Monday, August 31, 2026

QNTM Day Wrap — Monday, August 31, 2026

The QNTM model portfolio (50 holdings) returned +0.25% today while SPY fell -0.29% — a roughly 54-bp gap in a session where the broad market leaned risk-off.

What drove it: Ten of 11 S&P sectors finished negative, with only one in the green — consistent with energy being the standout as U.S. forces struck Iranian rocket launchers near the Strait of Hormuz over the weekend, prompting Iranian retaliatory claims against U.S. bases , which drove crude above $85 and pushed 10-year Treasury yields to their highest since January 2025 . Tech was a laggard: the Nasdaq slipped 0.5% on weak AI-stock performance, with PayPal the biggest loser after a reported buyout deal fell through . QNTM's model, built on a five-pillar composite rather than cap-weighted tech exposure, wasn't leaning on that crowded AI trade today — a structural difference that helped it avoid the session's sharpest drawdowns. Conviction sits at a neutral 49.0 across 1,422 names, with only 3.2% flagged high-conviction, signaling narrow, selective leadership rather than a broad "buy everything" signal.

Market recap: The S&P 500 fell 0.3% to 7,711.76 , the Dow dropped 0.9% (464 points) to 53,885.10 , snapping a win streak. Chicago PMI came in at 47.1, well below the 58 estimate and down from 57.6 in July . VIX ticked up modestly but stayed contained near 15.

What's next: Watch for any follow-through on Middle East headlines and this week's labor-market data, which could reset Fed rate-path expectations.

Educational research only — not investment advice.