Semiconductor stocks were the story of the first half of 2026. The NYSE Semiconductor Index was up 114% through June 30. The index's top holdings include Nvidia, Micron, Advanced Micro Devices, Broadcom and Intel.

So far, the third quarter has been a very different story. As of September 3, the index was down 22% for the quarter. Despite that decline, it remains up 67% for the year.

Interestingly, the decline in the index has not been driven by weakness in the underlying earnings of the companies. In fact, the major semiconductor companies have generally reported very strong results.

As we head into September, the investment team at Carnegie continues to monitor key data that will impact market conditions. Interest rates remain elevated; inflation continues to be a concern, and the enormous investment behind artificial intelligence is creating opportunities as well as risks. At the same time, the strength of the consumer is becoming more difficult to assess, and markets continue to rotate beneath the surface.

Against that backdrop our focus remains on understanding what is driving portfolio performance, maintaining diversification and being selective about where we take risk.

The bond market has been making headlines recently as long-term Treasury yields have risen to levels last experienced in 2007. This has generated concerns about inflation, government borrowing, and the potential impact of higher interest rates on both bonds and stocks.

The first half of 2026 gave investors plenty to digest. Artificial intelligence continued to dominate headlines, market leadership shifted beyond the Magnificent Seven, the Federal Reserve remained focused on inflation, and ongoing tariff and geopolitical developments added new layers of uncertainty.

In this edition of Front Row with Carnegie, our investment and financial planning professionals discuss the trends shaping today's markets, what they're watching for in the months ahead, and how those developments may affect long-term investors. Below are some of the key takeaways from the conversation, or you can watch the full discussion in the video below.

August tends to be a time when market activity can grow harder to analyze. Trading desks thin out, news flow slows, and short-term momentum can swing prices more than fundamentals do. Still, the month gives investors plenty to watch, including corporate earnings and Fed policy, to signs that market leadership may be broadening beyond artificial intelligence.

One of the most common questions investors ask is why a great company can report strong earnings and still see its stock price fall sharply. The answer often comes down to one word: expectations.

Over the long run, earnings growth is the primary driver of a company's stock price. However, in the short run, changes in investors' expectations about future growth can have an even greater impact. Understanding this relationship helps explain why some of the market's fastest growing companies can also be among its most volatile.

As we approach mid-summer, investors find themselves navigating two powerful forces: excitement and expectations. From headline-grabbing IPOs to the continued enthusiasm surrounding artificial intelligence (“AI”), markets are once again being shaped by a combination of innovation, optimism, and speculation. While these themes have helped propel stocks higher, they also serve as a reminder of an enduring investing principle: enthusiasm alone is not a substitute for fundamentals.

In our July commentary, we want to devote time examining the surge in mega-cap IPO activity, what earnings season may reveal about AI-related valuations, the evolving interest rate landscape, and where opportunities may exist beyond the technology sector.

As we move into the summer months, investors continue to navigate a market environment shaped by rapid technological change, geopolitical uncertainty, and shifting economic expectations. While markets have remained resilient beneath the surface, there are growing signs that investors should remain thoughtful and disciplined in how they approach risk and opportunity in the second half of the year.

This month we examine the growing concentration around artificial intelligence investments, the evolving interest rate outlook, the changing consumer landscape, and what the current economic environment may mean for younger workers entering the labor force.

As we move into May, one of the most familiar phrases in investing tends to resurface: “Sell in May and go away.” This year, that saying may not apply. While headlines remain filled with geopolitical tension and economic uncertainties, the market itself continues to show a notable degree of resilience. Here’s what the Carnegie Investment Team is honing in on for the month.

As we move into April, several familiar forces are converging at once. Tax season is coming to a close, earnings season is set to begin, and renewed geopolitical tensions are influencing markets — most visibly through energy prices. While these may appear to be separate headlines, they are interconnected parts of a broader environment the market is working to process. This is typical for this time of year: periods of short-term uncertainty often emerge even as the underlying, longer-term foundation remains more stable than the headlines suggest.