As it seems, it wasn't actually both all that deep, and even at the top, my favorites aren't all-time favorites exactly.
I mean sure, Awaken the Guardian is often considered the best John Arch Fates Warning album, but it's actually not my favorite. I still do enjoy it a lot though, per why it's my #1. Skylarking I would still probably rank as my favorite XTC album, but it is a bit of splitting hairs I suppose. Tones, So, Master of Puppets, 5150, all quality LPs, but not ones I think of as among my favorites from the 80's. Although Master of Puppets is hugely influential and probably still my go-to Metallca record, but I also can't claim to be that huge a fan of course.
Anyway, another year with a lot of pop and metal and jazz. Some prog, but I guess overall, this is 1 of the lesser years from the 80's, but like basically every year, there's still some good work that is worth noting and when it was released.
Of course I was 10 years old in 1986, and while I recall some of these albums and songs from them, the majority I didn't know until long after the actual year.
1. Fates Warning - Awaken the Guardian
2. XTC - Skylarking
3. Eric Johnson - Tones
4. Peter Gabriel - So
5. Metallica - Master of Puppets
6. Van Halen - 5150
7. Marillion - Brief Encounter
8. Queensryche - Rage for Order
9. Queen - A Kind of Magic
10. Robert Fripp and the League of Crafty Guitarists - The League of Crafty Guitarists Live
11. Crimson Glory - Crimson Glory
12. Huey Lewis and the News - Fore!
13. Megadeth - Peace Sells...but Who's Buying?
14. Genesis - Invisible Touch
15. Janet Jackson - Control
16. Paul Simon - Graceland
17. The Beastie Boys - License to Ill
18. Prince - Parade: Music From the Motion Picture "Under the Cherry Moon"
19. Duran Duran - Notorious
20. Bruce Springsteen and the E Street Band - Live/1975-85
21. Billy Joel - The Bridge
22. Various Artists - Top Gun Soundtrack
23. Boston - Third Stage
24. Bon Jovi - Slippery When Wet
25. The Police - Every Breathe You Take: The Singles
26. Pat Metheny and Ornette Coleman - Song X
...

Bangles - Different Light
rel January 2, 1986

Janet Jackson - Control
rel February 4, 1986

Animotion - Strange Behavior
rel February 1986

Smithereens - Especially for You
rel March 1, 1986

Metallica - Master of Puppets
rel March 3, 1986

Depeche Mode - Black Celebration
rel March 17, 1986

Van Halen - 5150
rel March 24, 1986

Prince - Parade: Music From the Motion Picture "Under the Cherry Moon"
rel March 31, 1986

Talk Talk - The Colour of Spring
rel March 1986

Journey - Raised on Radio
rel April 21, 1986

Various Artists - Top Gun Soundtrack
rel May 13, 1986

Peter Gabriel - So
rel May 19, 1986

Emerson Lake and Powell - Emerson Lake and Powell
rel May 26, 1986

Europe - The Final Countdown
rel May 26, 1986

Queen - A Kind of Magic
rel June 3, 1986

Genesis - Invisible Touch
rel June 6, 1986

Eric Johnson - Tones
rel June 15, 1986

Sam Kinison - Louder Than Hell
rel June 15, 1986

Corey Hart - Fields of Fire
rel June 18, 1986

Madonna - True Blue
rel June 30, 1986

Marillion - Brief Encounter
rel June 1986

Pat Metheny and Ornette Coleman - Song X
rel June 1986

Sting - Bring on the Night
rel July 1, 1986

David+David - Boomtown
rel July 7, 1986

Queensryche - Rage for Order
rel July 14, 1986

Teena Marie - Emerald City
rel July 22, 1986

Billy Joel - The Bridge
rel July 28, 1986

R.E.M. - Life's Rich Pageant
rel July 28, 1986

Steve Winwood - Back in the High Life
rel July 30, 1986

Bon Jovi - Slippery When Wet
rel August 18, 1986
Huey Lewis and the News - Fore!
rel August 20, 1986

Paul Simon - Graceland
rel August 25, 1986

Toto - Fahrenheit
rel August 1986

Cameo - Word Up!
rel September 9, 1986

Megadeth - Peace Sells...but Who's Buying?
rel September 19, 1986

Eddie Money - Can't Hold Back
rel September 21, 1986

Boston - Third Stage
rel September 23, 1986

Iron Maiden - Somewhere in Time
rel September 29, 1986

Bruce Hornsby and the Range - The Way it is
rel September 30, 1986

a-ha - Scoundrel Days
rel October 6, 1986

Slayer - Reign in Blood
rel October 7, 1986

Talking Heads - True Stories
rel October 8, 1986

Berlin - Count Three and Pray
rel October 13, 1986

Stacey Q - Better than Heaven
rel October 17, 1986

Crimson Glory - Crimson Glory
rel October 20, 1986

The Police - Every Breathe You Take: The Singles
rel October 25, 1986

XTC - Skylarking
rel October 27, 1986

Roxette - Pearls of Passion
rel October 31, 1986

Bruce Springsteen and the E Street Band - Live/1975-85
rel November 10, 1986

The Beastie Boys - License to Ill
rel November 15, 1986

Frank Zappa - Jazz from Hell
rel November 15, 1986

Duran Duran - Notorious
rel November 18, 1986

Cutting Crew - Broadcast
rel November 22, 1986

Fates Warning - Awaken the Guardian
rel November 1986

Robert Fripp and the League of Crafty Guitarists - Live!
rel November 1986

Tesla - Mechanical Resonance
rel December 8, 1986

Bill Connors - Double Up
rel 1986

The Chick Corea Elektric Band - Elektric Band
rel 1986

Stanley Jordan - Standards, Volume 1
rel 1986

Michael Manring - Unusual Weather
rel 1986

Miriodor - Recontres
rel 1986