Global equity markets closed the week of February 9–13, 2026 with elevated volatility and mixed regional performance. While U.S. and parts of Asia experienced notable pressure, European and Israeli benchmarks demonstrated resilience, underscoring a growing divergence in global risk sentiment.

U.S. Equities Pull Back as Risk Sentiment Softens

U.S. markets retreated across major indices during the week. The Nasdaq Composite led declines, falling -2.10%, reflecting ongoing weakness in growth-sensitive sectors. The S&P 500 slipped -1.39%, while the Dow Jones Industrial Average declined -1.23%, indicating broad-based selling pressure. Small-cap stocks were comparatively more stable but still lower, with the Russell 2000 down -0.89% over five days.

Market volatility edged higher, with the CBOE Volatility Index rising +1.13%, signaling increased hedging activity and short-term uncertainty. Meanwhile, the U.S. Dollar Index remained largely steady, up +0.06%, suggesting limited shifts in global capital flows despite equity weakness.

Europe and Israel Show Relative Strength

European markets demonstrated resilience amid global softness. Germany’s DAX advanced +0.78%, the UK’s FTSE 100 gained +0.74%, and France’s CAC 40 added +0.46% during the week. The measured gains suggest investor confidence in regional corporate performance and macro stability, even as external risks persist.

Israeli equities stood out for stronger weekly performance. The TA-35 rose +2.92%, while the broader TA-125 gained +2.89% over the February 9–13 period. The solid advance reflects sustained domestic investor participation and relative insulation from some of the volatility seen in U.S. growth sectors.

Asia-Pacific Markets Remain Uneven

Asian markets presented a mixed picture. Japan’s Nikkei 225 recorded a sharp decline of -4.96%, marking one of the steepest weekly moves among major benchmarks. In contrast, South Korea’s KOSPI advanced +3.94%, diverging significantly from Japan’s performance.

China’s Shanghai Composite edged higher by +0.41%, while Hong Kong’s Hang Seng Index was nearly unchanged at +0.03%. These contrasting movements highlight ongoing regional differentiation, influenced by domestic policy expectations and sector-specific developments.

Looking ahead, investors are expected to closely monitor macroeconomic data releases, inflation trends, and central bank communication to gauge whether volatility will persist. With U.S. markets under pressure and select regions demonstrating resilience, cross-border capital allocation and sector rotation may become increasingly decisive in shaping global market direction in the coming weeks.