New York, February 13, 2026, 12:20 EST — Regular session
- Qualcomm picked up roughly 2% in midday trading, as investors responded to a softer U.S. inflation reading.
- Applied Materials’ bright outlook gave chip stocks a lift, bringing stability back to semiconductor names as demand picked up.
- Next up: a shortened U.S. trading week, with important U.S. data expected on Feb. 20.
Qualcomm rose 1.7% to $140.89 by midday Friday, coming off a previous close of $138.47. The shares moved in a range from $136.55 to $141.10.
Investors reacted to a U.S. inflation report showing milder numbers than forecasts, with headline CPI up just 0.2% in January. Stripping out food and energy, “core” CPI posted a 0.3% gain, according to the Labor Department. Reuters
Chip stocks caught a bid, with Applied Materials rallying on a second-quarter forecast that topped Wall Street’s expectations. The company flagged AI-driven demand and a tightening memory market as key drivers. “Fueled by the acceleration” in AI computing investment, CEO Gary Dickerson said, the outlook boosted shares of Lam Research and KLA as well. Reuters
That was enough to claw back some losses from Thursday’s rout, which saw U.S. stocks tumble and the Nasdaq lose nearly 2% on renewed anxiety over “AI disruption.” “We see this as a ‘prove it’ year for AI,” said Jack Herr, primary investment analyst at GuideStone Funds. Reuters
Qualcomm shares have struggled this month, after the company flagged a global memory shortage that’s putting the brakes on smartphone demand and clouding its short-term outlook. “I’m very happy with the business — I just wish we had more memory,” CEO Cristiano Amon told Reuters. But the pressure isn’t likely to ease soon, analysts say. Bob O’Donnell, chief analyst at TECHnalysis Research, expects the supply crunch to drag on for “the next several quarters,” especially with headwinds from Chinese customers. Reuters
Investors are still wrestling with the timing of potential Fed rate cuts. “The inflation report is better than expected,” said Phil Orlando, chief market strategist at Federated Hermes. But some caution that sticky price gains in “supercore” services — core services minus shelter — might muddy the outlook for easier policy. Reuters
Even with the softer headline number, Qualcomm’s immediate challenge remains: Do handset makers keep cutting production if memory prices don’t ease and supply remains constrained? A jump in Treasury yields could shake the risk appetite that’s been supporting segments of tech.
Volatility may stick around next week. Art Hogan, chief market strategist at B Riley Wealth, likened the mood to a “whack-a-mole game,” with investors scrambling to figure out AI’s next target. Earnings are also in focus — Walmart’s numbers will give another snapshot of consumer demand. Reuters
U.S. stock and bond markets shut down Monday, Feb. 16, for Presidents’ Day. Trading will pick back up Tuesday.
Feb. 20 brings the next macro hurdle: that’s when the Bureau of Economic Analysis drops its advance read on fourth-quarter GDP, along with the Personal Income and Outlays numbers. That release also packs the latest Personal Consumption Expenditures price index—the Fed’s preferred inflation measure as it chases the 2% goal.
