Stock Market Live May 12, 2026: S&P 500 (SPY) Sinks on Higher Inflation

Futures are red across the board.

The S&P 500 is down 0.5%, or by 38 points. The SPDR S&P 500 ETF (SPY) is down by 0.34%, or by $2.50. The Dow is down by 0.11%, or by 50 points. The Nasdaq is down 0.92%, or by 270 points. Oil is up by $3.46 at $101.53. Gold is down by $10.15 at $4,708. And Bitcoin is down by about $780 at $80,947.

For one, there’s still uncertainty over the war, as President Trump rejects Iran’s proposal. Oil is back above $101 a barrel. And CPI, or the Consumer Price Index, just came in hotter than expected at 3.8% annually.

If we exclude volatile food and energy prices, core CPI increased 0.4% and 2.8%, respectively, indicating that while inflation is still well above the Federal Reserve’s 2% goal.

Investors are Jumping into Dividend Stocks

If you’re looking to escape the wild volatility, consider dividend stocks and ETFs. So far, about $22 billion has been invested in dividend ETFs in the first quarter, as CNBC notes.

One way to do that is by investing in Warren Buffett-related ETFs such as:

The Vanguard S&P 500 ETF 

“Over the years, I’ve often been asked for investment advice,” Buffett wrote in a 2016 shareholder letter. “My regular recommendation has been a low-cost S&P 500 index fund.”

With that, Buffett has named the Vanguard S&P 500 ETF (VOO) as one way to invest.

What makes the VOO ETF most attractive is that it tracks the performance of the S&P 500 and includes value and growth stocks across multiple market sectors. In fact, it holds Nvidia, Microsoft, Apple, Amazon, Alphabet, and Berkshire, to name a few.

VanEck Morningstar Wide Moat ETF 

If you follow Warren Buffett, you know he likes companies with a wide economic moat.

In fact, if you want to invest in companies attractive to the billionaire, make sure they are simple companies that are easy to understand, companies with predictable and proven earnings, companies that can be bought at a reasonable price, and companies with an “economic moat,” or a unique advantage over their competition.

With an expense ratio of 0.47%, the VanEck Morningstar Wide Moat ETF (MOAT) tracks the performance of companies with sustainable competitive advantages. That includes Estee Lauder, Teradyne, Boring, Alphabet, Nike, and NXP Semiconductors, to name a few.

Warmer Weather Stocks are Heating Up

Look at Lowe’s (NYSE: LOW | LOW Price Prediction), for example. According to analysts at Citi, it’s a buy heading into earnings next week. The firm also has a price target of $285. “LOW should beat 1Q street estimates and continue to outperform the industry … in 2026,” said the firm, as quoted by CNBC. “The macro has risks of geopolitical tensions escalating, but we still believe the home improvement industry has bottomed and remain optimistic on the multi-year recovery.”

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