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News of the day for Feb. 27, 2026

The Dow enters today on track to post gains for the 10th consecutive month.
Credit: Spencer Platt / Getty Images

Stock futures are lower this morning as the market gets set to wrap up a volatile month of trading; shares of Paramount Skydance are surging after the company won the bidding war for Warner Bros. Discovery, while Netflix is also rising after giving up its bid; producer price index data is expected to slow that inflation slowed in January; Nvidia shares remain under pressure after falling sharply yesterday despite a better-than-expected earnings report; and Block shares are soaring after the payment company announced mass layoffs. Here's what you need to know today.

Stock Futures Fall on the Last Day of a Volatile Month

Stock futures are losing ground Friday as investors await a key inflation report. (more on that below) Futures tied to the Dow Jones Industrial Average were down 0.8% recently, while those linked to the S&P 500 and the tech-heavy Nasdaq dropped 0.6%. The S&P 500 and Nasdaq closed lower on Thursday, led by a steep decline for tech stocks as Nvidia shares tumbled despite a strong earnings report, while the Dow ended the session fractionally higher. The Dow comes into the final session of February on track to post its 10th consecutive month of gains. The S&P 500 and Nasdaq are on pace to record losses for the month, which has been characterized by big price swings fueled in large part by AI-related concerns.

Bitcoin, which has fallen sharply over the past month, was at $66,000, down from an overnight high of $68,200. Gold futures ticked higher to around $5,200 an ounce this morning, while WTI crude oil futures, the U.S. benchmark, rose 2.5% to $66.85 per barrel. The yield on the 10-year Treasury, which can influence interest rates on a variety of consumer loans, was at 3.98% recently, down from 4.02% at yesterday's close and near its lowest level since November.

Paramount, Netflix Shares Surge on Latest News in Warner Bros. Discovery Saga

Shares of both Paramount Skydance (PSKY) and Netflix (NFLX) are surging this morning after Paramount emerged victorious in the bidding war to acquire Warner Bros. Discovery (WBD). The Warner Bros. Discovery board on Thursday deemed that Paramount’s bid of $31 per share for the company was superior to Netflix’s offer. Warner Bros. Discovery had accepted Netflix’s offer before reopening talks with Paramount last week. Netflix’s bid was for Warner Bros. Discovery’s TV and film assets, while Paramount bid for the entire company, including TV assets like CNN. Netflix on Thursday opted not to raise its offer. Shares of Netflix and Paramount Skydance were each up about 8% in recent premarket trading, while Warner Bros. Discovery stock fell 1%.

Wholesale Inflation Likely Cooled in January

The Producer Price Index report, due at 8:30 a.m. ET, is expected to show that wholesale inflation cooled in January. Economists surveyed by The Wall Street Journal and Dow Jones Newswires estimate that the PPI will show that prices increased by 0.3% in January, a slow down from the 0.5% increase the prior month. The PPI core inflation rate, which strips out price movements in volatile products like food and gas, is expected to remain at 0.4%. The report comes after the Consumer Price Index showed that consumers paid 2.4% more for goods and services in January than they did a year ago.

Nvidia Shares Remain Under Pressure

Shares of Nvidia (NVDA) are down again this morning after the AI chipmaker shed more than 5% of its value in the prior session despite delivering a blockbuster earnings report. Nvidia on Wednesday revealed that its fourth-quarter sales jumped 73% from the year-earlier period, well above what analysts were expecting. The company at the center of the AI boom said its data center revenue, which accounted for a major portion of its sales, hit a fresh record high as its Big Tech clients raced to buy up its chips. But investors weren’t satisfied as some analysts pointed to the company’s concentration in sales to a few Big Tech companies. Other analysts said the muted reaction reflected a growing skepticism over the AI trade. Nvidia shares were down 1% recently.

Block Shares Surge After Massive Layoffs

Shares of Block (XYZ) are soaring after the payments company announced it would lay off 4,000 workers, comprising around 40% of the company’s staff. CEO Jack Dorsey that the move was a reaction to AI tools creating more efficiency for the company. “I'd rather take a hard, clear action now and build from a position we believe in than manage a slow reduction of people toward the same outcome,” Dorsey wrote on X. Block shares jumped 20% ahead of the opening bell.

Looking under the hood of the S&P 500, stocks have "basically crashed," according to Morgan Stanley's Mike Wilson.
Credit: Spencer Platt / Getty Images

Key Takeaways

• Morgan Stanley's Mike Wilson said that the spread between the top performing 50 stocks and the bottom 50 is wider than it was during the Great Financial Crisis.
• The question of the moment is whether the S&P 500 needs to "catch down" to complete the correction.

A stealth correction in the market is in progress, according to one expert.

Looking under the hood of the S&P 500, stocks have "basically crashed," Mike Wilson, Morgan Stanley's chief US equity strategist, said in an interview with CNBC Thursday morning. Investors shouldn't ignore the signal in that volatility at the index level has been relatively muted, but individual stocks are seeing wilder swings, he said.

The S&P has moved in a tight range in the last couple of months, eking out gains one day, and then giving them back the next. That was visible on Thursday, with the benchmark index, as well as the tech-heavy Nasdaq, pulling back after posting big gains the previous two sessions. While, Wilson isn't calling for a bear market—his base case suggests the S&P 500 could rise 13% from recent levels—investors should be watching for downside risk in the next six weeks, he said.

WHY THIS MATTERS TO YOU

Investors may, in the near-term, want to see the trees for the forest, flipping the old idiom on its head. While the S&P hasn't done much so far this year, individual stock performance suggests a correction is underway, according to market experts.

Evidence of the crash is in the difference in returns between individual stocks, or dispersion. "The spread between the top 50 stocks and the bottom 50 stocks year-to-date, okay, is 68%," Wilson said, "That's the biggest spread we've seen in 20 years."

The good news is that the correction at the stock level is 70% to 80% done, per Wilson, but the question investors have to ask themselves is, "Does the index now need to catch down to complete the correction?" (Before it can rally in earnest in the back of the year.)

The idea of a stealth market crash is unlikely to assuage investors who have seen pockets of the market get rolled over by concerns of AI doom scenarios or otherwise. However, Wilson says the opportunity for investors now is in the stocks that have been battered, and not in the winners.

Generally, Morgan Stanley is positive on the outlook for U.S. equities. The firm's year-end target for the S&P at its base case is 7,800. Wilson remains bullish, especially for the second half of the year—if company earnings exceed the already-high expectations, money could return to the market, he said.

Take A Number: A Remarkable Figure In Economic News Today

More households are falling behind on their mortgage payments.
Credit: Investopedia / Elizabeth Guevara

Key Takeaways

• The number of households falling behind one or two months on their mortgage payments grew by 30.9% between January 2025 and January 2026, according to credit scoring company VantageScore.
• Rising living costs may be contributing to the uptick in delinquencies.
• The trend could be a sign that households and the broader economy are becoming more vulnerable to shocks.

The number of homeowners beginning to fall behind on their payments rose by nearly a third over the last year, in a sign that the high cost of living is causing financial distress for more households.

That's according to a report from credit scoring company VantageScore Thursday, which said the number of people one to two months behind on their payments rose by 30.9% over the year in January.

Though this still accounted for only 1.14% of borrowers, it was the most since the pandemic hit and a signal that more households are being stretched thin. Although inflation has fallen from its recent high in 2022, price increases for many necessities have remained high, from coffee to vet visits.

What This Means For The Economy

Rising mortgage delinquencies can signal broader financial stress and potential economic slowdown.

“The broad-based rise in early-stage credit delinquencies across VantageScore credit tiers underscores persistent macroeconomic pressures, particularly for more vulnerable borrowers,” Susan Fahy, chief digital, data and technology officer at VantageScore said in a press release. “Sustained cost pressures and interest rates may leave some consumers increasingly exposed to future economic shocks.”

The uptick in delinquencies could also be a red flag for the broader economy. Historically, bad things have happened when too many people stop paying their mortgages.

"This represents the most pronounced and broad-based deterioration across products, signaling gradually building repayment pressure in the housing segment," the report said.

“The market can't hold us back forever,” Nvidia CEO Jensen Huang told CNBC.
Credit: Bridget Bennett / Bloomberg / Getty Images

Key Takeaways

• Shares of Nvidia plunged Thursday, despite a strong earnings report.
• The stock has had a tough start to the year amid uncertainty about the trajectory of the AI boom.
• CEO Jensen Huang told CNBC that he believes investors may be missing how large the computing industry could become, and how much Nvidia is set to grow with it.

Investors are underestimating Nvidia, according to its CEO.

Shares of the chipmaker fell more than 5% Thursday, even though the AI chipmaker delivered a blockbuster earnings report and strong outlook the night before.

The drop made Nvidia (NVDA) the worst-performing stock in the Dow Jones Industrial Average Thursday, and one of the biggest decliners in the Nasdaq and S&P 500. It also dragged the stock, which has had a tough start to the year amid uncertainty about the trajectory of the AI boom, back into negative territory for 2026.

CEO Jensen Huang told CNBC in a televised interview following the company’s earnings call that he believes investors may be missing how large the computing industry could become, and how much Nvidia is set to grow with it.

Why This Matters to Investors

Thursday's stock losses could underscore weak sentiment around Nvidia and other previously high-flying stocks tied to AI, amid worries about the sustainability of its growth and the technology's impact.

Ahead of Wednesday night's results, several Wall Street analysts warned Nvidia would face a particularly high bar to impress, amid sky-high expectations for sales to its Big Tech customers and broader uncertainty around the trajectory of the AI boom.

However, the market's negative reaction still took some analysts by surprise, suggesting skepticism around the AI trade and Nvidia's future in it could run deeper than they anticipated. 

Huang said he expects investors will change their tune back in Nvidia's favor, eventually. “The market can't hold us back forever,” Huang said.

“The reason for that is because we're going to keep on growing,” he said. "No matter how you look at it, Nvidia's leadership is pulling ahead every single day."

With Thursday's losses, Nvidia shares have dropped roughly 12% from their late October highs.

Other semiconductor stocks and AI-related stocks tumbled Thursday along with Nvidia, widely seen as a bellwether for broader AI demand. The PHLX Semiconductor Sector Index (SOX) dropped 3%.

Nvidia CEO Jensen Huang (pictured) said Wednesday demand for the company's chips remains insatiable.
Credit: Patrick T. Fallon / AFP via Getty Images

Key Takeaways

• The gap between Nvidia's earnings and share performance expanded on Thursday as shares slumped even as the AI chipmaker forecast continued strong growth throughout this year.
• Investors are increasingly unsure that the AI infrastructure spending underpinning Nvidia's growth is sustainable; general AI anxiety is also acting as a headwind for tech stocks.

Nvidia’s revenue is skyrocketing. Its margins are holding up. Its stock is tumbling. What gives? 

Nvidia on Wednesday afternoon blew past fourth-quarter earnings estimates and forecast revenue growth will accelerate in the current quarter. Analysts all over Wall Street raised their earnings estimates in kind. UBS analyst Timothy Arcuri raised his earnings estimates for the next two fiscal years, while Bank of America’s Vivek Arya lifted his through the next three.  

Yet shares of Nvidia (NVDA) fell more than 5% Thursday, erasing the stock’s year-to-date gains and putting it more than 10% off its October all-time high. 

Why This Is Important

Nvidia stock has accounted for a sizable share of the overall stock market's returns in recent years. But in recent months, the AI bellwether's stock has lost its momentum despite a booming business, underscoring the uncertainty looming over even the surest of AI bets.

For most of the past three years, Nvidia stock skyrocketed in lock step with the chip maker’s profits. Both its stock price and earnings increased twelvefold between the end of 2022 and the middle of last year. Then something changed. In the five months preceding Wednesday’s earnings report, Nvidia stock traded sideways while earnings estimates increased nearly 40%, according to a recent Goldman Sachs note. 

Heading into Wednesday’s earnings report, Nvidia stock traded at a handsome discount not just to itself historically, but also to tech peers. Nvidia’s price/earnings-to-growth ratio (PEG), which factors expected earnings growth into the standard price-to-earnings valuation metric, is about 0.5, the lowest of the mega-cap tech stocks, according to Bank of America. The rest of the group’s PEG ratios range from 0.6 (Broadcom and Oracle) to 5.1 (Tesla). Generally, investors consider a stock undervalued if its PEG is lower than 1. 

Explanations for Nvidia’s low valuation vary. Goldman cites the disconnect between its earnings and stock price as an example of “the challenges of perceived ‘over-earnings.’”

“A dominant market position in the near-term can eventually give way to fears of over-earning, as competition increases and uncertainty about the sustainability of demand grows,” Goldman’s analysts wrote. As investors grow more nervous about an impending slowdown, they begin paying less for each dollar of profit, compressing the stock’s multiples. 

Morgan Stanley analysts on Thursday wrote the stock’s low multiple “does make sense, with close to $5 trillion in market cap, and limited operating margin leverage given very high profitability.” Effectively, Nvidia shares are running up against the Law of Large Numbers, the observation that growth becomes harder to sustain the larger a company gets.

Still, the pessimism hanging over Nvidia shares isn't entirely rational, according to Morgan Stanley. “There appear to be generalist concerns that growth will slow, despite near term acceleration” and evidence that corporate, consumer, and sovereign AI use is on the rise, the analysts wrote. 

Some experts are confident the market will come around on Nvidia stock this year. "At the end of the day, it is hard to see how the stock continues to languish," wrote UBS's Arcuri, who expects Nvidia's earnings growth to accelerate in the second half while growth at recent AI darlings like memory and semicaps begins to decelerate.

Upcoming changes could affect wait times for Social Security beneficiaries.

KEY TAKEAWAYS

• The Social Security Administration has been working to improve caller wait times, even as the staff has been reduced.
• But SSA workers say they are already overworked, and changes coming next month could make things worse.

The Social Security Administration has significantly reduced wait times for beneficiaries calling its national 800-number over the past two years. Next month, the agency is making more changes to how it handles help requests that may speed things up—or make things worse for beneficiaries.

Workflow management changes coming on March 7 will transition SSA employees from working only on local claims and cases to handling cases nationwide. The move is an effort to even out the workload for SSA agents. Separately, the agency will also roll out a new system that beneficiaries can use to schedule in-person appointments.

"These tools will strengthen SSA’s ability to provide Americans with expanded opportunities to schedule appointments and improve staff efficiency," an SSA spokesperson said in an email. "There will be increased availability for Americans to receive the support they need over the phone or in person."

Why This Matters

Social Security is the largest anti-poverty program in the United States. Many lower-income and senior beneficiaries rely on timely and accurate payments to cover daily essentials like housing, food, and health care, so service delays can quickly translate into financial hardship.

However, there is a chance the moves will instead increase the workload of SSA employees, who have faced a shrinking workforce for years. The number of Social Security beneficiaries continues to rise, while the agency cut 7,000 positions, or about 12.5% of staff in 2025.

"This ... may have evened out the workload a little bit," said Ed Weir, a former manager of a Las Vegas Social Security field office. "But that's before they cut over 7,000 positions. So all bets are off now."

New Policies, More Complex Work

Some SSA workers say they will now have to take time to learn different policies beyond their local rules, such as differences in state laws for Supplemental Security Income. Especially as more employees are moving between handling claims and calls to the national number, many say their work will become more complex, creating a higher risk of mistakes.

"Historically, if [beneficiaries] call their local office, they know to call back to the local office. They got at least an idea of where it's being taken care of," said Weir. "I think that's going to be an issue. [Beneficiaries' claims] are going to get lost in the shuffle."

Already, Social Security workers say they are overworked and underpaid. In a survey of SSA employees from the Strategic Organizing Center, a campaign organization for unions, 84% said their workloads got worse in 2025. The majority said their service speed and quality had decreased due to the amount of work they have taken on.

But the agency has been whittling down wait times since 2024.

Call Backs Speed Things Up

The average wait time for the national 800 number was about 30 minutes in the federal government's 2024 fiscal year, which ranges from Oct. 1, 2023, to Sept. 30, 2024, according to the Social Security Office of the Inspector General. After the SSA transitioned to a new phone system in August 2024, wait times fell by an average of 10 minutes.

Wait times continued to fall during fiscal year 2025, which spanned from Oct. 1, 2024, to Sept. 30, 2025, and the average wait time for beneficiaries that year was cut in half to 14.6 minutes.

The SSA saw the best improvement in wait times in July 2025, when the average wait time was about 7.5 minutes after it shifted more agents to answering the phones.

However, it's important to note that the average wait times include callers who opt to hang up and get a call back when an agent becomes available. The wait time for those who accept the callback option is zero minutes, significantly reducing the average.

During the federal government's fiscal year 2025, those who opted for the callback option waited an average of 111 minutes before receiving a callback from an SSA agent. Those who did not opt for a callback waited on hold for almost an hour on average before speaking to an agent.

"The agency improved performance because it used a new telecommunications platform and staff realignments," the Office of the Inspector General said in an independent audit of the SSA wait times.

In the first three months of fiscal 2026, the SSA has said it kept phone wait times at an average of nine minutes. That may change in the coming months.

Take A Number: A Striking Figure In Economic News Today

Pricey vet visits are declining as household budgets get squeezed.
Credit: Investopedia / Elizabeth Gueavara

Key Takeaways

• Vet visits declined 2% to 3% in 2025, as the cost of care has increased steadily.
• Industry revenue has grown even as visits dropped because clinics are raising their prices to compensate.
• The consolidation of vet clinics under corporate ownership is behind the trend according to analysts at Bank of America.

A pet's companionship may be priceless, but the rising cost of animal care is forcing a growing number of owners to skip going to the vet.

That's according to a report this week from Bank of America, which found visits are dropping while prices surge across the industry. Visits fell by 2% to 3% in 2025, BofA analysts said, citing industry consultant Travis Meredith, a veterinarian himself. Vet industry revenue growth of 2% that year was "entirely supported by +5 to +6% YoY price increases passed on to pet owners," the report added.

What This Means For The Economy

The decline in vet visits could be a canary in the coal mine for other consumer products. Many economists see a risk that inflation and the faltering job market could squeeze household budgets to the point where overall consumer spending starts to fall.

The decline in vet visits is just one example of the hard choices people face as the cost of living continues to increase. Although the economy as a whole is healthy, household budgets are being squeezed by persistently high inflation and a lackluster job market that may not deliver pay raises to keep up. Sicker pets are just one consequence of the trend.

"As rising costs for pet care begin to weigh on households, pet owners may choose to defer or forgo both elective and essential treatments altogether: a behavior that could potentially compound over time," BofA analysts led by Michael Ryskin found.

The consolidation of veterinary practices under corporate ownership through the 2010s is the root cause of accelerating prices, the report found.

"Following this roll‑up cycle, a greater and greater portion of US veterinary practices are now corporately owned, particularly by consolidators that more actively use price as a lever in their practices," they wrote. "While consolidation initially supported revenue and margin expansion for veterinarians, escalating sticker prices have increasingly weighed on clinic traffic, essentially pricing out pet owners from care due to affordability concerns."

Credit: Patrick T. Fallon / AFP / Getty Images

Key Takeaways

• Nvidia shares fell on Thursday after the company posted better-than-expected quarterly results.
• Wall Street analysts said the market's reaction could underscore weak sentiment.

Nvidia delivered a blockbuster earnings report. But investors aren’t rewarding the stock in kind. 

The shares were down more than 2% in early trading Thursday, a day after the company posted fourth-quarter results that blew past analysts’ estimates, thanks to booming demand for its AI chips.

Nvidia (NVDA) said its data center revenue, which accounted for the lion’s share of its sales, hit a fresh record high as its Big Tech clients raced to buy up its chips to power their data centers. 

Why This Is Significant

The negative reaction to a strong print from the chipmaker could underscore weak sentiment surrounding many AI-exposed stocks and the market overhang from uncertainty around the trajectory of the technology.

Some Wall Street analysts pointed to the concentration of Nvidia's sales as worrisome. Roughly half of the company's data center revenue came from its largest Big Tech clients.

However, several suggested the muted reaction underscores broader skepticism around the AI trade, with worries about the technology’s impact holding back the sort of stock gains the company's fundamentals would otherwise merit. 

Morgan Stanley analysts, who called it the “largest, cleanest beat and raise in the history of the semis industry,” said they were surprised by the weak response.

Bullish analysts at HSBC said that while Nvidia's results were strong, perhaps it was "lacking new narratives" to stoke fresh enthusiasm for the shares.

Citi and Morgan Stanley said the next catalyst for Nvidia bulls to look forward to may come from the company’s GPU Technology Conference in March. The company is expected to give more updates on its most advanced chips and product roadmap at the event. 

While ratings are still in flux, most Wall Street analysts tracked by Visible Alpha remain overwhelmingly bullish on the stock, expecting it to reach new highs in the next 12 months. 

Heading into Thursday's session, shares of Nvidia were up about 5% for 2026 so far, but 7% off their October highs.

News of the day for Feb. 26, 2026

Major indexes closed sharply higher yesterday for the second straight day as tech stocks rallied.
Credit: Timothy A. Clary / AFP / Getty Images

Stock futures are little changed this morning after two straight days of big gains for major indexes; Nvidia shares are moving higher after the AI chipmaker reported quarterly results that handily topped Wall Street expectations; Salesforce shares fell after the software giant issued a disappointing revenue outlook; Warner Bros. Discovery reported a quarterly loss and a drop in revenue as Paramount Skydance and Netflix continue their bidding war for the company; and Nutanix shares are soaring after the cloud software firm announced an AI deal with chipmaker AMD. Here's what you need to know today.

Stock Futures Steady After Two Days of Big Gains

Stock futures are holding steady as investors assess a flurry of earnings from Nvidia, Salesforce and other major technology companies. (more on that below) Futures tied to the Dow Jones Industrial Average were up 0.2% recently, while those linked to the S&P 500 and the tech-heavy Nasdaq hovered near unchanged. The major indexes surged on Wednesday for the second straight day, led by tech sector gains, after falling sharply to start the week amid concerns about tariffs and AI. Bitcoin was losing ground this morning after surging yesterday, trading at around $68,000, down from an overnight high near $70,000. Gold futures dropped 0.7% to around $5,200 an ounce, while WTI futures, the U.S. crude oil benchmark, fell 2% to $64.10 per barrel. The yield on the 10-year Treasury, which affects interest rates on all sorts of consumer loans, was little changed at 4.05%.

Nvidia Beats Estimates as CEO Sees Customers ‘Racing to Invest in AI’

Nvidia (NVDA) shares are higher this morning after the AI chipmaker late yesterday reported quarterly results and issued an outlook that blew past analysts' estimates. The company at the center of the AI boom posted adjusted earnings of $1.62 per share for its fiscal 2026 fourth quarter, compared to the $1.53 that analysts surveyed by Visible Alpha were looking for. Revenue soared 73% year-over-year to a record $68.13 billion, compared with analysts' expectations for revenue of $66.2 billion, as the company’s Big Tech customers continued to double down on AI infrastructure spending. Meanwhile, the company projects that revenue in the current quarter will rise to $78 billion, plus or minus 2%. CEO Jensen Huang said in comments released alongside the results that demand for compute is “growing exponentially” and that “our customers are racing to invest in AI.” Shares of Nvidia, the world's most valuable company with a market capitalization of about $4.8 trillion, were up 1% in recent premarket trading.

Salesforce Shares Drop on Weak Revenue Guidance

Salesforce (CRM) shares are losing ground before the bell after the software provider issued disappointing guidance. The customer relationship management firm reported revenue of $11.2 billion for its fiscal 2026 fourth quarter, up 12% year-over-year and just above analyst estimates compiled by Visible Alpha. The company’s adjusted earnings per share of $3.81 soared were well above the analyst call of $3.05. However, the company’s forecast for 2027 fiscal year revenue was between $45.8 billion and $46.2 billion, with the midpoint below analysts' consensus estimate of $46.04 billion. Salesforce shares have lost more than a quarter of their value so far this year amid a broader rout in software stocks as investors worry about potential disruption from AI tools. Salesforce shares were down 2.5% recently.

Warner Bros. Discovery Posts Revenue Decline, Loss Amid Bidding War

Warner Bros. Discovery (WBD) reported a 6% drop in sales and a quarterly loss of $252 million as a bidding war between Paramount Skydance (PSKY) and Netflix (NFLX) for control of the company continues to play out. Paramount Skydance (PSKY), for its part, reported a surprising quarterly loss, even as revenue for its streaming service Paramount+ came in above analysts' forecasts. Shares of each company were little changed ahead of the opening bell. Meanwhile, Netflix (NFLX) shares were up about 1% in premarket trading after gaining almost 6% in the prior session on a Politico report that CEO Ted Sarandos was set to visit the White House to discuss the streamers bid to acquire Warner Bros. Discovery.

Nutanix Stock Soars on AI Deal with AMD

Shares of Nutanix (NTNX) are surging after the cloud software company announced a multiyear partnership with chipmaker Advanced Micro Devices (AMD) to develop an AI infrastructure platform designed to power agentic AI applications. As part of the arrangement, AMD will make a strategic investment of $150 million in Nutanix common stock and fund up to $100 million for Nutanix to support joint engineering initiatives. Meanwhile, Nutanix also reported fiscal second-quarter earnings of $0.54 on revenue of $722.8 million, both above analyst estimates compiled by Visible Alpha. Nutanix shares, which coming into today's session had lost a quarter of their value so far in 2026, were up 15% in recent premarket trading. AMD shares were down about 1% this morning.

JPMorgan Chase CEO Jamie Dimon says that high asset prices have added to risk.
Credit: Graeme Sloan / Bloomberg / Getty Images

Key Takeaways

• Record asset prices and banks doing "dumb things" to stay competitive are reminiscent of the environment that led to the 2008 financial crisis, according to JPMorgan Chase CEO Jamie Dimon.
• The bank is seeing tangible benefits of AI adoption, but also monitoring its loan portfolio for potential risks that could arise from disruption.

Markets are sitting near record levels and the vibes are good, but one bank chief is ill at ease.

JPMorgan Chase (JPM) CEO Jamie Dimon says he doesn't know when or what series of events could lead to the next financial crisis, but he's concerned about the possibility given the state of the general market environment and its similarities to the one preceding the Great Financial Crisis.

"My anxiety is high over it," Dimon said in a meeting with investors this week, per a transcript provided by AlphaSense. "I'm not assuaged by the fact that asset prices are high. In fact, I think that adds to the risk."

Dimon, like other prominent leaders in the financial industry, is drawing parallels between the current state of affairs and the years that led to a sharp global economic downturn and the S&P 500 losing roughly half its value.

The CEO dismissed concerns about the impact artificial intelligence would have on the bank—JPMorgan's stock got hammered on Monday, alongside Citigroup (C), Morgan Stanley (MS) and others after a AI-doom report went viral—and said that historically, most people are surprised by the type of companies that can't pay their debts when borrowing stops being easy.

WHY THIS MATTERS TO YOU

Financial industry veterans are increasingly pointing to cracks in the market that could lead to a downturn.

"The surprise has often been which industry – you didn't expect newspapers in 2000, Warren Buffett businesses, you didn't expect utilities and phone companies in 2008 and 2009. And this time around, it might be software, because of AI," he said.

If software is the victim in this cycle, a small piece of the bank's loan book may get "caught up in it," the JPMorgan chief said. However, the bank itself "will be a winner" in terms of AI adoption, he said. "We've always had the strategy to use technology, do a better job for customers, and we're quite good at it."

What is troubling Dimon is that current financial conditions have ratcheted up competitive dynamics among banks, with some doing "dumb things" such as taking on risky loans. "Unfortunately, we did see this in 2005 and 2006 and 2007," he said. "Everyone was making a lot of money. People were leveraging to the hilt. The sky was the limit."

JPMorgan, however, was sticking to its "own rules" and would not "chase anything," he said.