New York, Feb 7, 2026, 13:39 EST — The market has shut down for the day.
- The Utilities Select Sector SPDR ETF (XLU) finished Friday with a 0.58% gain, lagging behind the broader market’s jump.
- U.S. jobs numbers and inflation readings are on deck, and investors are bracing for moves in Treasury yields and a shift in rate expectations.
- Duke Energy will deliver its quarterly results on Feb. 10, with investors watching utility guidance closely.
Utilities shares in the U.S. ended Friday up, with the Utilities Select Sector SPDR ETF (XLU) inching 0.58% higher to finish at $43.35. Not much movement compared to the broader market: the S&P 500 jumped 1.97%, and the Dow pushed up 2.47% to hit 50,115.67. 1
The gap’s important right now: utilities, as dividend-heavy “bond proxies,” fill the role of income stand-in for many investors. But when Treasury yields climb, safer bond payouts start looking more attractive, putting pressure on utility valuations.
All eyes now swing to the U.S. economic calendar. The Employment Situation report for January lands Wednesday, Feb. 11 at 8:30 a.m. ET. Then, the January Consumer Price Index hits Friday, Feb. 13, also at 8:30 a.m. ET, per the U.S. Bureau of Labor Statistics release schedule. 2
The broader market has seen a jumble as rotation throws things off course. According to Reuters, investors are moving capital out of beleaguered tech and into traditional “old-economy” sectors, with most now looking toward a potential Federal Reserve rate cut likely around June. “Rotation is the dominant theme this year,” said Angelo Kourkafas, senior global investment strategist at Edward Jones. 3
Bond traders closed out the week zeroed in on the front end of the curve, where the two-year Treasury yield ticked up 1.5 basis points to 3.498% on Friday. The 10-year held steady, stuck near 4.21%, according to Reuters. Scott Pike, senior portfolio manager at Income Research + Management, called the market “hyper-focused” on labor data, adding that the Fed’s direction may only shift if there’s “a surprise in the nonfarm payrolls report.” 4
Utility stocks diverged. AES Corp climbed 2.95% to $16.05. Duke Energy dropped 1.26%, closing at $121.86. NextEra Energy inched up 0.29%. Dominion Energy, down 0.30%. That’s all MarketWatch data. 5
There’s also the question of earnings and guidance for investors to digest. Duke Energy plans to release its fourth-quarter 2025 numbers on Feb. 10, ahead of the bell, with CEO Harry Sideris and CFO Brian Savoy set for a call later that morning. 6
Utilities face a clear-cut risk here: if jobs reports come in hot or inflation refuses to budge, yields go up, and that usually dents appetite for dividend-paying stocks tied to rates. Disappointing numbers can flip that dynamic—though they might also spark doubts about the economy’s pace and electricity consumption, particularly for firms banking on hefty capital outlays.
Utilities investors will have their eyes on bonds before anything else when trading picks up Monday. The key events: Duke reports Feb. 10, which could set the tone for sector guidance, followed by the jobs numbers on Feb. 11 and CPI out Feb. 13.
