[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.