S&P 500 down 0.33% — Market Pulse · Aug 31, 2026

U.S. stocks closed lower on August 31, with the S&P 500 at 7,686.14, down 25.62 points, or 0.33%. The Dow Jones Industrial Average fell 374.09 points, or 0.7%, to 53,185.9. The Nasdaq Composite slipped 31.53 points, or 0.12%, to 26,370.89, and the Russell 2000 lost 15.92 points, or 0.54%, to 2,956.45.

Key Takeaways

• S&P 500 closed down 0.33% at 7,686.14.
• Market breadth finished with 136 advancers, 362 decliners, and a 0.376 advance/decline ratio.
• Energy led sectors at +2.04%, while Communication Services lagged at -1.35%.
• VIX ended at 14.92 in the latest five-session lookback.
• SPY’s first resistance is 773.61 and first support is 766.63.

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Market Breadth: Stocks eased as weak breadth offset low volatility and strength in Energy

Metric	Aug 25	Aug 26	Aug 27	Aug 28	Aug 31
Advance/Decline Ratio	0.704	1.298	0.436	0.846	0.376
Advances	207	283	152	230	136
Declines	294	218	349	272	362
Advancing Volume	56.5%	44.5%	44.5%	44.2%	37.4%
Stocks Near 52-Week Highs	24	12	7	7	5
Stocks Near 52-Week Lows	3	3	8	3	8
% Above 20-Day MA	51.5%	53.9%	44.9%	43.3%	39.8%
% Above 50-Day MA	58.9%	59.1%	53.9%	53.5%	50.3%
% Above 200-Day MA	72.0%	72.4%	70.4%	71.2%	68.0%

The index losses looked modest, but underlying participation was weaker. Decliners beat advancers 362 to 136, for an advance-decline ratio of 0.376, and advancing volume was 37.4%. Only 39.76% of stocks finished above their 20-day moving averages, down from 43.34% on August 28 and 53.88% on August 26. Roughly half, 50.3%, held above their 50-day moving averages, while 67.99% remained above their 200-day lines.

Explore the full dashboard: Market breadth.

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Market Performance: Major Indexes

Index	Close	Change	% Change
S&P 500	7,686.14	-25.62	-0.33%
Dow Jones Industrial Average	53,185.90	-374.09	-0.70%
Nasdaq Composite	26,370.89	-31.53	-0.12%
Russell 2000	2,956.45	-15.92	-0.54%

Five-session context:

Index	Aug 25	Aug 26	Aug 27	Aug 28	Aug 31
S&P 500	+0.32%	-0.02%	+0.72%	-0.25%	-0.33%
Dow Jones Industrial Average	+0.30%	-0.21%	+0.20%	-0.02%	-0.70%
Nasdaq Composite	+0.66%	-0.08%	+1.57%	-0.52%	-0.12%
Russell 2000	+0.50%	-0.14%	+0.28%	-1.39%	-0.54%

Large-cap benchmarks held up better than small caps. The Nasdaq Composite fell just 0.12%, while the Russell 2000 dropped 0.54% and the Dow fell 0.7%. Over the last five sessions, the S&P 500 rose from 7,677.28 to 7,686.14, the Nasdaq moved from 26,151.3 to 26,370.89, the Dow slipped from 53,577.4 to 53,185.9, and the Russell 2000 fell from 3,010.02 to 2,956.45.

Explore the full dashboard: Market snapshot.

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Sector View: Leaders and Laggards

• Leaders: Energy (XLE +2.04%), Technology (XLK +0.44%), Health Care (XLV -0.36%), Consumer Discretionary (XLY -0.53%), Consumer Staples (XLP -0.55%)
• Laggards: Communication Services (XLC -1.35%), Utilities (XLU -1.17%), Industrials (XLI -1.13%), Materials (XLB -0.92%), Real Estate (XLRE -0.83%)

Leadership was narrow. Energy led with XLE up 2.04%, and Technology added 0.44% with XLK at 186.5. On the downside, Communication Services fell 1.35%, Utilities lost 1.17%, and Industrials dropped 1.13%. Health Care was relatively steady at -0.36%, while Consumer Discretionary and Consumer Staples each fell a little more than 0.5%.

Explore the full dashboard: Sector performance.

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Volatility: VIX and ETF Implied Volatility

Metric	Aug 25	Aug 26	Aug 27	Aug 28	Aug 31
VIX Level	15.45	15.21	14.51	14.43	14.92

• SPY IV: 9.58% (Low)
• QQQ IV: 13.80% (Low)
• IWM IV: 14.00% (Low)
• DIA IV: 10.85% (Low)

Volatility stayed contained even as breadth softened. The VIX closed at 14.92, up from 14.43 on August 28, but still below 15.45 from August 25. Implied volatility also remained low across major ETFs, with SPY at 9.58%, QQQ at 13.80%, IWM at 14.00%, and DIA at 10.85%.

Explore the full dashboard: Volatility.

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Headlines Moving Markets

News flow pointed to higher oil and rates as key crosscurrents. CNBC reported mortgage rates surged to the highest since June 2025 as new Middle East attacks pushed oil prices up. Reuters also highlighted rising yields, softer stocks, and oil gains as the U.S. and Iran resumed military attacks. Bloomberg reported that Fed Chair Kevin Warsh said inflation is not slowing and that a September rate hike remains possible.

• Mortgage rates surge to the highest since June 2025 as new Middle East attacks push oil prices up
• Trump was sending message to Iran with Kharg Island post, says Vance - Reuters
• Jim Cramer’s top 10 things to watch in the stock market Monday
• Yields rise, stocks ease, with oil gaining as US and Iran resume military attacks - Reuters
• Waiting for homebuying to get more affordable? Here’s what to expect in 2027
• Why Nvidia and CrowdStrike are up in an otherwise down stock market
• Trump reportedly plans to announce new drug pricing deals with nearly a dozen drugmakers
• Lilly taps obesity windfall for more M&A. Plus, Elon Musk remarks pull GE Vernova lower
• We’re trimming one of our top-performing tech stocks to lock in some gains
• Missile attack kills two, injures 16 in Russia’s Belgorod, authorities say - Reuters
• Risk-reward outlook for stocks is getting worse as historically tough month kicks off, says Citadel
• Fed Chair Kevin Warsh says inflation isn’t slowing, vows to reach 2% target

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Technical Snapshot (SPY)

Level	Aug 25	Aug 26	Aug 27	Aug 28	Aug 31
20-day SMA	763.51	764.76	766.58	768.06	769.18
50-day SMA	752.07	752.59	752.86	753.31	753.91
200-day SMA	705.41	705.88	706.38	706.91	707.38

Near-term pivot structure, based on 2026-08-28:

• Resistance: 773.61 (R1), then 777.94 (R2)
• Pivot: 770.96
• Support: 766.63 (S1), then 763.98 (S2)

For SPY, the pivot point sits at 770.96. Resistance levels are 773.61 and 777.94, while support is at 766.63 and 763.98. The 20-day simple moving average is 769.18, just above current trade, with the 50-day at 753.91 and the 200-day at 707.38. Those longer averages are still rising over the five-session lookback.

Explore the full dashboard: Support & Resistance levels.

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What to Watch Next

• Breadth recovery, especially whether the share of stocks above the 20-day average can rebound from 39.76%.
• SPY around 766.63 support and the 769.18 20-day moving average.
• Energy leadership after XLE rose 2.04% while most sectors fell.
• Whether the VIX holds near 14.92 or starts moving back toward last week’s 15.45.
• Rate and oil sensitivity tied to reports of higher mortgage rates, higher yields, and renewed U.S.-Iran attacks.

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Bottom Line

August 31 was a mild down day on the surface, but internal data showed more strain than the index moves alone suggest. Low volatility and firm long-term trend readings offer some cushion, yet weak breadth and narrow sector leadership are worth watching closely.

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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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