Market Wrap Summary - February 26, 2026
By Elior Manier
Market Overview
On February 26, 2026, traders experienced a wave of profit-taking following Nvidia's record earnings report, which initially led to a volatile reaction in equity markets. Nvidia's stock price surged to $68.13, reflecting a 70% year-over-year increase, but subsequently faced a decline of 5.42% as investors began to question the sustainability of such high expectations.
Market Sentiment
Despite the bearish price action, dip-buyers emerged at the 200-Hour Moving Averages across various indexes, indicating that the market is not in a dire state. The overall sentiment remains cautious, with traders looking for reasons to take profits after significant gains throughout 2025. The market has shown a pattern of rallies being faded and dips being bought, suggesting a range-bound trading environment.
Geopolitical Influences
The outcome of the US-Iran talks in Geneva contributed to market dynamics, with progress reported on nuclear negotiations. This development provided a temporary boost to market sentiment, although the overall trading session leaned towards a risk-off approach.
Asset Performance
In the cross-asset performance, bonds, gold, and oil prices closed higher, while global stocks and cryptocurrencies faced declines. The market's defensive sectors showed some resilience, although technology and semiconductor stocks were notably impacted.
Currency Movements
The US Dollar remains a focal point for traders, with its performance being closely monitored amid ongoing geopolitical developments. The British Pound showed signs of weakness, while the Australian and New Zealand dollars also eased due to shifting market sentiments.
Looking Ahead
As the month-end approaches, traders are advised to prepare for increased volatility and potential wild flows. Key economic data releases are expected, including US Producer Price Index (PPI) and Canadian GDP figures, which will be crucial for market direction.