[BRIEFING.COM] Stocks had a choppy session that culminated in considerable late afternoon selling pressure, sending the S&P 500 (+0.1%), Nasdaq Composite (-0.2%), and DJIA (+0.1%) to a mixed finish. The S&P 500 was unable to reclaim its 50-day moving average (6,894.75), which it closed below yesterday. 

While the broader market traded higher for most of the session, the major averages moved in tandem with fluctuations across mega-cap and tech names. 

The top-weighted information technology sector (-0.5%) had a particularly volatile session. The sector spent much of the morning oscillating around its unchanged level before plotting a steady advance through the midday hours. 

Software names finally saw some relief, with the iShares GS Software ETF (IGV) finishing 2.2% higher. 

Applied Materials (AMAT 354.91, +26.52, +8.08%) and Arista Networks (ANET 141.59, +6.47, +4.79%) also contributed solid gains after their earnings reports. 

However, increasing pressure across some of the sector's largest components ultimately led it to a lower finish. NVIDIA (NVDA 182.78, -4.16, -2.23%) and Apple (AAPL 255.78, -5.95, -2.27%) were especially weak, with the losses overshadowing broad gains throughout the sector. 

The communication services sector (-0.8%) finished with the widest loss today as Meta Platforms (META 639.77, -10.04, -1.55%) and Alphabet (GOOG 306.02, -3.35, -1.08%) added to the pressure across mega-caps

The consumer discretionary sector (-0.1%) also logged a lower finish as Amazon (AMZN 198.79, -0.81, -0.41%) has yet to notch a gain since its earnings release last week. 

Ultimately, the Vanguard Mega Cap Growth ETF finished 0.6% lower, which contributed to the underperformance of the market-weighted S&P 500 (+0.1%) relative to the S&P 500 Equal Weighted Index (+1.0%). 

Despite the persistent weakness in some of the markets' weightiest names, there were some solid performances across other sectors. 

The defensive utilities sector (+2.7%) surged higher as more defensive pockets continue to generate rotational interest amid the weakness in tech. All 31 of the sector's components finished higher. 

The health care sector (+1.0%) also notched a solid gain, while certain cyclical sectors, including the materials (+1.1%) and industrials (+0.8%) sectors, rebounded from a sharp slide yesterday. 

Meanwhile, rate-sensitive pockets of the market also outperformed today following a solid CPI report for January, which showed a cooler-than-expected increase at the headline level (0.2%; Briefing.com consensus 0.3%) that resulted in a deceleration in the year-over-year rate to 2.4% from 2.7%. Core CPI (0.3%) matched expectations, with the year-over-year growth rate decelerating to 2.5% from 2.6%.

The real estate sector (+1.5%) logged a solid gain, finishing as one of the top-performing S&P 500 sectors this week. 

The smaller-cap Russell 2000 (+1.2%) and S&P Mid Cap 400 (+0.8%) also outperformed, further distancing themselves from the major averages this year. 

Ultimately, the session underscored the market's ongoing bifurcation, with late-day pressure in mega-cap growth offset by sustained rotational strength elsewhere. Until leadership broadens meaningfully beyond the largest tech names, the major averages may continue to struggle for decisive upside traction.

U.S. Treasuries enjoyed a strong finish to the week, sending yields on the 5-year note and longer tenors to their lowest closing levels since early December, while the 2-year yield settled at its lowest level since September 2022, though it remained above its 2025 intraday low that was notched on October 17 (3.378%).

The 2-year note yield settled down six basis points to 3.41% (-9 basis points this week) and the 10-year note yield settled down five basis points to 4.06% (-15 basis points this week).

• S&P Mid Cap 400: +7.8% YTD
• Russell 2000: +6.6% YTD
• DJIA: +3.0% YTD
• S&P 500: -0.1% YTD
• Nasdaq Composite: -3.0% YTD

Reviewing today's data:

• January CPI 0.2% (Briefing.com consensus 0.3%); Prior 0.3%, January Core CPI 0.3% (Briefing.com consensus 0.3%); Prior 0.2%
  • The key takeaway from the report is that it showed some encouraging disinflation on a year-over-year basis, which the market will perceive as an opening for the Fed to consider additional rate cuts even with GDP growth running above potential.

[BRIEFING.COM] The S&P 500 (-0.1%), Nasdaq Composite (-0.4%), and DJIA (-0.1%) now sit lower with just half an hour left in the session. Regardless of how the major averages finish out the day, they are poised for a lower finish to the week, with each index down over 1.0% for the week. 

Today's weakness at the index level is largely attributed to the top-weighted information technology sector (-0.5%), which has had a particularly choppy session. After holding solid gains around midday, the sector is now a laggard, with NVIDIA (NVDA 182.22, -4.72, -2.53%) and Apple (AAPL 256.13, -5.60, -2.14%) widening their losses late in the afternoon. 

Additionally, the PHLX Semiconductor Index (+0.5%) has shed well over half of its earlier gains. 

[BRIEFING.COM] The S&P 500 (+0.2%), Nasdaq Composite (flat), and DJIA (+0.1%) are now defending their flatlines with an hour left in this week's action. 

The afternoon has progressed in a relatively quiet fashion. Strength remains broad, but some lingering softness across mega-cap names prevents further gains at the index level. The Vanguard Mega Cap Growth ETF is down 0.2%, which weighs heavily on the market-weighted S&P 500 (+0.2%).

Meanwhile, the S&P 500 Equal Weighted Index (+1.2%) is sharply higher amid broad strength.

[BRIEFING.COM] The S&P 500 (+0.57%) is in first place on Friday, up about 39 points.

Briefly, S&P 500 constituents Dexcom (DXCM 70.56, +5.48, +8.42%), Vertex Pharma (VRTX 503.40, +38.38, +8.25%), and Wynn Resorts (WYNN 114.66, +6.81, +6.31%) dot the top of the average following earnings.

Meanwhile, Norwegian Cruise Line (NCLH 21.98, -1.27, -5.46%) is today's top laggard in the S&P after JPMorgan downgraded the stock to Neutral and cut its price target following the sudden departure of CEO Harry Sommer and the appointment of John Chidsey. Despite reaffirming FY25 guidance in line with expectations, investor uncertainty around the leadership transition pressured shares.

[BRIEFING.COM] With about two hours to go on Friday the tech-heavy Nasdaq Composite (+0.43%) is in second place, up about 97 points.

Gold futures settled $103.80 higher (+2.1%) at $5,052.20/oz, finishing the week up 1.45%, after softer-than-expected U.S. inflation data revived expectations for Federal Reserve rate cuts and pressured the dollar. The move was reinforced by ongoing safe-haven demand amid lingering macro uncertainty and steady central bank buying, helping bullion reclaim the $5,000 level.

Meanwhile, the U.S. Dollar Index is down less than -0.1% to $96.85.

[BRIEFING.COM] The Dow Jones Industrial Average (+0.49%) is narrowly in second place on Friday afternoon, up about 244 points.

A look inside the DJIA shows that Nike (NKE 63.06, +1.96, +3.21%), Salesforce (CRM 190.97, +5.54, +2.99%), and Caterpillar (CAT 781.03, +22.74, +3.00%) are some of today's top gain getters.

Meanwhile, Visa (V 318.34, -5.84, -1.80%) is underperforming.

The DJIA is poised to end the week -0.84% lower.

Also, at the top of the hour, Baker Hughes (BKR 60.98, -0.41, -0.67%) announced a weekly U.S. rotary rig count of 551, flat w/w and -37 yr/yr.

[BRIEFING.COM] After some choppy action this morning, the S&P 500 (+0.6%), Nasdaq Composite (+0.5%), and DJIA (+0.4%) are a touch off of session highs early in the afternoon, with broadening strength beginning to take back a meaningful chunk of yesterday's retreat. The S&P 500 is now just 0.4% below its 50-day moving average (6,894.75), which it closed beneath yesterday. 

Stocks were little changed at the open despite an encouraging January CPI (0.2%; Briefing.com consensus 0.3%) and Core CPI (0.3%; Briefing.com consensus 0.3%) print. The market saw a modest boost to its future rate cut expectations, but stocks failed to garner a sharp buy-the-dip reaction this morning. 

Strength was mixed early on, with gains concentrated in more defensive sectors. To be fair, defensive sectors are still largely outperforming, with the utilities sector (+2.5%) widening its week-to-date gain to 7.0% while the health care sector (+1.5%) gets in on the action. Moderna (MRNA 42.50, +2.40, +5.97%) and Eversource Energy (ES 73.26, +2.94, +4.18%) are both near the top of their respective sectors' leaderboards following earnings. 

While the defensive sectors still boast some of the widest gains, strength has broadened significantly since the opening action. Advancers outpace decliners by a roughly 4-to-1 margin on the NYSE and a roughly 3-to-1 clip on the Nasdaq. Ten S&P 500 sectors now boast gains. 

After a notable retreat yesterday, the materials sector (+1.7%) is among the outperformers, with Newmont Corporation (NEM 126.24, +8.12, +6.87%) rising amid an increase in gold and silver prices while Albemarle (ALB 165.75, +6.82, +4.29%) moves higher following earnings. 

Similarly, the industrials sector (+1.2%) also takes back the bulk of its previous weakness. Courier stocks that traded lower yesterday amid fears of AI disruption are rebounding, with C.H. Robinson (CHRW 178.18, +10.40, +6.20%) and Expeditors Intl (EXPD 146.51, +5.95, +4.23%) among the outperformers. 

Even the financials sector (+0.2%) holds a modest gain as Robinhood Markets (HOOD 76.09, +4.97, +6.99%) attempts to rebound from its post-earnings slide while Coinbase Global (COIN 165.66, +24.57, +17.41%) rockets higher despite missing earnings estimates of its own.

Not to be outdone, the top-weighted information technology sector (+0.4%) houses a few notable earnings moves of its own in Applied Materials (AMAT 357.99, +29.60, +9.01%) and Arista Networks (ANET 146.14, +11.02, +8.16%). The positive reaction to solid earnings reports is a good sign for the sector, as valuation concerns have caused many big tech names to trade lower recently despite solid results. 

Perhaps even more encouraging is the rebound in software stocks that sees the iShares GS Software ETF (IGV) 2.7% higher. 

However, the broader sector sports just a modest gain amid some lingering mega-cap weakness, with NVIDIA (NVDA 184.25, -2.69, -1.44%) a notable laggard. 

Alphabet (GOOG 306.77, -2.60, -0.84%) is another laggard, weighing on the communication services sector (-0.2%).

Despite some sluggishness across the market's weightiest components, the session reflects a constructive rebound attempt, with improving breadth and sector participation suggesting yesterday's selloff is being actively faded.

Reviewing today's data:

• January CPI 0.2% (Briefing.com consensus 0.3%); Prior 0.3%, January Core CPI 0.3% (Briefing.com consensus 0.3%); Prior 0.2%
  • The key takeaway from the report is that it showed some encouraging disinflation on a year-over-year basis, which the market will perceive as an opening for the Fed to consider additional rate cuts even with GDP growth running above potential.

[BRIEFING.COM] The S&P 500 (+0.6%), Nasdaq Composite (+0.6%), and DJIA (+0.5%) continue to chart session highs as strength broadens.

After trading lower this morning, the consumer discretionary sector (+0.7%) now holds a solid gain. Despite some lingering weakness across mega-cap stocks today, Amazon (AMZN 200.59, +0.99, +0.50%) and Tesla (TSLA 420.64, +3.57, +0.86%) trade modestly higher. Amazon is still seeking its first higher finish since its earnings release last week. 

Elsewhere in the sector, Airbnb (ABNB 120.49, +4.53, +3.91%) is higher following its 4Q25 earnings release, as an upbeat outlook and clear signs of accelerating marketplace momentum more than offset an EPS miss. While the reported EPS of $0.56 came in below expectations, results were impacted by a roughly $90 million one-time non-income tax charge, making adjusted EBITDA the cleaner profitability lens. On that basis, ABNB delivered solid operating performance and paired it with guidance that points to faster top-line growth into 2026, reinforcing investor confidence in the company's multi-year reacceleration strategy.

Meanwhile, Expedia Group (EXPE 211.31, -15.93, -7.01%) is sharply lower despite a beat-and-raise earnings report of its own. 

[BRIEFING.COM] The major averages continue to chart session highs at midday. 

Strength has broadened, with ten S&P 500 sectors now sporting gains. 

The utilities sector (+2.5%) leads the advance, supported by sector-wide strength that sees all 31 of its components trading higher.  Eversource Energy (ES 73.52, +3.20, +4.55%) is near the top of the leaderboard after topping earnings estimates yesterday afternoon.

The defensive sector has gained 7.0% this week versus a 0.9% week-to-date loss in the S&P 500.

[BRIEFING.COM] After some early choppiness, the S&P 500 (+0.3%), Nasdaq Composite (+0.1%), and DJIA (+0.3%) are modestly higher shortly before midday. 

Though it is not the sharp buy-the-dip rally that last Friday's session produced after similar weakness last Thursday, there are several tailwinds helping the market attempt to stabilize from yesterday's retreat. 

This morning's release of the January CPI (0.2%; Briefing.com consensus 0.3%) and Core CPI (0.3%; Briefing.com consensus 0.3%) readings gave the market's June rate cut odds a modest boost, though the actual timeframe for easing remains variable and several months away. 

Additionally, the latest batch of tech earnings has garnered relatively favorable responses, with Applied Materials (AMAT 360.39, +32.00, +9.74%) and Arista Networks (ANET 145.00, +9.88, +7.31%) both posting solid gains. 

Software stocks are finally seeing some relief buying, though weakness across mega-cap stocks, and in particular, NVIDIA (NVDA 182.97, -3.97, -2.12%), keeps the information technology sector (-0.3%) pinned beneath its flatline. The Vanguard Mega Cap Growth ETF is down 0.2%.

Meanwhile, defensive sectors continue to outperform, with the utilities (+2.5%) and health care (+1.5%) sectors the top-performing S&P 500 sectors today. 

Outside of the S&P 500, the Russell 2000 (+1.6%) and S&P Mid Cap 400 (+1.0%) are rebounding nicely from previous weakness, reasserting their trend of outperformance over the major averages this year. 

[BRIEFING.COM] The S&P 500 (+0.2%), Nasdaq Composite (flat), and DJIA (+0.2%) continue to oscillate around their flat lines, moving in tandem with changes to the top-weighted information technology sector (-0.3%). 

Most of the sectors' components trade higher, with software names finally seeing some reprieve, sending the iShares GS Software ETF (IGV) 1.8% higher. Chipmaker names are also faring relatively well, with the PHLX Semiconductor Index up 0.7%. 

On the earnings front, Applied Materials (AMAT 364.21, +35.82, +10.91%) is one of the top-performing S&P 500 names today, reaching new all-time highs following its blowout Q1 (Jan) results and particularly bullish outlook. The semi-cap equipment supplier delivered its largest EPS beat in two years, while revenue fell a better-than-expected 2.1% year-over-year to $7.01 billion. Looking ahead, AMAT's upside Q2 guide of EPS of $2.44-2.84 and revenue of $7.15-8.15 billion implies a return to year-over-year growth and a clear reacceleration.

However, some weakness across the sector's largest components hold it back from a gain. NVIDIA (NVDA 183.39, -3.55, -1.90%) is a "mag seven" laggard, while Apple (AAPL 259.60, -2.13, -0.81%) and Microsoft (MSFT 400.22, -1.62, -0.40%) also trade lower. 

[BRIEFING.COM] The S&P 500 (+0.4%), Nasdaq Composite (+0.4%), and DJIA (+0.3%) are charting session highs following a move by the information technology sector (+0.5%) into positive territory and a broadening of gains elsewhere. 

The materials sector (+0.8%) is off to a solid start this morning. Albemarle (ALB 166.81, +7.88, +4.96%) makes a nice rebound after a post-earnings slide, while Newmont Corporation (NEM 124.52, +6.40, +5.42%) is higher amid increasing gold and silver prices. 

Meanwhile, Steel Dynamics (STLD 192.66, -6.85, -3.43%) and Nucor (NUE 184.79, -4.02, -2.13%) move lower after White House Trade Advisor Pete Navarro told CNBC that the Financial Times report that claimed President Trump would lower tariffs on steel goods has "no basis in fact."

[BRIEFING.COM] The S&P 500 (-0.1%), Nasdaq Composite (-0.3%), and DJIA (-0.2%) sit mixed shortly after the open. Though the January CPI report (0.2%; Briefing.com consensus 0.3%) gave equity futures a nice boost, there has not been a great deal of follow-through buying interest

The broader market is mixed after yesterday's retreat and still has a relatively defensive posture this morning, with the health care (+1.2%) and utilities (+1.1%) sectors the early standouts.  Moderna (MRNA 43.62, +3.51, +8.74%) trades sharply higher after a beat-and-raise earnings report. 

Meanwhile, the top weighted information technology sector (-0.4%) has had a choppy start, now trading in negative territory. Applied Materials (AMAT 365.71, +37.32, +11.36%) and Arista Networks (ANET 144.54, +9.42, +6.97%) are sharply higher after earnings, but memory stocks are sharply lower after posting solid gains yesterday. 

The iShares GS Software ETF (IGV) is up 1.4% as software stocks receive some modest buying support. 

Meanwhile, mega-cap stocks are not garnering any buy-the-dip interest, sending the Vanguard Mega Cap Growth ETF 0.3% lower. 

Equity futures now point to a modestly higher opening this morning following the January CPI release.

Total CPI increased 0.2% month-over-month in January (Briefing.com consensus: 0.3%) and was up 2.4% year-over-year, versus 2.7% for the 12 months ending in December. Core CPI, which excludes food and energy, increased 0.3% month-over-month (Briefing.com consensus: 0.3%) and was up 2.5% year-over-year, versus 2.6% for the 12 months ending in December.

The key takeaway from the report is that it showed some encouraging disinflation on a year-over-year basis, which the market will perceive as an opening for the Fed to consider additional rate cuts even with GDP growth running above potential.

The S&P 500 futures now trade nine points above fair value. 

Equity indices in the Asia-Pacific region ended the week on a lower note. There was growing speculation that President Trump will extend the current trade terms with China when he meets with President Xi in April. There were also reports that tariffs on metals and aluminum goods could be reduced. On a somewhat related note, officials from the U.S. and Taiwan formalized a trade deal. An adviser to Japan's Prime Minister Takaichi said that the Bank of Japan may forego a rate hike in March but is likely to raise rates later in the year.

• In economic data:
  • China's January New Loans CNY4.71 trln (expected CNY5.00 trln; last CNY910 bln), January Outstanding Loan Growth 6.1% yr/yr (expected 6.2%; last 6.4%), and January total social financing CNY7.22 trln (expected CNY7.05 trln; last CNY2.21 trln). January House Prices -3.1% yr/yr (last -2.7%)
  • South Korea's January Import Price Index -1.2% yr/yr (last 0.5%) and Export Price Index 7.8% yr/yr (last 5.0%)
  • New Zealand's January Business PMI 55.2 (last 56.1). December External Migration & Visitors 7.0% yr/yr (last 8.2%). Q1 Inflation Expectations 2.4% (last 2.3%)

---Equity Markets---

• Japan's Nikkei: -1.2%
• Hong Kong's Hang Seng: -1.7%
• China's Shanghai Composite: -1.3%
• India's Sensex: -1.3% 
• South Korea's Kospi: -0.3%
• Australia's ASX All Ordinaries: -1.5%

Major European indices trade on a mostly lower note. Military contractor Safran reported in-line results while L'Oreal missed growth expectations. European Central Bank policymaker Kazaks said that the ECB is in a good position regarding rates while policymaker Nagel said that geopolitical "rivalries" could result in higher inflation.

• In economic data:
  • Eurozone's Q4 GDP 0.3% qtr/qtr, as expected (last 0.3%); 1.3% yr/yr, as expected (last 1.4%). Q4 Employment Change 0.2% qtr/qtr (expected 0.1%; last 0.2%); 0.7% yr/yr (expected 0.6%; last 0.6%). December trade surplus EUR12.6 bln (expected EUR11.8 bln; last EUR9.3 bln)
  • Germany's January WPI 0.9% m/m (expected 0.1%; last -0.2%); 1.2% yr/yr (last 1.2%)
  • Spain's January CPI -0.4% m/m, as expected (last 0.3%); 2.3% yr/yr (expected 2.4%; last 2.9%). January Core CPI 2.6% yr/yr, as expected (last 2.6%)
  • Swiss January CPI -0.1% m/m (expected 0.0%; last 0.0%); 0.1% yr/yr, as expected (last 0.1%)

---Equity Markets---

• STOXX Europe 600: -0.2% 
• Germany's DAX: +0.3%
• U.K.'s FTSE 100: +0.1%
• France's CAC 40: -0.3% 
• Italy's FTSE MIB: -1.5%
• Spain's IBEX 35: -1.1% 

The S&P 500 futures currently trade three points below fair value. 

Just released, total CPI was up 0.2% month-over-month in January (Briefing.com consensus 0.3%) after increasing 0.3% in December. Core CPI, which excludes food and energy, was up 0.3% (Briefing.com consensus 0.3%) after increasing 0.2% in December.

On a year-over-year basis, total CPI was up 2.4% versus 2.7% in December, while core CPI was up 2.5% versus 2.6% in December.

Equity futures point to a lower opening this morning after stocks faced a notable retreat yesterday, with the major averages all finishing with losses of 1.0% or wider in yesterday's trade. 

Software was yet again a laggard amid fears of AI disruption, a theme that broadened into other pockets of the market, with courier names among the hardest hit yesterday. Additionally, mega-caps continue to struggle in 2026, with massive capital expenditure plans causing lingering weakness across some of the market's largest names. Defensive sectors garnered some rotational interest, though it was not enough to balance losses at the index level. 

The January CPI (Briefing.com consensus 0.3%; prior 0.3%) and Core CPI (Briefing.com consensus 0.3%; prior 0.2%) readings are the lone economic data releases on the calendar this morning, though the market is always attuned to their release. The market is not expecting another rate cut from the Fed until June, with a solid January jobs report this week even eroding the June probability considerably. 

Additionally, investors have plenty of earnings reports from yesterday afternoon and this morning to assess, with several large tech companies making nice upward moves this morning. 

On the trade front, Financial Times reports that President Trump is planning to roll back tariffs on steel and aluminum products as a part of his affordability push. 

In corporate news:

• Automakers are reducing electric vehicle capacity amid falling demand, according to The Wall Street Journal. 
• Airbnb (ABNB 122.21, +6.25, +5.4%) missed EPS expectations by $0.11, beat revenue expectations, and guided Q1 revenues above consensus. The company expects FY2026 growth to accelerate to at least low double digits. 
• Applied Materials (AMAT 363.84, +35.45, +10.8%) beat EPS expectations by $0.17 and beat revenue expectations. The company guided Q2 EPS and revenues above consensus. 
• Arista Networks (ANET 148.55, +13.43, +9.9%) beat EPS expectations by $0.06, beat revenue expectations, and guided Q1 revenues above consensus. 

Reviewing overnight developments:

Equity indices in the Asia-Pacific region ended the week on a lower note. Japan's Nikkei: -1.2%, Hong Kong's Hang Seng: -1.7%, China's Shanghai Composite: -1.3%, India's Sensex: -1.3%, South Korea's Kospi: -0.3%, Australia's ASX All Ordinaries: -1.5%.

In news:

• There was growing speculation that President Trump will extend the current trade terms with China when he meets with President Xi in April.
• There were also reports that tariffs on metals and aluminum goods could be reduced.
• On a somewhat related note, officials from the U.S. and Taiwan formalized a trade deal.
• An adviser to Japan's Prime Minister Takaichi said that the Bank of Japan may forego a rate hike in March but is likely to raise rates later in the year.

In economic data:

• China's January New Loans CNY4.71 trln (expected CNY5.00 trln; last CNY910 bln), January Outstanding Loan Growth 6.1% yr/yr (expected 6.2%; last 6.4%), and January total social financing CNY7.22 trln (expected CNY7.05 trln; last CNY2.21 trln). January House Prices -3.1% yr/yr (last -2.7%)
• South Korea's January Import Price Index -1.2% yr/yr (last 0.5%) and Export Price Index 7.8% yr/yr (last 5.0%)
• New Zealand's January Business PMI 55.2 (last 56.1). December External Migration & Visitors 7.0% yr/yr (last 8.2%). Q1 Inflation Expectations 2.4% (last 2.3%)

Major European indices trade on a mostly lower note. STOXX Europe 600: -0.4%, Germany's DAX: +0.1%, U.K.'s FTSE 100: -0.1%, France's CAC 40: -0.4%, Italy's FTSE MIB: -1.7%, Spain's IBEX 35: -1.0%.

In news:

• Military contractor Safran reported in-line results while L'Oreal missed growth expectations.
• European Central Bank policymaker Kazaks said that the ECB is in a good position regarding rates while policymaker Nagel said that geopolitical "rivalries" could result in higher inflation.

In economic data:

• Eurozone's Q4 GDP 0.3% qtr/qtr, as expected (last 0.3%); 1.3% yr/yr, as expected (last 1.4%). Q4 Employment Change 0.2% qtr/qtr (expected 0.1%; last 0.2%); 0.7% yr/yr (expected 0.6%; last 0.6%). December trade surplus EUR12.6 bln (expected EUR11.8 bln; last EUR9.3 bln)
• Germany's January WPI 0.9% m/m (expected 0.1%; last -0.2%); 1.2% yr/yr (last 1.2%)
• Spain's January CPI -0.4% m/m, as expected (last 0.3%); 2.3% yr/yr (expected 2.4%; last 2.9%). January Core CPI 2.6% yr/yr, as expected (last 2.6%)
• Swiss January CPI -0.1% m/m (expected 0.0%; last 0.0%); 0.1% yr/yr, as expected (last 0.1%)

[BRIEFING.COM] Stocks had their toughest session of the week today, quickly ceding modest opening gains amid renewed pressure across software and mega-cap stocks and fears of broader disruption from AI elsewhere. 

The S&P 500 (-1.6%), Nasdaq Composite (-2.0%), and DJIA (-1.3%) finished lower across the board as weakness broadened throughout the session. The market's clear "risk-off" positioning led the Russell 2000 (-2.0%) and S&P Mid Cap 400 (-1.4%) to similar retreats. 

Weakness was first evident in the information technology sector (-2.7%), which closed as the worst-performing S&P 500 sector today. 

Software stocks came under renewed scrutiny after AppLovin (APP 366.91, -89.90, -19.68%) delivered a beat-and-raise earnings report but sold off sharply, finishing as the worst-performing S&P 500 component today. The iShares GS Software ETF (IGV) finished 2.7% lower. 

While memory storage stocks such as Sandisk (SNDK 630.29, +30.95, +5.16%) and Micron (MU 413.97, +3.63, +0.88%) finished higher after a retreat yesterday, they ended the day well off of their earlier highs, and weakness across other chipmaker stocks sent the PHLX Semiconductor Index 2.5% lower. 

Cisco (CSCO 75.00, -10.54, -12.32%) was another earnings laggard, with its warning that higher memory costs will be adversely affecting its profit margins weighing on other hardware names such as Dell (DELL 112.85, -11.31, -9.11%) and Apple (AAPL 261.73, -13.77, -5.00%). 

While the broadening out of leadership from tech into cyclical sectors has been a prominent headline in 2026, today's session did not follow that trend, with several notable retreats in the mix. 

This year's best performer, the energy sector, closed 2.2% lower amid a falling price of oil. Bloomberg reported that President Trump told reporters that he expects negotiations with Iran to be resolved over the next month, a development that helped crude oil futures settle today's session $1.72 lower (-2.7%) at $62.88 per barrel. 

The financials sector (-2.0%) was another laggard, expanding this week's losses to 4.8%. Robinhood Markets (HOOD 71.12, -6.85, -8.79%) continues to sink after its earnings release, while today saw an extension of yesterday's weakness across major banking names. There was some modest buying support across some financial services and insurance names that faced pressure in previous sessions amid concerns of AI disruption, but it was nowhere near enough to offset losses elsewhere. 

The AI disruption theme did have a tangible effect on the industrials sector (-1.2%) today, with courier stocks such as C.H. Robinson (CHRW 167.78, -28.55, -14.54%) and Expeditors Intl (EXPD 140.45, -21.44, -13.24%) finishing sharply lower. 

Elsewhere, mega-cap weakness weighed on the consumer discretionary (-1.6%) and communication services (-1.5%) sectors, sending the Vanguard Mega Cap Growth ETF 1.8% lower. Amazon (AMZN 199.60, -4.48, -2.20%) is yet to notch a higher finish after its earnings release last Thursday. 

Unsurprisingly, some more defense-oriented corners of the market garnered some rotational interest today. 

The utilities sector (+1.5%) captures the widest gain, with Exelon (EXC 47.55, +3.10, +6.97%) leading the advance after topping earnings estimates. 

The consumer staples sector (+1.2%) finished similarly, with Walmart (WMT 133.64, +4.87, +3.78%) adding to its impressive start to the year and finishing as the best-performing Dow component today. 

The real estate sector (+0.3%) also captured a modest gain. 

Ultimately, today's session saw the market give up some ground as AI disruption concerns mingled with this year's pattern of weakness in mega-cap tech. After a strong rebound effort on Friday and several uneventful sessions this week, it is almost easy to forget that the major averages logged losses of 1.0% or wider across the board last Thursday as well. However, the retreat today showed that recent headwinds have not yet fallen by the wayside, leaving the market on defensive footing heading into tomorrow's release of the January CPI (Briefing.com consensus 0.3%; prior 0.3%) and Core CPI (Briefing.com consensus 0.3%; prior 0.2%) readings.

U.S. Treasuries had a strong showing on Thursday with some help from weakness in equities and an impressive 30-year bond auction. The 2-year note yield settled down four basis points to 3.47%, and the 10-year note yield settled down seven basis points to 4.17%.

• S&P Mid Cap 400: +6.9% YTD
• Russell 2000: +5.4% YTD
• DJIA: +2.9% YTD
• S&P 500: -0.2% YTD
• Nasdaq Composite: -2.8% YTD

Reviewing today's data:

• Weekly Initial Claims 227K (Briefing.com consensus 230K); Prior was revised to 232K from 231K, Weekly Continuing Claims 1.862 mln; Prior was revised to 1.841 mln from 1.844 mln
  • The key takeaway from the report is its steady messaging that layoff activity is low and that hiring activity is slow.
• January Existing Home Sales 3.91 mln (Briefing.com consensus 4.21 mln); Prior was revised to 4.27 mln from 4.35 mln
  • The key takeaway from the report is that the existing home market remains supply constrained. That is pushing up prices and mitigating some of the affordability benefits linked to wage growth and lower mortgage rates.