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With foreign stocks outperforming domestic stocks, investors are getting products tied to international indexes with downside protection.
AI-fueled tech selling and weak labor signals rattled major U.S. indexes today, with software stocks in freefall, Feb. 5, 2026.
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Stock indexes pressured by tech weakness
Stock indexes are mostly lower today, led by the weakness in chipmakers, data storage companies, and software makers, as profit-taking set in after a strong rally to begin the year. Losses are contained in the broader market as defense stocks rally after President Trump signaled plans to ramp up military spending to $1.5 trillion next year.
While the S&P 500 is currently up more than 17% year to date, several indexes outside of the U.S. saw even stronger growth in 2025. This includes the Korean KOSPI Composite Index, which is up over 75% annually. Meanwhile, the FTSE Greece has gained over 53%.
Jan 29 (Reuters) - U.S. stock index futures edged higher on Thursday, as investors weighed another surge in AI-related spending from the tech mega-caps and the Federal Reserve held rates steady as expected.
Learn about the Nikkei 225, Japan's premier stock index, and how it showcases top blue-chip companies, providing a snapshot of the Tokyo Stock Exchange.
Wall Street's major averages ended mixed on Wednesday, with the S&P 500 (SP500) and the Nasdaq Composite (COMP:IND) extending tech-related losses, while the Dow (DJI) performed well. Investors awaited Alphabet (GOOGL) earnings and assessed a softer-than-expected U.