| 📊 Alain’s Holdings — August 11, 2026 | ||||
|---|---|---|---|---|
| Symbol | Name | Price | Change | Change % |
| VOO | Vanguard S&P 500 ETF | 708.42 | -2.23 | -0.31% |
| QQQ | Invesco QQQ Trust | 718.45 | -2.42 | -0.34% |
| XIU.TO | iShares S&P/TSX 60 ETF | 54.28 | +0.01 | +0.02% |
Wall Street finished lower for a second consecutive session Tuesday as investors confronted a difficult combination: rising geopolitical tensions, stubbornly high oil prices, renewed concerns about interest rates, and questions about the enormous cost of the AI boom.
With Wednesday’s inflation report looming, investors had plenty of reasons to remain cautious.
Market Performance
- 📉 Nasdaq Composite: -0.6%
- 📉 S&P 500: -0.3%
- 📉 Dow Jones Industrial Average: -0.3%
Technology stocks led the decline, while Brent crude hovering around $89 per barrel kept inflation concerns firmly in focus.
US-Iran Tensions Return to Center Stage
Hopes for an agreement to reopen the Strait of Hormuz suffered another setback Tuesday.
President Trump rejected Iran’s demands for war reparations, while Iranian Foreign Minister Abbas Araghchi said there was “no possibility of restarting negotiations” under current conditions.
Pakistan’s defense minister offered a somewhat more optimistic assessment, suggesting the two countries were close to some form of arrangement.
Investors, however, weren’t convinced.
Oil prices remained elevated, with Brent crude trading near $89 per barrel.
That’s important because prolonged high energy prices could filter through the economy and make the Federal Reserve’s inflation battle considerably more difficult.
Tomorrow’s CPI Report Could Change Everything
All eyes now turn to Wednesday’s Consumer Price Index.
Last Friday’s surprisingly weak employment report initially appeared to reduce the likelihood of another Federal Reserve rate hike.
But persistently high oil prices are complicating that picture.
Cleveland Fed President Beth Hammack warned this week that more than one interest-rate increase may ultimately be necessary to bring inflation under control.
That creates an uncomfortable situation for the Fed.
The labor market appears to be weakening.
But inflation may still require tighter monetary policy.
If Wednesday’s CPI comes in hotter than expected, expectations for a September rate hike could rise sharply.
If inflation surprises to the downside, stocks could get the catalyst investors have been waiting for.
Big Tech Falls as AI Spending Faces Scrutiny
Technology stocks also struggled Tuesday.
Alphabet, Apple and Amazon moved lower as investors continued questioning the extraordinary amount of money flowing into artificial intelligence infrastructure.
Recent fundraising initiatives from Nvidia and Intel have reinforced the scale of the challenge.
AI requires enormous investments in:
- Semiconductors
- Data centers
- Electricity
- Cooling infrastructure
- Networking equipment
- Financing
Wall Street isn’t questioning whether AI will be important.
The increasingly important question is:
Will the financial returns justify the hundreds of billions of dollars being invested?
CoreWeave and Super Micro Put AI to the Test
Tonight brings another important test for the AI infrastructure trade.
CoreWeave and Super Micro Computer report earnings after the closing bell.
Their results could provide valuable insight into demand for GPUs, AI servers, cloud computing capacity and data-center infrastructure.
After several weeks of dramatic earnings reactions, investors have demonstrated that strong growth alone isn’t necessarily enough.
Valuations are high.
Expectations are even higher.
The Bottom Line
Tuesday’s decline wasn’t dramatic, but the market is clearly becoming more cautious.
Two major forces are colliding.
Oil near $89 is keeping inflation fears alive.
At the same time, Friday’s weak employment report suggests the economy may be losing momentum.
That leaves the Federal Reserve walking an increasingly narrow path between controlling inflation and avoiding unnecessary damage to the economy.
Tomorrow’s CPI report could determine which risk investors worry about most.
For now, Wall Street is waiting.
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