NEW YORK, Feb 26, 2026, 15:31 EST — Regular session
- Citigroup shares climbed roughly 2% in afternoon trading, building on gains from Wednesday’s rally.
- BlackRock has tapped Citi for certain “middle office” ETF services linked to its Aladdin platform, according to both companies.
- Friday brings key U.S. inflation numbers, with traders also eyeing next week’s jobs report for fresh signals on rates.
Shares of Citigroup Inc. picked up another 2% to trade at $116.54 Thursday afternoon, building on a 4.36% rally from the previous session. StockAnalysis
The stock bucked the trend Thursday as tech shares weighed heavily on U.S. indexes following Nvidia’s report, while investors shifted cash into banks and other cyclical names. “Now the news is over and there’s probably a little bit of profit taking,” said Joseph Sroka, chief investment officer at NovaPoint. Reuters
BlackRock delivered some premarket news: it picked Citi Investor Services to handle certain “middle office” tasks—the nuts and bolts connecting trading with settlement—for $4.0 trillion worth of U.S.-based iShares ETFs run on its Aladdin platform. Business Wire
Chris Cox, who leads investor services at Citi, described the mandate as a move aimed at “grow market share with global asset managers.” Derek Stein, BlackRock’s head of technology and operations, pointed to the relationship with Citi: “Citi has been a trusted partner as we evolve our ETF operating model on Aladdin.” Business Wire
Citi has been overhauling parts of its banking franchise, targeting fresh sources of deal flow and financing mandates. According to Bloomberg, the bank set up an “AI Infrastructure Banking” group, tapping senior talent from both investment and corporate banking. A Citigroup spokeswoman backed up the details from an internal memo. Bloomberg.com
Both moves signal Citi’s push to ramp up fee-driven lines and services linked to market structure and investment flows. Across the market, sentiment keeps swinging between bets on AI and nerves over rates.
One issue remains for investors: whether Citi can pull off its years-long restructuring and still deliver returns that stack up against bigger U.S. banks.
Citi announced earlier this week it’s unloading a 24% slice of its stake in Mexico’s Banamex for roughly $2.5 billion, a move that will leave the U.S. bank holding 49% after the deal. “We do not anticipate any additional sales in 2026,” the bank added. International head Ernesto Cantu confirmed the Banamex IPO is still in play, though its launch will hinge on regulatory signoff and how the market shakes out. Reuters
Thursday’s bounce, though, brings back some old worries. If bond yields drop again or incoming data pushes traders toward expecting quicker rate cuts, banks’ margins could take a hit. Any hiccups with disposals or restructuring, too, can drag the tape lower in a hurry.
The stock remains under its 52-week peak of $125.16. Traders haven’t hesitated to sell into strength when macro sentiment sours. Barchart.com
Traders are watching for Friday’s 8:30 a.m. ET release of the U.S. producer price index for January, with the February jobs report set for March 6. Both numbers have the potential to jolt rate forecasts and bank stocks. Bureau of Labor Statistics
