Quantmatix Report

Focus: US

Market Close: Thu, 08 January 2026

Daily Insights

At market close, US equities exhibited resilience amid mixed sector performances, with broader indices showing modest gains. 

The session featured notable rotation, with investors pulling back from high-valuation AI and tech stocks ( Nvidia - 2.2%, Broadcom -3.2%) amid scrutiny over sustained AI spending and valuations. 

Defense stocks rallied sharply after President Trump advocated for a $1.5 trillion military budget in 2027 (up significantly from prior levels), boosting names like Lockheed Martin (+4.3%), Northrop Grumman (+2.4%), and smaller players like Kratos Defense (+13.8%).

Small caps also performed well, with the Russell 2000 up  1.1%. Volatility remained low, with the VIX closing around 15.45 (up slightly). Treasury yields edged higher ahead of the upcoming December jobs report today.

Overall, markets stayed on track for weekly gains, with the Dow and S&P 500 showing resilience early in 2026 despite the tech pullback.

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Market Movements

US equity markets traded mixed in today's session, with major indices largely flat to slightly higher. The Dow Jones advanced modestly, while the S&P 500 and Russell 1000 showed minimal movement, and small caps outperformed via the Russell 2000. Volatility edged up slightly, reflecting some underlying caution. Sector performance highlighted strength in energy and materials, contrasted by weakness in information technology and health care on a daily basis. Week-to-date, consumer discretionary and health care sectors have led gains, indicating ongoing rotation.

Market Snapshot

Indices

1D WTD
Russell 2000 +1.1% +3.8%
Dow Jones +0.55% +1.8%
Russell 1000 +0.01% +1.0%
S&P 500 +0.01% +0.92%

Volatility

1D WTD
Cboe Volatility Index +0.46% +6.5%
Focus Index
Russell 1000

Top Gainers (1-Day)

1D WTD
Agilon Health In +15.7% +34.2%
Caesars Entertai +9.0% +6.4%
Apa Corp +8.5% +0.04%

Top Losers (1-Day)

1D WTD
Ciena Corp -13.1% -8.5%
Teleflex Inc -13.1% -10.1%
Acuity Brands -12.8% -13.7%

Top Sector Gainers (1-Day)

1D WTD
Energy +2.6% +1.6%
Consumer Discretionary +2.3% +4.6%
Materials +2.3% +3.7%

* equal-weighted

Top Sector Losers (1-Day)

1D WTD
Information Technology -1.2% +1.9%
Health Care -0.52% +4.1%

* equal-weighted

Mag 7

  • AMAZON.COM INC (AMZN:XNGS) rose 2.0% over the last trading day and 8.7% week-to-date.
  • ALPHABET INC-C (GOOG:XNGS) rose 1.1% over the last trading day and 3.4% week-to-date.
  • TESLA INC (TSLA:XNGS) rose 1.0% over the last trading day and fell 0.5% week-to-date.
  • META PLATFORMS-A (META:XNGS) fell 0.4% over the last trading day and fell 0.7% week-to-date.
  • APPLE INC (AAPL:XNGS) fell 0.5% over the last trading day and fell 4.4% week-to-date.
  • MICROSOFT CORP (MSFT:XNGS) fell 1.1% over the last trading day and rose 1.1% week-to-date.
  • NVIDIA CORP (NVDA:XNGS) fell 2.2% over the last trading day and fell 2.0% week-to-date.

Mag 7 stocks showed mixed performance, with e-commerce and search leaders advancing while semiconductor and software names declined.

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Disclaimer: These insights are generated using AI and are provided for informational purposes only. They do not constitute financial advice or a recommendation to buy or sell any security. The content may be incomplete or contain errors and should not be relied upon for investment decisions. Always consult a qualified financial adviser before making financial choices.