honoring the nearly 3,000 people killed and the first responders who risked their lives. Commemorations were held at the World Trade Center, Pentagon, and Flight 93 National Memorial, where families gathered to remember those lost. In New York, relatives read victims’ names, while younger generations honored family members they never had the chance to meet. At the Flight 93 Memorial, visitors also reflected on the courage of the 40 passengers and crew members who fought back against the hijackers. Twenty-five years later, the anniversary served as both a remembrance of the lives lost and a reflection on the courage, sacrifice, and national unity that emerged in the aftermath of the attack.³
American Tennis Wait Continues at the U.S. Open:
Ben Shelton’s historic run at the U.S. Open came to an end in the final, falling to Germany’s Alexander Zverev in four sets, 6-3, 7-6, 5-7, 6-2. Shelton entered the match looking to become the first American man to win a Grand Slam since Andy Roddick captured the U.S. Open in 2003, after an impressive run that included victories over Carlos Alcaraz and Frances Tiafoe. Despite battling back to take the third set, Shelton was unable to overcome Zverev, who won 92% of his first-serve points through the opening two sets and captured his second Grand Slam title of 2026. While the loss extends the American men’s major drought to at least 24 years, Shelton’s first Grand Slam final marked another major step forward for the 23-year-old and strengthened his position among the top young players in men’s tennis.⁴
Disclosures
Disclosures The statements provided herein are based solely on the opinions of the Osaic Research Team and are being provided for general information purposes only. Neither the information nor any opinion expressed constitutes an offer or a solicitation to buy or sell any securities or other financial instruments. Any opinions provided herein should not be relied upon for investment decisions and may differ from those of other departments or divisions of Osaic Wealth, Inc. (“Osaic”) or its affiliates. Certain information may be based on information received from sources the Osaic Research Team considers reliable; however, the accuracy and completeness of such information cannot be guaranteed. Certain statements contained herein may constitute “projections,” “forecasts” and other “forward-looking statements” which do not reflect actual results and are based primarily upon applying retroactively a hypothetical set of assumptions to certain historical financial information. Any opinions, projections, forecasts and forward-looking statements presented herein reflect the judgment of the Osaic Research Team only as of the date of this document and are subject to change without notice. Osaic has no obligation to provide updates or changes to these opinions, projections, forecasts and forward-looking statements. Osaic is not soliciting or recommending any action based on any information in this document. Investing involves risk, including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss. In general, the bond market is volatile; bond prices rise when interest rates fall and vice versa. This effect is usually pronounced for longer-term securities. Any fixed-income security sold or redeemed prior to maturity may be subject to a substantial gain or loss. Vehicles that invest in lower-rated debt securities (commonly referred to as junk bonds or high-yield bonds) involve additional risks because of the lower credit quality of the securities in the portfolio. International investing involves special risks not present with U.S. investments due to factors such as increased volatility, currency fluctuation, and differences in auditing and other financial standards. These risks can be accentuated in emerging markets. Index performance does not reflect the deduction of any fees and expenses, and if deducted, performance would be reduced. Indexes are unmanaged and investors are not able to invest directly into any index. Past performance cannot guarantee future results. Securities and investment advisory services are offered through the firms: Osaic Wealth, Inc. and Osaic Institutions, Inc., broker-dealers, registered investment advisers, and members of FINRA and SIPC. Securities are offered through Osaic Services, Inc. and Ladenburg Thalmann & Co., broker-dealers and members of FINRA and SIPC. Advisory services are offered through Ladenburg Thalmann Asset Management, Inc., Osaic Advisory Services, LLC. and CW Advisors, LLC., registered investment advisers. Advisory programs offered by Osaic Wealth, Inc. are sponsored by VISION2020 Wealth Management Corp., an affiliated registered investment adviser.
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1 Data obtained from Bloomberg as of 9/11/26.
2 Data obtained from Morningstar as of 9/11/26.
3 A nation marks 25 years since 9/11. 'We will always remember you'
4 Ben Shelton falls in the US Open final—and an American wait goes on
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