New York, Feb 2, 2026, 08:50 EST — Premarket
- Rocket Companies shares plunged 13.7% to close at $17.93 on Friday, dragged down by heavy selling pressure.
- Rate-sensitive stocks are in focus as fresh market volatility stirs ahead of upcoming U.S. data.
- Monday’s factory gauge and Friday’s U.S. jobs report are in focus as traders hunt for clues on the next rate move.
Rocket Companies shares grabbed attention heading into Monday after the mortgage lender’s stock plunged 13.67% to close at $17.93 on Friday. Volume surged to roughly 87 million shares. Other players in the space, like UWM Holdings, also dropped sharply, slipping into double-digit losses. (MarketWatch)
Why it matters now: markets are jittery, and any shift in the U.S. interest-rate outlook quickly weighs on mortgage stocks. “Markets are trading cautiously as investors navigate a dense macro calendar and recalibrate expectations around the pace of global monetary easing,” noted Daniela Hathorn, senior market analyst at Capital.com. (Reuters)
Tensions rose when President Donald Trump picked Kevin Warsh to replace Jerome Powell at the Federal Reserve, a choice investors widely saw as hawkish. Commodity prices took a bigger hit after CME Group boosted margin requirements — the upfront cash traders need to hold futures — triggering more forced selling. Vivek Dhar from Commonwealth Bank of Australia noted that markets view Warsh as “more hawkish.” (Reuters)
Rocket’s fortunes are closely linked to mortgage demand, which in turn depends on interest rates. When rates drop, homeowners rush to refinance and buyers become more active. But when rates rise or remain high, originations slow down and margins often get squeezed.
Based in Detroit, the company operates a fintech platform centered on Rocket Mortgage and a suite of homeownership and personal finance brands, such as Redfin and Mr. Cooper. (Rocket Companies Investor Relations)
Friday’s surge in volume points to rapid moves rather than cautious buying. That dynamic can swing either way: the positions behind the sell-off might unwind if rate concerns fade, but if risk-off sentiment returns, the next leg down could come hard and fast.
Plain risks remain. Should U.S. data come in hotter than expected, yields could climb and markets might delay bets on rate cuts, squeezing mortgage demand further. On top of that, volatility from leveraged unwinds can skew price action, disconnecting moves from the underlying company fundamentals.
The week ahead is packed with key data that could jolt rate-sensitive stocks. Monday at 10:00 a.m. ET brings the Institute for Supply Management’s manufacturing PMI, a closely watched gauge of factory activity. Then, on Feb. 6 at 8:30 a.m. ET, the Bureau of Labor Statistics will drop its January employment report. (Ismworld)
