August 20th 4PM ET Market Update on TFNN - 2026

The market closed with significant losses as the S&P 500 finished down 63 points, or roughly 8%, while the NASDAQ 100 dropped by nearly 7% to settle around 29,314. The Dow Jones Industrial Average also suffered a decline of 1.3%, losing 672 points to end at 52,858, and the Russell index mirrored this negative trend with a similar percentage drop near the 3,000 level. A primary driver of this downturn was Walmart, whose poor performance spooked investors; the retail giant fell 9.1% after reporting tough comp store sales, contributing to the broader market's red finish just before the closing bell at 3:59 p.m. In the realm of fixed income and commodities, yields continued to rise despite some volatility, with the 10-year Treasury yield giving up all previous gains from the prior day to reach 4.7%, while the 30-year yield climbed back above 5.2%. Conversely, gold performed exceptionally well, continuing its upward run as it reacted positively to comments from the Treasury Secretary regarding increased debt buybacks and a potential fiscal plan that suggests budget deficits may have peaked. This sentiment pushed gold up another 8% and lifted the GDX gold miners ETF, which surged by 2.6% to finish near 99.85 after hitting an intraday high of 100.33, marking a massive 37% gain since early August compared to gold's more modest 12% increase over the same period. Silver also saw gains today, rising by 4%, though it did not match the explosive momentum seen in equities and gold miners. The dollar managed to bounce slightly to 98.887 as investors digested the market moves from the previous day. While the equity markets led the way with substantial declines, particularly driven by retail weakness at Walmart, the precious metals sector provided a stark contrast, with gold benefiting from expectations of larger debt buyback potential and a shifting fiscal landscape. Overall, the session ended on a cautious note for stocks but remained bullish for alternative assets like gold and silver. The disconnect between the struggling equity market, highlighted by Walmart's disappointing sales figures, and the soaring prices of gold underscores growing investor interest in safe-haven assets amid concerns over debt management and fiscal policy. As the trading day concluded, the focus remains on how these divergent trends will play out in the morning session, with analysts expecting continued volatility until further details on Treasury buybacks and fiscal plans become clearer.