Global markets entering the week of February 9, 2026, are characterized by heightened volatility, a significant rotation away from technology toward "old economy" sectors, and a pivot toward "real economy" macroeconomic data.
Market analysts say, investors are shifting capital from mega-cap technology growth stocks into traditional sectors like Oil & Gas, Industrials, Materials, and Regional Banks. This "Old Economy" resurgence is driven by more attractive valuations and strengthening industrial cycles.
During the week of February 2-8, 2026, global markets experienced significant volatility characterized by a sharp multi-day sell-off in technology stocks followed by a historic recovery.
On February 6, 2026, the Dow Jones Industrial Average closed above 50,000 for the first time in history, rallying over 1,200 points to finish the week at 50,115.67. Sentiment was primarily driven by weak U.S. labor data, which intensified expectations for Federal Reserve rate cuts, and escalating geopolitical tensions involving U.S. tariff threats and warnings toward Iran.
The Bangladesh market for the second week of February 2026 is characterized by a strengthening stock market, rising food inflation, and anticipation of a major monetary policy announcement.
The capital market ended the week ending February 8, 2026, on a positive note, driven by renewed investor confidence and a focus on banking and blue-chip stocks.
The benchmark index gained 80 points over the week, closing at 5,234 points. Average daily turnover at the DSE rose by 15% to Tk 668 crore compared to the previous week.
The USD to BDT exchange rate fluctuated slightly, settling near 121.94 BDT as of February 8, 2026.
General point-to-point inflation rose for the third consecutive month to 8.58% in January 2026, up from 8.49% in December. Food inflation reached 8.29% in January, largely due to high prices for essentials like rice, oil, and vegetables ahead of the Ramadan season. To rein inflation, Bangladesh Bank is scheduled to announce its Monetary Policy Statement (MPS) for the second half of FY26 on February 9, 2026. The policy rate is currently at 10%, with expectations that it will remain high to combat inflation.
In India, inflation data, trading activity of foreign investors and global trends would dictate sentiment in the stock market this week. Besides, geopolitical developments and Q3 earnings will also guide market movement during the week.
"This week features several important domestic and global triggers. In India, investors will closely track retail inflation data due on February 12 and foreign exchange reserves data on February 13, for insights into price trends and external sector stability.
"The earnings calendar stays active, with key results expected from Titan Company and Mahindra & Mahindra, which may drive stock-specific action. Globally, participants will monitor a heavy US data calendar and performance of the Nasdaq Composite following its recent decline," Ajit Mishra, SVP, Research, Religare Broking Ltd, said.
Geopolitical developments and their impact on commodity markets will also be closely watched, Mishra added.
India and the US on Saturday announced they have reached a framework for an interim trade agreement under which both sides will reduce import duties on a number of goods to boost two-way trade.
While the US will reduce tariffs on Indian goods to 18 per cent from the present 50 per cent, India will eliminate or cut down import duties on all US industrial goods and a wide range of American food and agricultural products, including dried distillers' grains, red sorghum for animal feed, tree nuts, fresh and processed fruit, soybean oil, wine and spirits.
"With the Union Budget 2026 and the RBI's monetary policy decisions now largely digested, Indian equity markets have entered a consolidation phase, shifting investor focus toward implementation, capex execution and the pace of actual spending.
"Overall sentiment remains cautiously optimistic, with markets expected to stay event-driven in the near term, tracking global cues, capital flows and geopolitical developments in the Middle-East," Ponmudi R, CEO - Enrich Money, an online trading and wealth tech firm, said.
Last week, the BSE benchmark jumped 2,857.46 points, or 3.53 per cent, and the Nifty surged 868.25 points, or 3.49 per cent.
