October 2026 Stock Market Recap: Defensive Sectors Lead as Tech Retreats
U.S. equities closed October 2026 lower, with the S&P 500 down 2.11% and the Nasdaq Composite down 6.03%, as energy and utilities led sector gains and the VIX rose 30.60%.
October 2026 Market Performance: Index Returns
All four major U.S. equity benchmarks finished October 2026 in negative territory, though each remained positive for the year.
The S&P 500 (^GSPC) closed at 7,580.07, down 2.11% for the month. Year-to-date, the index is up 10.52%. The monthly decline erased some recent gains but left the benchmark well above its starting level for 2026.
The Nasdaq Composite (^IXIC) underperformed the broad market, ending at 25,437.0 after a 6.03% monthly drop. The index is still up 9.47% YTD, but its October loss was nearly triple that of the S&P 500, reflecting heavier selling in growth- and technology-oriented names.
The Dow Jones Industrial Average (^DJI) was the relative outperformer, closing at 51,770.31, down just 0.11% for the month. The blue-chip index is up 7.00% YTD. Its near-flat monthly result shows that large-cap industrial and financial stocks held up better than the broader tech-heavy benchmarks.
The Russell 2000 (^RUT) closed at 2,811.84, down 0.91% for the month. Small caps remain up 12.11% YTD, the strongest year-to-date return among the four indices shown here, even though October was negative.
Key takeaway: October was a month of dispersion. Every major index closed lower,