S&P 500 up 1.48% — Market Pulse · Aug 3, 2026

U.S. equities opened the week with a strong rebound. The S&P 500 climbed 110.78 points to 7,600.50, the Dow added 693.38 to 53,178.41, the Nasdaq Composite gained 540.05 to 25,913.90, and the Russell 2000 rose 50.57 to 2,981.91.

Key Takeaways

• S&P 500 closed up 1.48% at 7,600.50.
• Market breadth finished with 340 advancers, 163 decliners, and a 2.086 advance/decline ratio.
• Communication Services led sectors at +2.86%, while Energy lagged at -1.28%.
• VIX ended at 15.86 in the latest five-session lookback.
• SPY’s first resistance is 751.20 and first support is 740.04.

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Market Breadth: Broad rally resets the tone as volatility stays subdued

Metric	Jul 28	Jul 29	Jul 30	Jul 31	Aug 3
Advance/Decline Ratio	2.462	0.567	0.648	0.799	2.086
Advances	357	182	197	223	340
Declines	145	321	304	279	163
Advancing Volume	64.8%	28.2%	48.4%	52.6%	73.5%
Stocks Near 52-Week Highs	40	8	7	3	17
Stocks Near 52-Week Lows	0	4	0	1	0
% Above 20-Day MA	69.4%	63.2%	56.3%	53.7%	59.2%
% Above 50-Day MA	72.0%	66.2%	64.4%	62.4%	65.0%
% Above 200-Day MA	72.0%	70.0%	69.2%	68.0%	70.0%

The rally was backed by firmer internals. Advancers beat decliners 340 to 163, for an advance-decline ratio of 2.086, while advancing volume reached 73.49%. Participation also improved versus July 31, when the advance-decline ratio was 0.799 and advancing volume was 52.62%.

Explore the full dashboard: Market breadth.

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Market Performance: Major Indexes

Index	Close	Change	% Change
S&P 500	7,600.50	110.78	+1.48%
Dow Jones Industrial Average	53,178.41	693.38	+1.32%
Nasdaq Composite	25,913.90	540.05	+2.13%
Russell 2000	2,981.91	50.57	+1.73%

Five-session context:

Index	Jul 28	Jul 29	Jul 30	Jul 31	Aug 3
S&P 500	+0.21%	-1.52%	+1.66%	+0.70%	+1.48%
Dow Jones Industrial Average	+1.03%	-2.19%	+1.19%	+0.53%	+1.32%
Nasdaq Composite	-0.22%	-1.74%	+2.78%	+1.00%	+2.13%
Russell 2000	+0.20%	-1.61%	+1.37%	-0.50%	+1.73%

The Nasdaq Composite led with a 2.13% gain, followed by the Russell 2000 at 1.73%, the S&P 500 at 1.48%, and the Dow at 1.32%. Over the last five sessions, the tone was choppy, especially around July 29, but all four indexes finished the period above those pullback lows.

Explore the full dashboard: Market snapshot.

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Sector View: Leaders and Laggards

• Leaders: Communication Services (XLC +2.86%), Industrials (XLI +1.85%), Consumer Discretionary (XLY +1.83%), Technology (XLK +1.53%), Materials (XLB +1.15%)
• Laggards: Energy (XLE -1.28%), Consumer Staples (XLP -0.22%), Health Care (XLV -0.19%), Utilities (XLU +0.02%), Real Estate (XLRE +0.24%)

Leadership came from Communication Services, up 2.86%, along with Industrials at 1.85%, Consumer Discretionary at 1.83%, Technology at 1.53%, and Materials at 1.15%. Energy stood out on the downside, falling 1.28%, while Consumer Staples slipped 0.22% and Health Care dipped 0.19%. That mix points to a clear risk-on tilt, but not a perfectly even advance.

Explore the full dashboard: Sector performance.

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Volatility: VIX and ETF Implied Volatility

Metric	Jul 28	Jul 29	Jul 30	Jul 31	Aug 3
VIX Level	18.21	20.66	17.09	15.99	15.86

• SPY IV: 9.29% (Low)
• QQQ IV: 18.67% (Normal)
• IWM IV: 13.97% (Low)
• DIA IV: 12.30% (Low)

Volatility stayed contained. The VIX closed at 15.86 after falling from 20.66 on July 29 and from 15.99 on July 31. Options pricing also looked calm in several major ETFs, with SPY implied volatility at 9.29%, IWM at 13.97%, and DIA at 12.30%, all labeled Low, while QQQ sat at 18.67%, labeled Normal.

Explore the full dashboard: Volatility.

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Headlines Moving Markets

Recent macro and policy headlines helped frame the move. The Federal Reserve issued its FOMC statement on July 29. The BEA then reported second quarter 2026 GDP growth of 1.5%, down from 2.1% in the first quarter, while June personal income rose $54.9 billion, disposable personal income increased $48.3 billion, and personal consumption expenditures rose $65.2 billion. Reuters also cited optimism around Iran talks as a driver for the August 3 rally.

• Federal Reserve issues FOMC statement
• Wall Street rallies, Dow closes at record on Iran talks optimism - Reuters
• GDP (Advance Estimate), 2nd Quarter 2026
• Personal Income and Outlays, June 2026
• Personal Income and Outlays, May 2026
• Personal Income and Outlays, April 2026
• Personal Income and Outlays, January 2026
• Personal Income and Outlays, December 2025
• Analysis: Federal Reserve may be pulled into Bessent’s effort to support Japan’s yen
• Federal Reserve Board issues enforcement action with Iuka Bancshares, Inc. and The Iuka State Bank
• Federal Reserve Board issues enforcement actions with former employee of Regions Bank and former employee of First Interstate Bank
• How Iran is widening its pressure campaign to force US concessions - Reuters

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Technical Snapshot (SPY)

Level	Jul 28	Jul 29	Jul 30	Jul 31	Aug 3
20-day SMA	746.62	746.62	745.76	745.56	745.66
50-day SMA	744.05	743.94	743.79	743.89	744.19
200-day SMA	695.76	696.13	696.45	696.92	697.36

Near-term pivot structure, based on 2026-07-31:

• Resistance: 751.20 (R1), then 755.61 (R2)
• Pivot: 744.45
• Support: 740.04 (S1), then 733.29 (S2)

Trend measures still lean constructive. SPY’s 20-day, 50-day, and 200-day simple moving averages rose to 745.66, 744.19, and 697.36, respectively, from 745.56, 743.89, and 696.92 on July 31. Pivot levels from July 31 place SPY’s traditional pivot at 744.45, with resistance at 751.20 and 755.61, and support at 740.04 and 733.29. Breadth also showed 58.85% of stocks above their 20-day average, 63.82% above the 50-day, and 67.2% above the 200-day.

Explore the full dashboard: Support & Resistance levels.

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What to Watch Next

• Breadth follow-through after the jump to a 2.086 advance-decline ratio and 73.49% advancing volume.
• Whether Energy, down 1.28%, continues to lag while Communication Services and Technology keep leadership.
• VIX behavior near 15.86 after the sharp retreat from 20.66 on July 29.
• Institutional flow crosscurrents. Overall whale activity was bearish with a 0.82 buy-sell ratio, while Information Technology showed bullish sector sentiment and Financials and Industrials skewed bearish.
• SPY levels around the 20-day and 50-day averages, 745.66 and 744.19, plus resistance zones at 751.20 and 755.61.

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Bottom Line

The August 3 session was a clear improvement from the narrower finish seen on July 31. Prices rose across all four major indexes, breadth strengthened, and volatility stayed low. Even so, sector dispersion and bearish overall whale-flow data suggest it is still worth watching whether this stronger tape broadens out in the next few sessions.

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Market Pulse provides daily analysis of S&P 500 market breadth, sector rotation, and volatility signals to help investors understand what’s happening beneath the surface. Data sourced from our real-time market breadth collectors. For personalized planning, explore our retirement calculators, investment tools, and FIRE planning resources.

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