U.S. stock markets have navigated a turbulent February 2026, with major indices swinging between gains and losses amid persistent investor concerns over artificial intelligence’s disruptive potential, elevated capital spending by tech giants, and renewed tariff threats under the current administration.

As of February 24, 2026, the Dow Jones Industrial Average closed at approximately 48,804 after dropping 822 points—or 1.7%—on February 23, its steepest single-day decline in recent weeks. The S&P 500 fell 1.04% to 6,837.75 that day, putting it in negative territory year-to-date. The Nasdaq Composite declined 1.13% to 22,627.27, reflecting pressure on technology shares that dominate the index.

The pullback accelerated on February 23 as fears of AI-induced industry disruptions combined with policy uncertainty. Cybersecurity and software stocks sold off sharply after reports highlighted advanced AI tools capable of identifying vulnerabilities faster than traditional methods, raising questions about established players’ pricing power and relevance. Broader tariff proposals—potentially raising global duties to 15% or more—added to the caution, prompting safe-haven flows into assets like gold while weighing on growth-oriented equities.

Yet the market showed resilience in subsequent sessions. On February 24, stocks rebounded modestly, with the S&P 500 rising around 0.6% and the Nasdaq 100 climbing 1% as beaten-down software names recovered. Advanced Micro Devices (AMD) surged 7% following Meta Platforms’ announcement of a multi-year, multi-gigawatt partnership to deploy AMD Instinct GPUs for AI infrastructure. The deal, valued in the tens of billions and including equity warrants, underscored continued hyperscaler demand for high-performance computing despite spending scrutiny.

Broader sentiment reflects a rotation away from mega-cap tech dominance that characterized much of 2025. Value stocks, industrials, consumer defensives, and energy sectors have shown relative strength in early 2026, driven by “real economy” tailwinds. Walmart and Costco have contributed significantly to returns, benefiting from cost-conscious consumer spending and AI data center-related demand in supply chains. Energy names like Exxon Mobil have gained from rising oil prices amid geopolitical tensions.

Analysts point to mixed signals. Morningstar’s February outlook noted the U.S. equity market trading at a 5% discount to fair value estimates, with opportunities in late-cycle tech and other areas amid anticipated higher volatility. Some observers describe 2026 as a “prove-it” year for AI investments, where massive capex from Amazon ($200 billion planned), Meta ($115-135 billion), and others must translate into earnings growth to justify valuations.

Nvidia’s fiscal fourth-quarter 2026 earnings, due after the close on February 25, loom as a major catalyst. As the dominant supplier of AI accelerators, Nvidia’s results—particularly data center revenue and forward guidance—could set the tone for the sector and broader market. Wall Street watches closely for signs that hyperscaler spending sustains momentum or faces delays, with Amazon’s recent $200 billion plan crystallizing both tailwind and risk narratives.

Economic data provides a supportive backdrop. Resilient consumer confidence, solid retail sales, and manufacturing indicators have offset some headwinds. However, policy uncertainty—including tariff implementations and potential trade frictions—continues to introduce volatility. The VIX remains relatively subdued despite choppy price action, suggesting complacency or contained risks for now.

Sector rotation stands out as a key theme. Small-cap and emerging market equities led early-year gains in some analyses, with South Korea and Taiwan benefiting from AI-driven chip demand. U.S. small caps and value stocks have outperformed growth in pockets, reversing 2025’s narrow rally led by a handful of mega-caps.

Looking ahead, investors eye upcoming corporate updates and economic releases. Positive Nvidia commentary could spark a rebound toward recent highs; softer guidance might extend the correction. Broader catalysts include Q1 earnings season ramp-up and any policy clarity on trade.

The market’s current phase highlights evolving dynamics in 2026. While AI remains a transformative force, investors increasingly demand evidence of monetization and returns amid heavy infrastructure buildouts. Rotation toward defensive, value, and cyclical areas offers diversification as tech grapples with disruption fears.

Despite near-term pressures, many strategists maintain a constructive longer-term view, citing supportive macro conditions, corporate earnings resilience, and innovation tailwinds. Volatility is expected to persist, but underlying growth drivers in AI, infrastructure, and consumer spending position equities for potential advances as the year progresses.

Craig Revel Horwood campaign and Dubai-inspired biscuits drove revenue to £695m

The confectionery behemoth behind Jammie Dodgers and Wagon Wheels experienced a surge in profits, thanks to a Strictly Come Dancing judge and a “Dubai-inspired” biscuit driving up sales.

The conglomerate, encompassing Burton’s Biscuit Company and Fox’s Biscuits, reported a nine per cent increase in revenue, reaching £695m for the year ending August 2025.

Fox’s Burton’s Companies (FBC) recruited Strictly Come Dancing panellist Craig Revel Horwood to spearhead the relaunch of its Fox’s Chocolatey range.

The group posted a pre-tax profit of £14.3m, marking a turnaround from a pre-tax loss of £6.4m in the year to August 2024, as reported by City AM.

FBC employs over 3,800 individuals in the UK, having generated hundreds of new roles last year. The company makes Jammie Dodgers at its Llantarnam site in South Wales, with other UK hubs including its Thomas Fudge bakery in Dorset, the Fox’s Biscuits plant in Batley, West Yorkshire, and production hubs in Blackpool and Kirkham, Lancashire.

The firm maintained its position as the second-largest sweet biscuit producer in the UK and expanded its market share to 13 per cent.

FBC, also the maker of Party Rings and Maryland Cookies, credited its encouraging performance to “innovation”.

The group was established following a merger between Fox’s and Burton’s, both of which were acquired by Italian chocolate firm Ferrero.

Its “Fox’s Fabulous” campaign featured dance show judge Horwood sporting a chocolate face mask and urging Brits to indulge themselves, using his signature “fabulous” catchphrase.

FBC also launched a “Dubai-style” version of its Fox’s Chocolatey brand, capitalising on the craze for chocolate made with pistachio cream and filo pastry that took the UK by storm last year.

Simon Browne, the group’s chief executive officer, said: “This financial year has been a positive year of growth across all key financial metrics, delivered through maximising the opportunities of consolidating the legacy businesses and a strong new product development pipeline.

“Despite a challenging operating environment, we have successfully outperformed the market and increased our branded sweet biscuit market share.”

Samsung Electronics Co. shares have rallied sharply in early 2026, hitting all-time highs near 200,000 won as explosive demand for AI-related memory chips propels the South Korean tech giant’s recovery and positions it as a key player in the global semiconductor supply chain.

As of February 24, 2026, Samsung (005930.KS) closed at 200,000 won, up 3.63% on the day and marking a fresh peak after climbing from around 193,000 won in recent sessions. The stock has surged more than 60% year-to-date, reflecting a dramatic turnaround fueled by record quarterly profits and aggressive advances in high-bandwidth memory (HBM) technology critical for AI accelerators.

The momentum accelerated following Samsung’s announcement in February that it had begun mass production and commercial shipments of its industry-first HBM4 chips. The sixth-generation HBM delivers consistent transfer speeds of 11.7 Gbps—up 22% from its HBM3E predecessor—with potential peaks at 13 Gbps, addressing data bottlenecks in AI computing. Samsung highlighted improved power efficiency and secure process technology, with plans to deliver HBM4E samples in the second half of 2026.

Analysts view the HBM4 rollout as a pivotal step for Samsung to regain ground in the high-margin AI memory market, where it had lagged rivals like SK Hynix. The company anticipates HBM sales to more than triple in 2026 compared to 2025, with capacity expansions underway to meet surging orders from major clients, including those building Nvidia-powered AI infrastructure.

This optimism stems from Samsung’s blockbuster fourth-quarter and full-year 2025 results, released January 29, 2026. The company posted record quarterly revenue of 93.8 trillion won (about $65.45 billion), up 9% quarter-on-quarter and 24% year-over-year. Operating profit soared to an all-time high of 20.1 trillion won, more than tripling from the prior year and surpassing analyst expectations. For the full fiscal year, revenue reached 333.6 trillion won, up 11%, while operating profit stood at 43.6 trillion won.

The Device Solutions (DS) division, encompassing semiconductors, drove the performance with quarterly revenue of 44.0 trillion won and operating profit of 16.4 trillion won. Memory profitability improved dramatically amid a global shortage of high-value AI chips, particularly HBM used in Nvidia GPUs and other accelerators. Management attributed the surge to strong demand from hyperscalers investing heavily in AI data centers.

Despite challenges in other segments, such as seasonal softness in home appliances and mobile devices due to trade conditions, the DS strength more than offset declines elsewhere. Currency tailwinds from a stronger U.S. dollar added roughly 1.6 trillion won to operating profit.

Samsung’s push into advanced memory extends beyond HBM4. The company showcased LPDDR6 developments at the International Solid-State Circuits Conference (ISSCC) 2026, achieving transfer speeds up to 14.4 Gbps—a 35% improvement over LPDDR5X—targeting power-efficient solutions for AI-enabled mobile and edge devices. Mass production for LPDDR6 is expected in the second half of 2026.

Investors have rewarded the progress. Samsung shares jumped as much as 7.6% following the HBM4 shipment news, renewing all-time highs. The stock’s valuation reflects renewed confidence in Samsung’s ability to capitalize on AI infrastructure spending, projected to reach hundreds of billions across Big Tech in 2026.

Wall Street and Seoul analysts remain largely bullish. Consensus targets suggest further upside, with some firms highlighting Samsung’s diversified portfolio—spanning smartphones, displays, foundries, and consumer electronics—as a buffer against sector-specific risks. The company’s foundry utilization rebounded above 80% in early 2026, driven by HBM4 base die production on 4nm processes and orders for Exynos mobile processors.

Competition remains fierce. SK Hynix has led in HBM market share, supplying Nvidia extensively, while Micron pushes aggressively. Reports indicate HBM4 capacity is sold out for 2026 across major suppliers, with long-term agreements locking in demand. Samsung’s pricing strategy—potentially 20-30% higher for next-gen products—could boost margins if sustained.

Broader industry dynamics support the rally. AI demand has diverted manufacturing capacity toward HBM, squeezing supply for standard DRAM and creating shortages that benefit incumbents. TrendForce estimates HBM will consume 23% of total DRAM wafer output in 2026, up from 19% in 2025, with global HBM demand growing 70% year-over-year.

Samsung’s upcoming Galaxy Unpacked event on February 25, 2026, in San Francisco adds another layer of anticipation. The company is expected to unveil the Galaxy S26 series, potentially integrating advanced AI features powered by its memory expertise.

Looking ahead, Samsung guided for continued semiconductor strength in 2026, with conservative capex in 2025 shifting to increased memory investments. Executives emphasized building comprehensive AI leadership through ethical, high-performance solutions.

While risks persist—geopolitical tensions, supply chain disruptions, and potential AI spending slowdowns—the current trajectory points to sustained momentum. Samsung’s disciplined execution in fixing earlier HBM qualification issues and scaling production has transformed it from laggard to contender in the AI chip race.

For investors, the stock’s climb underscores a broader theme: companies mastering AI-enabling technologies stand to benefit most in the ongoing digital transformation. Samsung Electronics, once challenged by memory market cycles, now appears well-positioned to ride the AI wave into 2026 and beyond.

Rachel Reeves will deliver her Spring Statement on March 3, just over three months after her November Budget, in what is expected to be a lower-key fiscal event focused more on forecasts than fresh policy announcements.

Unlike the autumn Budget, the Spring Statement is not expected to contain tax rises or major spending cuts. Reeves has pledged to limit significant fiscal changes to a single annual event, giving herself £21.7bn of headroom in November to avoid returning with further measures before the autumn.

Nevertheless, the update will be closely watched as the Office for Budget Responsibility publishes revised forecasts for growth, borrowing and the public finances.

Although the OBR will no longer formally assess performance against fiscal rules twice a year, economists will scrutinise its projections to determine whether the government remains on track.

Some analysts expect a modest increase in Reeves’s fiscal headroom to around £24bn. A fall in that buffer could reignite speculation about future tax rises, particularly if weaker growth or higher borrowing narrows the margin. Conversely, a significant rise in headroom could intensify pressure from within Labour to loosen spending plans.

Ruth Gregory of Capital Economics has warned the statement could become “another flashpoint” if fiscal space tightens. James Smith of the Resolution Foundation said the government should not allow economic policy to stall until the autumn, arguing that more should be done to address sluggish growth and rising unemployment.

No tax rises – for now

Fresh tax measures are not expected in March, but debate over fiscal strategy is likely to intensify. The Institute for Fiscal Studies has argued that frequent adjustments driven by narrow headroom targets create instability and undermine long-term policymaking.

The IFS has proposed a shift towards a broader “fiscal traffic lights” framework to reduce the need for rushed policy changes when forecasts fluctuate.

The statement also comes after controversy at the OBR, which accidentally published market-sensitive material ahead of the November Budget. Former chair Richard Hughes stepped down following the incident, and the watchdog will release its new forecasts without a permanent successor in place.

With the government prioritising economic expansion, Reeves is expected to reiterate commitments to boost investment, support employment and stabilise public finances.

While the Spring Statement may lack the drama of a Budget, it will provide an important snapshot of the UK’s economic trajectory, and a signal of whether the chancellor’s fiscal strategy remains intact ahead of what could be a more consequential autumn showdown.

Jamie Young

Jamie is Senior Reporter at Business Matters, bringing over a decade of experience in UK SME business reporting.
Jamie holds a degree in Business Administration and regularly participates in industry conferences and workshops.

When not reporting on the latest business developments, Jamie is passionate about mentoring up-and-coming journalists and entrepreneurs to inspire the next generation of business leaders.