Market Signals: Dispersion Deepens As AI Pressures Software, Geopolitical Risks Escalate

Russell Investments reports sharp performance divergence across sectors, regions, and stocks in February

Published on Mar. 6, 2026

Got story updates? Submit your updates here. ›

The MSCI World Index rose 0.73% in February, but investment management firm Russell Investments noted that performance diverged sharply across sectors, regions, and individual stocks. The firm cited the growing impact of artificial intelligence on the software industry as well as escalating geopolitical risks as key factors driving this market dispersion.

Why it matters

The deepening dispersion in market performance highlights the increasing complexity and uncertainty facing global investors. As AI disrupts traditional software business models and geopolitical tensions rise, investors will need to carefully navigate these shifting dynamics to identify opportunities and mitigate risks.

The details

Russell Investments, a leading global investment solutions provider, reported that the MSCI World Index rose 0.73% in February. However, the firm noted that performance varied significantly across different sectors, regions, and individual stocks. The growing impact of artificial intelligence on the software industry was cited as a key driver of this dispersion, as AI technologies pressure traditional software business models. Additionally, escalating geopolitical risks, such as ongoing trade disputes and military conflicts, were highlighted as contributing to the divergent market performance.

  • The MSCI World Index rose 0.73% in February 2026.

The players

Russell Investments

A leading global investment solutions provider with $331 billion in assets under management as of December 31, 2024. The firm has been building a legacy of continuous innovation to deliver exceptional value to clients since 1936.

Got photos? Submit your photos here. ›

The takeaway

The deepening market dispersion underscores the need for investors to closely monitor the impact of disruptive technologies like AI and carefully assess geopolitical risks in order to navigate the increasingly complex global investment landscape.