Today's stories that matter
February 6, 2026
Markets are choppy as stocks bounce after a sell-off, U.S. job cuts surge, and bond yields steepen. Labor softness and rate signals are driving volatility, while global central banks lean cautious and regional equity performance diverges.
Equities
High Impact
📉 Market swings continue as stock sell-off meets rebound bounce
#1
US stocks whipsawed this week after a sharp sell-off driven by tech weakness and AI valuation worries. On Friday, buyers stepped in: the S&P 500 rose ~0.9%, the Dow ~1.2%, and the Nasdaq ~0.8%. Bitcoin stabilized near ~$66,000 after a steep drop below ~$63,000.
Why it matters:
High volatility can weigh on confidence even without a recession—signaling investors remain sensitive to risk and long-term profitability.
Equities
High Impact
📊 US job cuts hit worst January since 2009
#2
US companies announced roughly 108,000 job cuts in January, the highest for that month since 2009. Job openings also fell to a five-year low, and unemployment claims edged higher, pointing to a softening labor market.
Why it matters:
Labor weakness can cool consumer spending and push the Fed toward a more cautious or supportive rate stance.
Fixed Income
Medium Impact
📈 Treasury yield curve steepens to a 4-year high
#3
The gap between 10-year and 2-year Treasury yields widened to its steepest level in about four years. The move reflects rising long-term yields driven by heavy Treasury issuance and investor positioning, not just growth optimism.
Why it matters:
Yield-curve shifts affect bank profitability, borrowing costs, and asset valuations across the economy.
Currencies
Medium Impact
💷 Bank of England holds rates, hints at cuts ahead
#4
The BoE kept rates at 3.75% in a narrow 5–4 vote, signaling that easing could come later as inflation cools. Slower growth and rising unemployment projections weighed on policymakers.
Why it matters:
Diverging rate paths move currencies and global capital flows, shaping returns for international investors.
Equities
Medium Impact
📉 Asia markets pressured by tech slump, Japan shows resilience
#5
Asian equities mostly fell as U.S. tech weakness spilled over, with Hong Kong’s Hang Seng down more than 1%. Japan’s Nikkei defied the trend, rising about 230 points on domestic strength.
Why it matters:
Divergent regional performance highlights how local fundamentals and sector exposure can override global trends.