The S&P 500 closed the week at 7,811.54, gaining 1.15% to finish just below its 52-week high of 7,844.52, while the Russell 2000 fell 0.91% to 2,806.98. This divergence highlights a widening gap between large-cap leadership and small-cap performance in the current market environment.
According to Stock Preachers, the Dow Jones Industrial Average rose 0.93% to 51,654.95, trading between a weekly low of 50,862.85 and a high of 51,765.11. The index is now testing near-term resistance at the early June 2026 high of 51,660.40. The Nasdaq Composite added 0.64% to 27,366.17, with its weekly high of 27,722.75 also marking a 52-week record. Support for the Nasdaq is identified at 27,288.79.
The underperformance of smaller companies is evident in technical indicators reported by Stock Preachers. The Russell 2000 has a Relative Strength Index (RSI) of 38.2, significantly lower than the S&P 500's RSI of 59.9 and the Nasdaq's RSI of 60.3. The small-cap index is also trading below its 10-day simple moving average of 2,813.40 and a mid-September low of 2,832.37, both of which now act as overhead resistance.
Market volatility remained subdued during the week. The VIX index stood at 15.47, while the VXN eased by 0.65 points to 20.55. In commodities, gold rose 1.02% for the week to $4,199.30 per ounce, and WTI crude oil jumped 3.90% to $92.92 per barrel. The 10-year Treasury yield declined by 4 basis points to 5.24%.
Corporate activity continued across various sectors this week. Alimentation Couche-Tard Inc. entered a definitive agreement with Irving Oil to acquire retail assets in Quebec and Ontario, including 50 existing sites and fuel supply contracts for 71 locations in Quebec. The deal also covers 18 cardlock sites and remains subject to regulatory approvals under the Competition Act.
In defense contracting, RTX secured a five-year contract worth up to $6.3 billion for the production of Standard Missile-3 Block IB interceptors for the Department of War. Production will be based in Tucson, Arizona, and Huntsville, Alabama. Lockheed Martin also debuted its new PAC-3 Edge interceptor as part of the U.S. Army's Future Interceptor program, with testing planned for 2027 and deployment targeted for 2031.
SAP SE agreed to acquire TechWolf, an AI work intelligence platform provider, with the deal expected to close in the fourth quarter of 2026 subject to regulatory approval. Meanwhile, Sun Life Financial Inc. announced that Ocehan LLC has launched an unsolicited mini-tender offer for up to 100,000 common shares at a price significantly below recent market levels.