Opening Comment — Wednesday, May 20, 2026
DJIA: 49,363.88, down 322.24
S&P 500: 7,353.61, down 49.44
NASDAQ: 25,870.71, down 220.02
Stocks higher before FOMC minutes
Stock futures are higher Wednesday morning as investors await the release of the Federal Reserve’s (Fed’s) minutes from the April 29 Federal Open Market Committee (FOMC) meeting. Investors are also looking forward to a major technology company’s earnings report after markets close today. As of 7:15 AM ET, the Dow is rising 0.2%, while the S&P 500 is up 0.3%. The Nasdaq 100 is increasing 0.6% relative to fair value on the GLOBEX.
U.S. equities were lower on Tuesday following inflation concerns as negotiations to end the Iran war continue. Meanwhile, pending home sales for April registered stronger- than-expected growth of 1.4% month-over-month (MOM) and 3.3% year-over-year (YOY). The Dow was down 0.7%, while the tech-heavy Nasdaq Composite fell 0.8%. The S&P 500 decreased 0.7% with six of 11 sectors finishing in negative territory. The Health Care sector was the top performer, rising 1.1%, while the Materials sector was the bottom performer, falling 2.3%.
On the data front, the Mortgage Banker Association’s gauge of mortgage applications decreased 2.3% for the week ending May 15 versus the prior week’s increase of 1.7%. The Department of Energy’s measure of crude oil inventories is expected to show a decline of 2.50 million barrels for the week ending May 15 versus the prior week’s decline of 4.31 million barrels.
Across the pond, European stocks are higher in mid-day trading as the U.K.’s Consumer Price Index came in softer-than-expected in April, with headline inflation rising 0.7% MOM and 2.8% YOY, alongside a 2.5% YOY increase in core inflation. The British House Price Index for March showed little change YOY, while the Retail Price Index rose less than forecasted in April. Germany’s Producer Price Index recorded a smaller-than-expected increase of 1.2% MOM in April, while the 1.7% YOY gain exceeded expectations.
Overnight in Asia, stocks were mostly lower as China’s one- and five-year loan prime rates were left unchanged in May at 3.00% and 3.50%, respectively.
Forex trading, the U.S. dollar is little changed ahead of today’s release of FOMC meeting minutes.
Over in the commodity pits, West Texas Intermediate (WTI) crude oil is 2.8% lower at $101.24/barrel as markets evaluate efforts to end the Iran war.
In the metals complex, gold is 0.2% higher at $4,493.37/ounce.