New York, February 14, 2026, 12:30 EST — The market is closed.
- Apple and Nvidia dragged down the “Magnificent Seven” Big Tech group Friday, with most of the bunch finishing in the red.
- Softer U.S. inflation numbers faced off against a deepening “AI disruption” selloff and mounting questions around aggressive spending.
- U.S. markets are back open Tuesday following Monday’s Washington’s Birthday holiday. Next up: Nvidia’s results, due out Feb. 25, will be closely watched.
Big Tech names struggled Friday, with prices still down as selling lost some intensity. Apple slipped 2.3% to $255.78, while Nvidia gave up 2.2% to $182.81. Meta eased 1.5%, closing at $639.77. Tesla hovered, finishing just shy of flat at $417.44.
The shifts are catching attention, with investors now sizing up artificial intelligence both as a potential profit engine and a risk to established business models. “You’ve clearly seen that breakdown in terms of the monolithic AI trade,” said Garrett Melson, portfolio strategist at Natixis Investment Managers Solutions, noting how money is flowing toward perceived winners while anything vulnerable is getting dumped. (Reuters)
The strain showed Thursday: Nasdaq dropped nearly 2%, with cash moving into defensives following another round of AI shakeup chatter. “We see this as a ‘prove it’ year for AI,” said Jack Herr, primary investment analyst at GuideStone Funds. Earnings have stirred up fresh skepticism about capex and how quickly those investments deliver. (Reuters)
Friday brought a bit of relief for rates after softer U.S. inflation numbers, but tech stocks didn’t quite rebound. January’s Consumer Price Index showed a 2.4% annual gain, coming in just under the 2.5% forecast from the Reuters poll. Even so, the Nasdaq lost ground and tech shares closed lower. Tim Holland, chief investment officer at Orion, noted the figure puts inflation “closer” to the Fed’s 2% goal than 3%, as the market’s focus stayed on potential rate cuts. (Reuters)
This wave of selling now has a name: the “AI scare trade.” It’s investors dumping stocks they fear could get gutted by automation, and the jitters aren’t staying in software. Barclays equity strategist Emmanual Cau put it this way—people are “sell first think later,” scanning the market for whatever sector looks vulnerable as new AI tools keep hitting. (Reuters)
Sentiment flipped fast for Apple. Shares tumbled 5% in Thursday’s selloff, wiping out roughly $200 billion in market value—the steepest single-day hit since last April’s tariff shock, according to Reuters’ Morning Bid column. (Reuters)
Microsoft faces a different kind of pressure. According to Bloomberg News, the U.S. Federal Trade Commission is ramping up its review of the company, asking competitors for details on Microsoft’s licensing and cloud strategies. The agency is also probing the way Microsoft bundles AI, security, and identity products, Reuters reported. (Reuters)
Nvidia’s CEO Jensen Huang is skipping his expected appearance at next week’s AI summit in India, the company said Saturday, blaming “unforeseen circumstances.” The chipmaker, a key player in the AI rally, gave no further detail. (Reuters)
Still, the main worry hasn’t changed this week: capital spending just won’t let up, supply-driven costs keep biting into margins, and stocks branded “AI losers” keep taking hits. If the Fed doesn’t deliver as many cuts as some are hoping, those high-growth megacaps could absorb more pain.
U.S. equity markets will stay shut on Monday, February 16, for Washington’s Birthday, with trading set to resume Tuesday. The pause gives traders a breather—though if the AI fear trade reignites, Tuesday’s open could get crowded fast. (nyse.com)
Eyes now shift to Nvidia, with results due out Wednesday, February 25, at 2 p.m. PT (5 p.m. ET). Fourth-quarter and fiscal-year figures land then, and investors are pegging the event as a litmus test for AI appetite and Big Tech’s willingness to keep the spending spigot open. (nvidianews.nvidia.com)
