New York, Feb 13, 2026, 13:13 EST — Regular session
- Investors kept a cautious stance on AI megacaps, sending shares of Nvidia and Alphabet lower.
- Applied Materials jumped, with the company projecting results that topped estimates.
- Microsoft shares held steady after the FTC ramped up scrutiny over how the company bundles AI with its cloud services.
Friday afternoon, AI names diverged: Nvidia (NVDA) slipped 1.5% to $184.16, with Alphabet (GOOGL) down 0.8%. Applied Materials (AMAT) surged 9.0% to $357.87, its bullish guidance pointing to continued strong investment from chipmakers chasing AI demand.
U.S. inflation numbers eased off, giving markets a bit of a lift, but skepticism remains around AI capital spending—big-ticket outlays like data centers. The “Magnificent Seven” tech giants are expected to shell out a collective $650 billion. By 11:55 a.m. ET, the S&P 500 was ahead 0.53%, the Nasdaq up 0.32%, though both were still on track for their steepest weekly slump since November. “You’re discounting a lot of earnings streams that have to come to fruition,” said Brent Schutte, chief investment officer at Northwestern Mutual Wealth Management. Reuters
Soon after Anthropic rolled out its legal AI plug-in, software shares took the first hit, with losses quickly spilling into other corners of the market that traders worry might also get squeezed by automation, according to Reuters. Barclays equity strategist Emmanuel Cau described the mood as “sell first think later” as investors hunted for the next sector in AI’s firing line. Reuters
The Labor Department reported Friday that the Consumer Price Index climbed 0.2% in January, up 2.4% from the previous year. Core CPI, excluding food and energy, moved 0.3% higher for the month. Electricity prices surged 6.3% year-over-year, a jump tied to the surge in data-center demand for artificial intelligence.
Applied Materials is projecting second-quarter revenue around $7.65 billion, give or take $500 million, with adjusted earnings coming in at $2.64 a share, plus or minus 20 cents—ahead of what Wall Street was looking for. CEO Gary Dickerson attributed the guidance to “the acceleration of industry investments in AI computing.” Morningstar’s William Kerwin pointed to what he described as “a massive wafer fabrication equipment growth cycle” on the horizon over the next three years. Reuters
Shares of Microsoft (MSFT) edged up 0.3% to $403.18, shrugging off a Bloomberg News report that the U.S. Federal Trade Commission has been reaching out to competitors for input as it intensifies its probe into Microsoft’s practices around AI, security, and identity software licenses and bundling. Microsoft and the FTC did not provide comment when contacted, Reuters reported.
Amazon (AMZN) ticked up 0.4% to $200.43. Advanced Micro Devices (AMD) posted a 1.4% gain and Palantir (PLTR) moved 2.8% higher. Broadcom (AVGO) dropped 0.4%. Meta Platforms META hovered, ending close to flat.
Wall Street took a heavy hit the previous day—Nasdaq fell roughly 2% after investors bailed on tech and transports, spooked by fresh AI disruption concerns, Reuters said. “We see this as a ‘prove it’ year for AI. We need to start seeing some return on investments,” said Jack Herr, primary investment analyst at GuideStone Funds. Reuters
Feb. 25 is circled on the calendar for AI chip names—Nvidia will release results that day, with a conference call slated for 5 p.m. ET. CFO Colette Kress will publish written remarks soon after the numbers drop. Traders are zeroed in on the company’s guidance and if demand holds up as customers weigh data center expansion.
The setup remains shaky. Core inflation keeps outpacing headline figures, and pricier tech stocks are likely to feel any uptick in bond yields right away. One cautious outlook from Nvidia could tip things further.
Investors are eyeing chip equipment stocks to see if Friday’s surge lasts through the session. There’s also the question of what regulators might do next with major AI platforms. The next scheduled event: Nvidia’s report, coming up Feb. 25.
