The market is in a solid uptrend, and we think all pullbacks should be considered buyable. With that said, we do believe the market is overbought and due for a pullback, so showing some patience could be prudent. Our target of 7700 on the S&P 500 is closing in fast.

The S&P 500, Nasdaq and Russell 2000 ran up to fresh record highs. Crude oil prices plunged below $100 a barrel on U.S.-Iran deal hopes, but they did rally significantly from Thursday’s prices of under $90/barrel. Chip and AI stocks continued to lead, but many had significant losses on Thursday while software mounted a comeback. Treasury yields rose for the week after some big swings.

Friday’s jobs report showed U.S. employers added 115,000 workers to payrolls in April, nearly double the 63,000 that was forecast. However, the job market still isn’t showing broad strength. Just a few job categories accounted for all the gains: healthcare and social assistance (53,900); couriers and messengers (37,900); retail (21,800) and construction (9,000). Finance, information, manufacturing and government jobs all fell modestly. Slow labor force growth means the U.S. economy doesn’t need a lot of new jobs to avoid higher unemployment, which remained at 4.3%. However, the low hire-low fire environment doesn’t have to mean low economic growth. Labor productivity grew 2.9% vs. a year earlier in the first quarter, powering 3.3% output growth with just a 0.4% rise in hours worked.

5-8-26-MU

Micron Technology (MU) is rallying higher and could possibly go much higher. We think MU is deeply undervalued at 11X forward P/E, despite 190% YoY revenue growth and 57% net income margin. Micron Technology is driven by structural AI demand, fully committed 2026 HBM capacity, and Technological leadership in SOCAMM2 and HMB4.

5-8-26-RKLB

Also, take a look at (RKLB) Rocket Lab Corporation, as we are seeing the start of a breakout.