On February 5, 2026, U.S. stock markets are experiencing significant declines, with the S&P 500 Index down 0.50%, the Dow Jones Industrials Index down 0.47%, and the Nasdaq 100 Index down 0.40%. Notably, Qualcomm shares have dropped over 9% after the company projected weaker Q2 revenue, while Alphabet’s stock is down 3% following a forecast of full-year 2026 capital expenditures between $175 billion and $185 billion, well above analysts’ expectations.
Economic indicators also highlight a weakening labor market, as January job cuts have increased by 117.8% year-on-year to 108,435—the highest for January since 2009. Additionally, weekly initial unemployment claims rose by 22,000 to 231,000, surpassing the forecast of 212,000. As a result, T-notes have risen amid decreased inflation expectations, with the 10-year T-note yield dropping to 4.234%.
Globally, stock markets are lower, with the Euro Stoxx 50 down 1.05% and Japan’s Nikkei Stock 225 down 0.88%. The upcoming week’s focus will be earnings reports, with 150 S&P 500 companies set to report; so far, 81% of those that have reported have exceeded expectations, driving a forecasted 8.4% growth in S&P earnings for Q4.
