Wall Street Steadies After AI-Induced Sell-Off

Inflation update helps calm market concerns about AI's impact on businesses.

Published on Feb. 13, 2026

U.S. stocks stabilized on Friday after an encouraging inflation report helped alleviate Wall Street's worries about how artificial intelligence technology may disrupt the business landscape. The S&P 500 index saw only a modest change, a day after suffering one of its worst losses since Thanksgiving, while the Dow Jones Industrial Average rose slightly and the Nasdaq Composite dipped.

Why it matters

The market volatility highlights the uncertainty and anxiety around the potential impact of AI on various industries and business models. As AI capabilities rapidly advance, investors are grappling with how this transformative technology may reshape the economic landscape in the coming years.

The details

Stocks steadied after the latest inflation data provided some reassurance to investors who had been rattled by concerns over AI's potential to upend traditional business practices. The S&P 500 index saw only a modest change, recovering somewhat from the previous day's steep decline, one of its worst since the Thanksgiving holiday period. The Dow Jones Industrial Average managed a small gain, while the tech-heavy Nasdaq Composite dipped slightly.

  • The market volatility occurred on Friday, February 13, 2026.

The players

S&P 500

A stock market index that tracks the performance of 500 large-cap U.S. publicly traded companies.

Dow Jones Industrial Average

A stock market index that tracks 30 large publicly traded companies.

Nasdaq Composite

A stock market index that includes over 3,000 stocks listed on the Nasdaq stock exchange, primarily composed of technology companies.

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The takeaway

The market's reaction highlights the ongoing uncertainty and anxiety around the potential disruptive impact of AI technology on various industries and business models. As AI capabilities continue to advance, investors will likely remain cautious and closely monitor how this transformative technology reshapes the economic landscape in the coming years.