US Stock Market Recap: February 9, 2026

Market Overview

On February 9, 2026, the US stock markets closed with a notable bounce-back sentiment, fueled by investor optimism following the Dow Jones Industrial Average’s milestone of closing above 50,000 for the first time.

The S&P 500 saw an increase of approximately 0.5%, bringing it closer to achieving a record close, while the technology-heavy Nasdaq Composite gained about 1% as it continued to recover from previous losses.

The broader market exhibited a mixed performance, with the Dow hovering just above the flat line at -0.06%, contrasting sharply with gains in the tech sector.

Sector Performance

Within the broader index, four S&P sectors reported declines: staples (-0.87%), healthcare (-0.83%), financials (-0.14%), and utilities (-0.08%). However, these losses were offset by more substantial gains in technology (+1.69%), communication (+1.07%), and materials (+0.76%).

This divergence illustrates investors' prioritization of growth sectors as market sentiment shifts in favor of technology and AI-driven companies amid ongoing discussions about disruptive innovations.

Midday Movers

In the midday movers segment, Valaris Ltd led the market surge with an impressive increase of 28.8% after announcing its acquisition by Transocean for $5.8 billion.

Trailing closely behind, TeraWulf experienced a notable spike of 16.2% following an upgrade to Overweight by Morgan Stanley, who set a price target of $37. Applovin Corp also rebounded with a gain of 14.6% after a correction of a recent short-seller report concerning its operations.

Conversely, Kyndryl Holdings flagged the largest decline of the day, plummeting by 55.2% following the announcement of its CFO's resignation amid an accounting review, further complicating its financial outlook.

Economic Indicators and Forward Outlook

With economic data still on the horizon, investors are waiting for the forthcoming job report and consumer inflation indicators, scheduled for later in the week. These reports are expected to provide further context on the performance of the labor market and inflationary pressures that could influence monetary policy.

The recent New York Fed report indicated a decrease in inflation expectations to a median 3.1% over the next year, the lowest since July 2025, lending some reassurance to markets regarding the potential path for interest rates.

Conclusion

February 9 marked a day of recovery for US stock indices, reflecting a complex interplay between sector performances and macroeconomic signals. As investors look ahead to significant earnings reports from key companies such as Coca-Cola, McDonald's, and Cisco, the landscape remains dynamic, suggesting continued volatility influenced by both fundamentals and investor sentiment.