Chartbook January 2026

Market Commentary – February 17, 2026

January was generally positive for U.S. equities, though returns varied widely. The S&P 500 rose 1.5%, while small caps (Russell 2000) gained 5.4% and midcaps (Russell Midcap) gained 3.1%. Value-oriented sectors led the gains, with Energy (+14.4%), Materials (+8.7%), and Consumer Staples (+7.7%) outperforming, and Energy and Consumer Staples exceeded their total 2025 returns. Historically, a positive January for the S&P 500 has signaled a strong likelihood of full-year gains. Non-US equities performed even better. International developed markets (MSCI EAFE) rose 5.3%, while emerging markets (MSCI EM) gained 8.7%, led by South Korea (+27.8%) and Taiwan (+11.1%) tech and materials stocks. Chinese equities rose modestly (+4.7%), while India underperformed (-4.8%). Across both U.S. and non-U.S. markets, small-cap stocks generally outperformed large caps.