Stocks finished a shortened four-session week higher, as technology-led momentum outweighed concerns about slower economic growth, sticky inflation, and geopolitical tensions. While volatility surfaced midweek, strength in select growth names helped carry markets into Friday.

Key Takeaways

Technology stocks led gains despite ongoing AI disruption concerns
Markets looked past weaker GDP data and sticky inflation late in the week
Geopolitical tensions and private credit worries pressured sentiment midweek
A Supreme Court ruling on tariffs helped fuel Friday’s rally

YCharts.com, February 21, 2026. Weekly performance is measured from Friday, February 13, to Friday, February 20.

Market Performance Snapshot

The S&P 500 Index advanced 1.07% for the week, while the Nasdaq Composite rallied 1.51%, reflecting renewed strength in technology and growth-oriented names. The Dow Jones Industrial Average rose 0.25%, lagging its peers.

Developed international stocks also moved higher, with the MSCI EAFE Index gaining 0.75%. Performance suggested a selective risk-on tone, with investors favoring innovation-driven sectors even as macroeconomic data pointed to moderating growth.

Focus Returns to Technology

Markets opened the shortened week cautiously, with investor anxiety lingering around artificial intelligence disruption within the software industry. Early gains were modest as traders weighed how AI may reshape competitive dynamics.

Momentum improved as the week progressed. Technology stocks, including several lesser-known names, advanced as investors reviewed minutes from the Federal Reserve’s January meeting. The tone suggested policymakers remain attentive to inflation but are not signaling imminent policy shifts.

However, sentiment wavered midweek as geopolitical tensions in the Middle East and concerns surrounding private credit markets pressured equities.

Friday Shifts the Narrative

Markets turned decisively higher on Friday after the Supreme Court struck down White House tariffs. While the decision had been anticipated, its timing caught investors off guard and provided a catalyst for renewed buying.

The rally overshadowed economic data that painted a more cautious picture. Fourth-quarter GDP rose 1.4 percent, below expectations and down from the prior quarter’s pace. The slowdown reflected weaker federal and consumer spending, partly influenced by the government shutdown.

Inflation data remained firm, reinforcing the view that price pressures have cooled but not fully subsided. Still, investors appeared to focus on the tariff ruling and potential implications for corporate pricing flexibility.

This Week: Key Economic Data

Monday
Factory Orders (December)
Fed Governor Christopher Waller speaks

Tuesday
S&P Case-Shiller Home Price Index (December)
Wholesale Inventories (December)
Consumer Confidence
Fed Presidents Austan Goolsbee (Chicago) and Raphael Bostic (Atlanta) speak
Fed Governors Christopher Waller and Lisa Cook speak

Wednesday
Richmond Fed President Tom Barkin speaks

Thursday
Weekly Jobless Claims

Friday
Producer Price Index (January)
Construction Spending (November, December)

This Week: Companies Reporting Earnings

Tuesday
The Home Depot, Inc. (HD)
Constellation Energy Corporation (CEG)
American Tower Corporation (AMT)

Wednesday
NVIDIA Corporation (NVDA)
Salesforce, Inc. (CRM)
The TJX Companies, Inc. (TJX)
Lowe’s Companies, Inc. (LOW)
Synopsys, Inc. (SNPS)

Thursday
Intuit Inc. (INTU)
Monster Beverage Corporation (MNST)
Dell Technologies Inc. (DELL)
Warner Bros. Discovery, Inc. (WBD)

Friday
Berkshire Hathaway Inc. (BRK.A, BRK.B)

Brothers and sisters, I have none, but this man's father is my father's son. Who am I talking about?

Last Week's Riddle: Olivia throws a softball as hard as she can, and even though it doesn’t touch anything and nobody touches it, the softball comes right back to her. How is this possible?

Answer: She throws it straight up in the air.

Footnotes And Sources

1. WSJ.com, February 20, 2026
2. Investing.com, February 20, 2026
3. CNBC.com, February 17, 2026
4. CNBC.com, February 19, 2026
5. Investors Business Daily, Econoday economic calendar, February 20, 2026.
6. Zacks, February 20, 2026

This material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG Suite is not affiliated with Bethesda Wealth Planning Group.

Weekly: Tech Momentum Outpaces Slowing Growth Concerns