Market Recap: Dow Rises 0.53% as Energy Sectors Surge; Nasdaq Falls 1.51% Amid AI Fears; Super Micro (SMCI) Jumps 13.78%

The U.S. market closed with a mixed performance on February 4, 2026, as energy and materials sectors surged while tech stocks faltered. The Dow Jones Industrial Average rose 0.53% to 49,501.30, driven by energy gains and strong earnings from industrial firms. The S&P 500 fell 0.51% to 6,882.72, and the Nasdaq Composite plummeted 1.51% to 22,904.58, pressured by AI-driven automation concerns and weak guidance from chipmakers. Commodities saw divergent trends: WTI crude oil jumped 2.09% to $64.53, gold rose 1.06% to $4,987.30, and silver surged 5.23% to $87.655, while copper dropped 2.60% to $5.9280. Energy (+1.42%) and industrials (+0.24%) led sector gains, while information technology (-2.15%) and communication services (-1.27%) lagged. Market sentiment remains split between energy optimism and tech caution.

Hot Stocks

Tech Giants:

• Apple (AAPL): +2.60%
• Microsoft (MSFT): +0.72%
• Alphabet (GOOG): -2.16%
• Amazon (AMZN): -2.36%
• Meta (META): -3.28%
• Nvidia (NVDA): -3.41%
• Tesla (TSLA): -3.78%

Earnings & Momentum Leaders:

• Super Micro (SMCI): +13.78%
• Carlisle Companies (CSL): +11.11%
• Fortive (FTV): +10.63%
• Eli Lilly (LLY): +10.33%
• Old Dominion Freight (ODFL): +9.89%
• CDW (CDW): +9.45%
• Smurfit WestRock (SW): +8.53%
• Amgen (AMGN): +8.15%
• Amcor (AMCR): +8.10%

Notable Movers:

• Alcoa (AA): -5.20%
• Fabrinet (FN): -5.69%
• XTL Biopharma (XTLB): +27.91%
• GridAI (GRDX): -10.17%
• VeraDermics (MANE): +122.06%

Analysts Opinions

Analysts highlighted diverging market dynamics. Energy and materials sectors benefited from strong earnings and commodity price gains, while tech stocks faced headwinds from AI-driven automation fears and supply chain uncertainties. Qualcomm’s weaker-than-expected forecast due to memory chip shortages underscored near-term risks for semiconductor firms. Meanwhile, Eli Lilly’s 20% sales growth projection and Alphabet’s $175–185 billion 2026 capex plans signaled optimism in healthcare and AI infrastructure. However, geopolitical tensions over AI chip exports to China and regulatory scrutiny of crypto projects like Tether’s scaled-back fundraising added volatility. Analysts urged caution in tech-heavy portfolios but remained bullish on energy and industrial plays.

Macro & Corporate Narratives

1. Fed Maintains Bank Capital Buffers Until 2027

The Federal Reserve announced it will keep large bank capital buffers unchanged during the 2026 stress testing cycle, delaying adjustments until 2027. The decision aims to refine stress testing models and enhance transparency, reflecting ongoing efforts to balance regulatory stability with adaptive risk management.

2. Anthropic Trolls OpenAI in Super Bowl Ad Campaign

Anthropic’s Super Bowl ads mocked OpenAI’s ad integration in ChatGPT, highlighting risks of AI-generated content being influenced by ads. The move, timed with Anthropic’s IPO plans, raised questions about long-term ad-free strategies and broader implications for AI business models.

3. Qualcomm’s Weaker Forecast Sparks Tech Sell-Off

Qualcomm reported Q4 results that beat revenue and EPS estimates but issued a weaker-than-expected forecast due to memory chip shortages. The stock fell 8%, intensifying fears of supply chain disruptions and near-term margin pressures for tech firms.

4. Alphabet’s $175–185 Billion AI Capex Plan

Alphabet announced a 2026 capital expenditure target of $175–185 billion, a sharp increase from analyst expectations. The spending will focus on AI infrastructure, including Google Cloud expansion and Gemini AI model development, positioning the company as a key player in the generative AI transition.

5. AI Fears Drive Tech Sector Plunge

Tech stocks fell sharply as AI-driven automation tools sparked fears of market disruption. The Nasdaq lost $800 billion in value, with chipmakers like AMD (-17%) and Micron (-13%) leading declines. Analysts noted a shift in investor sentiment toward AI as a potential threat to traditional software models.

6. Trump-Xi Call and Geopolitical Tensions

U.S. President Trump and Chinese President Xi held a call ahead of a planned in-person meeting, amid ongoing tensions over trade and sanctions. The U.S. delay in approving AI chip exports to China added uncertainty for semiconductor firms like Broadcom and Seagate, contributing to sector-wide declines.