[BRIEFING.COM] The S&P 500 (-0.5%), Nasdaq Composite (flat), and DJIA (+0.1%) sit mostly lower as tech and mega-cap names come under pressure today while the broader market leans positive. The Russell 2000 (+0.8%) and S&P Mid Cap 400 (+0.7%) are once again outperforming the major averages. 

Though the information technology sector (-2.1%) is the only S&P 500 sector that holds a loss wider than 0.5%, the sizable pullback is enough to prevent growth in the S&P 500 and Nasdaq Composite despite relative strength elsewhere. 

Despite a nice upward move in Palantir Technologies (PLTR 154.75, +6.98, +4.72%), lingering weakness in Microsoft (MSFT 413.30, -10.07, -2.38%) keeps pressure on software names. Similarly, Teradyne (TER 281.82, +32.29, +12.94%) moves sharply higher after its own earnings beat, though broader pressure among chipmaker names keeps the PHLX Semiconductor Index 1.6% lower. 

The Vanguard Mega Cap Growth ETF is down 1.5% today, with weak mega-cap leadership also putting pressure on the consumer discretionary (-0.5%) and communication services (-0.3%) sectors.

Meanwhile, five S&P 500 sectors trade higher, all of which hold gains wider than 1.0%. 

The materials (+2.9%) and energy (+2.3%) sectors hold the widest gains as gold, silver, and oil prices all rebound considerably from yesterday's weakness. The more defensive consumer staples (+1.8%) and utilities (+1.6%) sectors are also posting solid gains amid the pullback in tech. 

[BRIEFING.COM] The major averages are little changed from previous values. 

Sector strength is mixed, with five S&P 500 sectors trading lower, though only the information technology sector (-1.8%) holds a loss wider than 0.4%. 

In the financial sector (-0.2%), PayPal (PYPL 42.70, -9.64, -18.41%) is one of the worst-performing S&P 500 names today following a double miss on Q4 earnings and revenue estimates. The sell-off is being exacerbated by a cautious 2026 outlook and the surprise announcement that Enrique Lores, former President and CEO of HP, Inc. (HPQ), will succeed Alex Chriss as President and CEO effective March 1. While the company is attempting to pivot toward agentic commerce and profitable growth in its Venmo and enterprise segments, management's admission that execution has "not been what it needs to be" and the subsequent withdrawal of long-term financial targets have created significant unease among investors.

[BRIEFING.COM] The S&P 500 (-0.6%), Nasdaq Composite (-1.2%), and DJIA (+0.2%) continue to sit mixed as weakness in mega-cap and tech names weighs on broader strength. 

All of the "magnificent seven" stocks trade lower, pushing the Vanguard Mega Cap Growth ETF 1.4% lower and seating the consumer discretionary (-0.3%) and communication services (-0.3%) in negative territory alongside the information technology sector (-2.0%). 

Meanwhile, the defensive consumer staples (+1.7%), utilities (+1.4%), and health care (+0.6%) sectors are posting solid gains amid the weakness in growth stocks. 

Several notable earnings-related gains also contribute to the gains, including PepsiCo (PEP 162.83, +7.63, +4.92%) and Merck (MRK 116.91, +3.54, +3.12%).

[BRIEFING.COM] The S&P 500 (-0.3%), Nasdaq Composite (-0.7%), and DJIA (+0.3%) sit mostly lower shortly after the open. 

The broader market is once again off to a solid start, though considerable weakness in the top-weighted information technology sector (-1.7%) limits growth at the index level. 

Microsoft (MSFT 416.17, -7.20, -1.70%) continues to come under pressure following its earnings release last week, while a sluggish start from NVIDIA (NVDA 183.36, -2.25, -1.21%) and other semiconductor names adds to the weakness. 

Teradyne (TER 276.35, +26.82, +10.75%) and Palantir Technologies (PLTR 155.68, +7.90, +5.35%) are both sharply higher after their earnings reports, though the gains are considerably narrowed from their best premarket levels. 

Meanwhile, eight S&P 500 sectors trade higher. 

A rebound in gold, silver, and oil prices lifts the materials (+2.0%) and energy (+1.3%) sectors to the top of the early leaderboard. 

The utilities sector (+1.2%) also holds a solid gain after retreating yesterday. 

Elsewhere, earnings continue to dominate action, with most sectors' best and worst performing names a result of the latest batch of earnings reports. 

The stock market is on track for a mostly higher opening as stocks look to build upon a solid start to a busy week of earnings. The S&P 500 and DJIA now enter today's session less than 0.5% below their respective all-time highs. 

Precious metals prices are on the rebound following a slide from their own recent all-time levels. Gold futures are up 6.4%, while silver futures are up 13.5%.

Elsewhere, Walt Disney (DIS 105.95, +1.50, +1.4%) looks to take back a chunk of yesterday's post-earnings weakness. The company's Board of Directors announced today that, in a unanimous vote held on Monday, it elected Disney Experiences Chairman Josh D'Amaro to become Chief Executive Officer of The Walt Disney Company, effective at the upcoming Annual Meeting on March 18, 2026, when he will succeed longtime Disney CEO Robert A. Iger.

The S&P 500 futures currently trade 14 points above fair value.

Equity indices in the Asia-Pacific region rallied on Tuesday with South Korea's Kospi (+6.8%) and Japan's Nikkei (+3.9%) closing at fresh record highs. Japan sold 10-yr JGBs to somewhat underwhelming demand. Shanghai has set its growth target for this year at 5.0%, down from 5.4% in 2025. The Reserve Bank of Australia raised its cash rate by 25 basis points to 3.85%, as expected. The central bank hinted at the possibility of more hikes ahead due to an upward revision to the inflation outlook, causing the market to price in two more hikes for the remainder of 2026.

• In economic data:
  • Japan's January Monetary Base -9.5% yr/yr (expected -10.3%; last -9.8%)
  • South Korea's January CPI 0.4% m/m, as expected (last 0.3%); 2.0% yr/yr (expected 2.1%; last 2.3%)
  • Hong Kong's December Retail Sales 6.6% yr/yr (last 6.5%)
  • Australia's December Building Approvals -14.9% m/m (expected -6.2%; last 13.1%); 0.4% yr/yr (last 19.4%). December Private House Approvals 0.4% m/m (last 0.8%)
  • New Zealand's December Building Consents -4.6% m/m (last 2.7%)

---Equity Markets---

• Japan's Nikkei: +3.9%
• Hong Kong's Hang Seng: +0.2%
• China's Shanghai Composite: +1.3%
• India's Sensex: +2.5%
• South Korea's Kospi: +6.8%
• Australia's ASX All Ordinaries: +0.9%

Major European indices are mixed with Italy's MIB (+1.9%) outperforming by a wide margin thanks to strong leadership from banks after Standard & Poor's affirmed UniCredit's A- rating and upgraded its outlook to Positive from Stable. The French budget for 2026 has finally passed into law without a vote in parliament. Finance Minister Lescure said that the budget deficit will decrease to 5.0% from 5.4%. The European Central Bank released its lending survey for Q4, which revealed unexpected tightening in conditions that is expected to continue into Q1.

• In economic data:
  • France's January CPI -0.3% m/m (expected -0.1%; last 0.1%); 0.3% yr/yr (expected 0.6%; last 0.8%). December government budget deficit EUR124.7 bln (last deficit of EUR155.4 bln)
  • Spain's January Unemployment Change 30,400 (expected 13,400; last -16,300)

---Equity Markets---

• STOXX Europe 600: -0.1%
• Germany's DAX: +0.1%
• U.K.'s FTSE 100: -0.9%
• France's CAC 40: -0.3%
• Italy's FTSE MIB: +1.9%
• Spain's IBEX 35: +0.2%

The S&P 500 futures currently trade 19 points above fair value. 

Terradyne (TER 312.00, +62.47, +25.0%) is a standout after the latest round of earnings reports. The company beat EPS expectations by $0.42, beat revenue expectations, and guided Q1 EPS and revenues above consensus. 

Meanwhile, Alphabet (GOOG 349.08, +4.18, +1.2%) continues to tick higher ahead of its own earnings report after the close tomorrow.  Bloomberg reports that the company's autonomous vehicle branch, Waymo, has raised $16 billion at a roughly $126 billion valuation. 

Equity futures point to a higher opening this morning after stocks posted solid gains in their first February session yesterday. 

After an underwhelming finish to the previous week, the major averages rebounded in broad fashion yesterday, with firm expansion in the January ISM Manufacturing Index (52.6%; Briefing.com consensus: 48.3%) giving a boost to the market's growth outlook.

The market will not receive a lift from today's scheduled economic data, as the partial government shutdown has delayed the release of the December Job Openings and Labor Turnover (JOLTS) report.

The House will vote today to reopen the government. The bill funds most government agencies until September 30 & DHS until February 13. House Speaker Mike Johnson is confident the bill will pass after President Trump supported the bill without any changes, according to NBC News. 

In the meantime, earnings continue to be a key driver of price action, with over 100 S&P 500 companies set to report this week, including a few mega-cap tech companies. 

In corporate news:

• SpaceX and xAI are set to merge into a single company with a valuation of around $1.25 trillion.
• Merck (MRK 112.49, -0.88, -0.8%) beat EPS expectations by $0.03 and beat revenue expectations. The company guided FY26 EPS and revenues below consensus. 
• OpenAI's Sam Altman, via X, refuted claims that the company is dissatisfied with some of NVIDIA's (NVDA 187.02, +1.41, +0.8%) chips.
• Palantir Technologies (PLTR 163.99, +16.22, +11.0%) beat EPS expectations by $0.02, beat revenue expectations, and guided Q1 and FY26 revenues above consensus. Robert W. Baird upgraded the stock to Outperform from Neutral with a target price of $200.

Reviewing overnight developments:

Equity indices in the Asia-Pacific region rallied on Tuesday, with South Korea's Kospi (+6.8%) and Japan's Nikkei (+3.9%) closing at fresh record highs. Japan's Nikkei: +3.9%, Hong Kong's Hang Seng: +0.2%, China's Shanghai Composite: +1.3%, India's Sensex: +2.5%, South Korea's Kospi: +6.8%, Australia's ASX All Ordinaries: +0.9%.

In news:

• Japan sold 10-yr JGBs to somewhat underwhelming demand.
• Shanghai has set its growth target for this year at 5.0%, down from 5.4% in 2025.
• The Reserve Bank of Australia raised its cash rate by 25 basis points to 3.85%, as expected.
• The central bank hinted at the possibility of more hikes ahead due to an upward revision to the inflation outlook, causing the market to price in two more hikes for the remainder of 2026.

In economic data:

• Japan's January Monetary Base -9.5% yr/yr (expected -10.3%; last -9.8%)
• South Korea's January CPI 0.4% m/m, as expected (last 0.3%); 2.0% yr/yr (expected 2.1%; last 2.3%)
• Hong Kong's December Retail Sales 6.6% yr/yr (last 6.5%)
• Australia's December Building Approvals -14.9% m/m (expected -6.2%; last 13.1%); 0.4% yr/yr (last 19.4%). December Private House Approvals 0.4% m/m (last 0.8%)
• New Zealand's December Building Consents -4.6% m/m (last 2.7%)

Major European indices are mixed with Italy's MIB (+2.0%) outperforming by a wide margin thanks to strong leadership from banks after Standard & Poor's affirmed UniCredit's A- rating and upgraded its outlook to Positive from Stable. STOXX Europe 600: +0.1%, Germany's DAX: +0.4%, U.K.'s FTSE 100: -0.5%, France's CAC 40: -0.1%, Italy's FTSE MIB: +2.2%, Spain's IBEX 35: +0.1%.

In news:

• The French budget for 2026 has finally passed into law without a vote in parliament. Finance Minister Lescure said that the budget deficit will decrease to 5.0% from 5.4%.
• The European Central Bank released its lending survey for Q4, which revealed unexpected tightening in conditions that is expected to continue into Q1.

In economic data:

• France's January CPI -0.3% m/m (expected -0.1%; last 0.1%); 0.3% yr/yr (expected 0.6%; last 0.8%). December government budget deficit EUR124.7 bln (last deficit of EUR155.4 bln)
• Spain's January Unemployment Change 30,400 (expected 13,400; last -16,300)

[BRIEFING.COM] The stock market notched a winning session to start the week, with the S&P 500 (+0.5%), Nasdaq Composite (+0.6%), and DJIA (+1.1%) advancing on broad strength as the market rebounded from a mostly lower finish last week. The Russell 2000 (+1.0%) and S&P Mid Cap 400 (+0.9%) finished similarly after underperforming in the previous week. 

Stocks had a relatively easy session despite some volatility in other parts of the market. Gold and silver extended their pullback from recent record highs, Bitcoin and other cryptocurrencies faced a sharp retreat over the weekend, and a path towards negotiations between the U.S. and Iran sent oil prices sharply lower. Those factors were not completely absent from today's trade, as Robinhood Markets (HOOD 89.91, -9.57, -9.62%) was the worst performing S&P 500 name amid the weakness in crypto, and the energy sector (-2.0%) was the worst performing S&P 500 sector. 

However, they did not come to define today's session, as the market advanced with a strong "risk on" disposition. 

This morning's economic data added juice to a market that was arguably already primed for some buy-the-dip action after Friday's lower finish. The ISM Manufacturing Index (52.6%; Briefing.com consensus: 48.3%) showed manufacturing activity expanded in January, an encouraging sign for both economic and earnings growth. 

Growth names in turn rebounded from Friday's more defensive posturing, as evidenced by solid gains across smaller-cap indices, a 1.2% gain in the Invesco S&P 500 High Beta ETF, and a 1.7% gain in the PHLX Semiconductor Index. 

Strength was broad for the entirety of the session, with eight S&P 500 sectors finishing higher.

Though typically a more defensive sector, the consumer staples sector (+1.6%) finished with the widest gain, expanding upon a similar gain on Friday as Walmart (WMT 124.06, +4.92, +4.13%) and Costco (COST 968.36, +28.11, +2.99%) provided solid leadership. 

The industrials (+1.3%) sector finished similarly, with Caterpillar (CAT 690.91, +33.55, +5.10%) rebounding after a post-earnings slide, while airline names such as United Airlines (UAL 107.35, +5.03, +4.92%) and Delta Air Lines (DAL 69.08, +3.19, +4.84%) were boosted by the falling price of oil. 

The financials sector (+1.0%) rounds out the top three S&P 500 sectors, with strength also led by a rebound in several stocks that reported earnings last week, including Visa (V 333.84, +12.01, +3.73%).

Fifth Third (FITB 51.95, +1.73, +3.44%) notched a similar gain after announcing it has completed its merger with Comerica Incorporated (CMA 90.39, -2.47, -2.66%) to become the ninth largest U.S. bank. 

Meanwhile, the top-weighted information technology sector finished near the middle of the pack. 

Strength in the sector's mega-cap components was mixed today.  Apple (AAPL 270.01, +10.53, +4.06%) surged higher after a flattish response to an impressive earnings report on Friday, while Microsoft (MSFT 423.37, -6.92, -1.61%) continues to struggle after its earnings.

NVIDIA (NVDA 185.61, -5.52, -2.89%) also slid lower throughout the session, despite a relatively strong day for chipmakers.

The Vanguard Mega Cap Growth ETF (+0.2%) still notched a slight gain, with Amazon (AMZN 242.96, +3.66, +1.53%) and Alphabet (GOOG 344.90, +6.37, +1.88%) trading higher ahead of their earnings reports this week. 

In addition to the energy sector (-2.0%), the utilities (-1.5%), and real estate (-1.1%) sectors also finished lower. 

All told, today's session marked a solid rebound from a softer end to the previous week. Solid buy-the-dip interest combined with optimistic economic data lifted stocks in broad fashion, putting them on more solid footing ahead of another busy week of earnings. 

U.S. Treasuries began February with losses across the curve after backing down from their opening highs. The 2-year note yield settled up four basis points to 3.57%, and the 10-year note yield settled up three basis points to 4.28%. 

• Russell 2000: +6.4% YTD
• S&P Mid Cap 400: +4.9% YTD
• DJIA: +2.8% YTD
• S&P 500: +1.9% YTD
• Nasdaq Composite: +1.5% YTD

Reviewing today's data:

• January S&P Global U.S. Manufacturing PMI - Final 52.4; Prior 51.9
• January ISM Manufacturing Index 52.6% (Briefing.com consensus 48.3%); Prior 47.9%
  • The key takeaway from the report is that activity in the manufacturing sector revved up in January, breaking a streak of eleven straight months in a state of contraction, paced by the highest level in the new orders index since February 2022.