18 February 2026 - Daily Market Updates

Markets Daily

A broad look at global markets and what’s driving sentiment today

Market snapshot (as of 6:16 a.m. ET)

S&P 500 futures: around 6897 (+0.5%)
Stoxx Europe 600: roughly 627 (+1.0%)
US 10-year Treasury yield: near 4.07% (+1 bp)
Nikkei 225: about 57144 (+1.0%)
Bitcoin: around $67300 (-0.5%)

Global overview

Equities are firmer to start the day as dip-buyers step back in following last week’s tech-led swings. Europe is extending gains with broad participation across cyclicals and financials, while Japan continues to outperform as earnings and corporate-reform themes underpin sentiment. In the US, index futures are stabilizing after a choppy stretch, with investors leaning into quality balance sheets and secular growers but staying selective in higher-duration, AI-exposed names.

Rates, FX and credit

US Treasuries are little changed, with the 10-year hovering just above 4%. Traders are balancing resilient growth data with a “higher-for-longer” policy backdrop, keeping the front end anchored and term premium in focus.
The dollar is broadly steady versus major peers, with attention on upcoming US data and global PMIs. The euro and pound are range-bound; the yen remains sensitive to rate differentials and policy expectations.
Credit markets remain orderly. Investment-grade spreads are steady, and primary issuance windows remain open, though pace and pricing discipline vary by sector.

Commodities and digital assets

Oil is trading in a tight band as supply headlines and demand indicators offset. Refined product cracks and inventory trends remain key near-term drivers.
Precious metals are steady to slightly firmer ahead of central bank updates, with haven demand and rate expectations in the mix.
Crypto is mixed, with bitcoin consolidating near the mid-$60Ks as flows rotate across large-cap tokens.

Market drivers to watch

Policy and central banks: Minutes from major central banks and speaker calendars may refine the timing and pace of any 2026 policy adjustments. Markets still expect patience, with inflation progress and labor rebalancing in focus.
Earnings season: Another busy stretch across technology, industrials, consumer and energy. Guidance on capital spending, AI-related costs, and pricing power will likely steer factor performance and sector rotations.
Macro data: Global flash PMIs, US housing trends, jobless claims, and inflation updates from key economies will shape growth and disinflation narratives.
Positioning and flows: After recent factor whipsaws, watch for rotations between megacap growth, defensives and cyclicals. Options hedging, systematic re-risking, and buyback windows may amplify intraday moves.

Equities: what’s working

Quality bias: Solid balance sheets, consistent free cash flow and visible demand pipelines continue to command premiums.
Select cyclicals: Industrials, travel/leisure and parts of energy show resilience where backlogs and pricing support margins.
Tech dispersion: Ongoing divergence within semis, software and hardware. Execution and unit-economics matter more than topline AI narratives.

Fixed income: key themes

Range-bound yields: Barring a material surprise in growth or inflation, rates likely remain in a broad range as markets await clearer guidance.
Carry over convexity: Investors continue to favor high-quality carry and laddered duration, while keeping dry powder for volatility-driven opportunities.
Credit discipline: Spreads are fair to full in many segments; security selection and covenant quality remain in the spotlight.

Portfolio considerations

Keep diversification broad across styles and regions given cross-currents in policy, growth and earnings.
Balance equity risk with duration that matches liability needs; consider barbell approaches in both equities (quality + selective cyclicals) and fixed income (short carry + intermediate core).
Maintain a clear risk framework: use defined stop levels, hedge event risk selectively and review liquidity buffers.

The day ahead

Data: Global PMIs, US housing indicators and weekly labor figures over the coming sessions.
Policy: Central bank minutes and appearances that could fine-tune rate-path expectations.
Earnings: Updates across tech, consumer, industrials and energy—watch guidance on capex, AI spend, pricing and demand elasticity.

Note: This commentary is a general market update for informational purposes only and is not investment advice. Market levels are indicative and subject to change.

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