Friday, August 21, 2026

QNTM Day Wrap — Friday, August 21, 2026

The QNTM model portfolio returned +1.38% today, more than triple SPY's +0.4% gain, in a session the system flagged as RISK_OFF (VIX 15.2, WTI $86.80) amid ongoing tariff and war-escalation macro tags.

What drove it: With conviction at just 50.4 and only 4.4% of the 1,422-name universe scoring "high conviction," the model's 50 holdings were concentrated in quality/value names — a tilt that paid off as the broad market recouped losses. Wall Street had closed lower Thursday as tensions between the United States and Iran rose, heightening geopolitical concerns , hitting rate-sensitive tech and tariff-exposed retail hardest — Walmart fell 9.2% after weak guidance. QNTM's screens historically underweight names with deteriorating momentum/sentiment like this. Friday's rebound was led by defensives and financials: the Dow was up about 517 points, or 0.98%, supported by gains in healthcare stocks such as Merck and Johnson & Johnson , while Goldman Sachs, UnitedHealth and American Express paced large-cap gains — sectors QNTM's model overweighted, explaining the spread versus a cap-weighted SPY.

Market recap: US stocks were slightly higher on Friday, pausing the week's losses as markets continued gauging risks from higher energy prices and bond yields; the S&P 500 and Dow rose around 0.4%, while the Nasdaq inched above the flatline . A report showed US business activity grew at its fastest pace in more than four years , offsetting bond-market jitters.

What's next: Watch whether Treasury's debt-buyback moves and easing yields sustain the bounce into next week, with Nvidia earnings looming.

Research/education only — not investment advice.