Global Markets Weekly Update
Date: February 13, 2026
U.S. Market Insights
Major U.S. stock indexes declined due to concerns over the disruptive potential of artificial intelligence (AI). The Nasdaq Composite fell 2.10%, while the S&P 500 and Dow Jones Industrial Average dropped 1.39% and 1.23%, respectively. The S&P MidCap 400 Index fared better with a 0.66% decline.
In January, U.S. employers added 130,000 jobs, the highest monthly gain in over a year, leading to a decrease in the unemployment rate to 4.3%. This strong job growth dampened expectations for a near-term rate cut by the Federal Reserve.
Headline inflation showed signs of cooling, with the Consumer Price Index (CPI) rising 0.2% month-over-month and 2.4% year-over-year. Retail sales, however, stalled, remaining unchanged in December.
U.S. Treasuries saw positive returns as yields declined, while investment-grade corporate bonds also posted gains but lagged behind Treasuries.
Market Performance Summary
| Index | Friday's Close | Week's Change | % Change YTD |
|---|---|---|---|
| DJIA | 49,500.93 | -614.74 | 2.99% |
| S&P 500 | 6,836.17 | -96.13 | -0.14% |
| Nasdaq Composite | 22,546.67 | -484.54 | -2.99% |
| S&P MidCap 400 | 3,563.45 | -23.56 | 7.82% |
| Russell 2000 | 2,646.70 | -23.64 | 6.64% |
European Market Insights
The pan-European STOXX Europe 600 Index reached a new high but ended the week broadly unchanged. The eurozone economy grew by 0.3% in Q4 2025, with Spain showing the strongest performance.
Employment in the eurozone rose by 0.2%, with notable job growth in Spain, while Germany experienced a small contraction in employment. The UK faced political uncertainty, impacting investor sentiment, despite a modest GDP increase of 0.1% in Q4 2025.
Japanese Market Insights
Japan's stock markets surged following the Liberal Democratic Party's electoral victory, with the Nikkei 225 Index gaining 4.96%. The election results are expected to lead to increased fiscal spending and potential constitutional amendments.
The yen strengthened against the U.S. dollar, and the yield on Japanese government bonds remained stable.
Chinese Market Insights
Chinese stocks ended the week modestly higher ahead of the Lunar New Year. Consumer inflation eased, while producer prices remained in deflation. The People's Bank of China reaffirmed a "moderately loose" monetary policy for 2026.
Other Key Markets
In Argentina, consumer prices rose to 2.9% in January, while Brazil's inflation was reported at 0.33% month-over-month, remaining within the central bank's target range.
Important Information: This material is for informational purposes only and is not intended as investment advice. Past performance is not indicative of future results.