North American Morning Briefing: Stock Futures Climb on Tech Buying

Investors snap up tech shares that have taken a battering from AI fears; Fed minutes, economic data in focus

Published on Feb. 21, 2026

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Stock futures were gaining Wednesday as investors snapped up tech shares that have taken a battering of late from AI fears. The Nasdaq broke a four-session losing streak Tuesday and is on course to open higher today, though volatility remains a key theme. Investors are also monitoring U.S.-Iran talks after signs of progress, while awaiting minutes from the Federal Reserve's latest rate-setting meeting that could signal the potential for cuts over the next few months.

Why it matters

The tech sector has been under pressure recently due to concerns over the impact of artificial intelligence on traditional business models. Investors are closely watching the Fed's next moves on interest rates, which could have significant implications for the broader market. The progress in U.S.-Iran talks is also a closely watched development given its potential impact on geopolitics and energy markets.

The details

Stock futures were gaining Wednesday as investors snapped up tech shares that have taken a battering of late from AI fears. The Nasdaq broke a four-session losing streak Tuesday and is on course to open higher today, though volatility remains a key theme. "Jitters over the broad AI theme persist," Pepperstone said. "While last week the concern seemed to be that AI would eat traditional business models for breakfast in various sectors, we now seem to have flipped to something of an opposite worry-namely, that insane capex shan't produce meaningful return on investment over a reasonable period." Meanwhile, minutes due from the Federal Reserve's latest rate-setting meeting could signal the potential for cuts over the next few months. Investors are also monitoring U.S.-Iran talks after signs of progress.

  • The Nasdaq broke a four-session losing streak on Tuesday.

The players

Pepperstone

A financial services firm that provided commentary on the market's concerns over AI and its impact on traditional business models.

Federal Reserve

The central bank of the United States, which is expected to release minutes from its latest rate-setting meeting that could signal the potential for future rate cuts.

United States

The country that is engaged in talks with Iran, with signs of progress being reported.

Iran

The country that is engaged in talks with the United States, with signs of progress being reported.

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What they’re saying

“Jitters over the broad AI theme persist. While last week the concern seemed to be that AI would eat traditional business models for breakfast in various sectors, we now seem to have flipped to something of an opposite worry-namely, that insane capex shan't produce meaningful return on investment over a reasonable period.”

— Pepperstone (Dow Jones)

What’s next

The minutes of the Federal Reserve's January FOMC meeting, as well as economic data releases such as Industrial Production, Capacity Utilization, Housing Starts, and Durable Goods, are expected to be closely watched by investors for clues on the central bank's future policy decisions.

The takeaway

The tech sector's recent volatility, driven by concerns over the impact of artificial intelligence, and the Federal Reserve's upcoming policy decisions are key factors that will continue to shape the market's direction in the near term. Investors will also be closely monitoring the progress of the U.S.-Iran talks and their potential implications for geopolitics and energy markets.