US stocks drift to a mixed finish as yields fall after a discouraging
report on US shoppers
[February 11, 2026] By
STAN CHOE
NEW YORK (AP) — Stocks drifted on Wall Street Tuesday following a mixed
set of profit reports from big U.S. companies, as Hasbro jumped but
Coca-Cola slipped. Hopes also built that the Federal Reserve will cut
interest rates later this year to boost the economy following a
discouraging report on the strength of U.S. shoppers.
The S&P 500 fell 0.3% after briefly rising above its all-time high,
which was set a couple weeks ago. The Dow Jones Industrial Average added
52 points, or 0.1%, to its own record, while the Nasdaq composite fell
0.6%.
The action was stronger in the bond market, where Treasury yields fell
after a report showed U.S. retailers made less money at the end of last
year than economists expected. Shoppers spent roughly the same amount in
December as they did in November, less than the modest growth that
economists expected.
That could signal a loss of momentum for spending by U.S. households,
which is the main engine of the economy. It also came ahead of two more
anticipated reports coming later in the week. On Wednesday, the U.S.
government will give the latest monthly update on the unemployment rate,
while a Friday report will show how bad inflation is for U.S. consumers.
Altogether, the data should help the Federal Reserve decide what to do
with interest rates. The Fed has put its cuts to interest rates on hold,
and too-hot inflation could keep it on pause for a long time. But a
weakening of the job market, on the other hand, could push it to resume
cuts more quickly.
One of the reasons the U.S. stock market has remained close to records
is the expectation that the Fed will continue cutting rates later this
year. Lower rates can give the economy a boost, though they can also
worsen inflation.
Following Tuesday’s disappointing data on sales at U.S. retailers,
traders upped bets that the Fed could cut interest rates three times or
more this year, according to data from CME Group. Most still see two
cuts as more likely.
The yield on the 10-year Treasury sank to 4.14% from 4.22% late Monday.
On Wall Street, mixed reactions to the latest profit reports from big
U.S. companies helped to keep the market in check.
Coca-Cola fell 1.5% after its revenue for the latest quarter fell short
of analysts’ expectations. It also gave a forecast for an important
underlying measure of growth this upcoming year that was less than some
analysts expected.
S&P Global dropped 9.7% after giving a forecast for profit in the
upcoming year that fell short of analysts’ expectations. The company
famous for its stock indexes has been struggling recently with worries
that competitors powered by artificial-intelligence technology may steal
customers for its data services. Its stock came into the day with a loss
of 15% for the year so far.
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Specialist James Denaro works at his post on the floor of the New
York Stock Exchange, Tuesday, Feb. 10, 2026. (AP Photo/Richard Drew)
 But Hasbro climbed 7.5% after
topping analysts’ expectations for profit and revenue in the latest
quarter. The toymaker credited strength for its “Magic: The
Gathering” game in particular, and it announced a program to send up
to $1 billion of cash to investors by buying back its own stock.
DuPont rose 4.9% after the chemical giant reported better results
for the latest quarter than analysts expected. It also gave a
forecast for profit in 2026 that topped analysts’ expectations.
Outside of earnings reports, Warner Bros. Discovery climbed 2.2%
after Paramount said it upped its offer to buy the entertainment
company.
Paramount is increasing its offer of $30 per share by 25 cents per
share for each quarter that its buyout has not closed past the end
of this year. It’s to show how confident Paramount is that its deal
would get an OK from regulators at the government. Paramount also
said it would pay $2.8 billion to help Warner Bros. Discovery get
out of its buyout deal with Netflix.
Paramount Skydance’s stock added 1.5%, while Netflix rose 0.9%.
All told, the S&P 500 fell 23.01 points to 6,941.81. The Dow Jones
Industrial Average rose 52.27 to 50,188.14, and the Nasdaq composite
fell 136.20 to 23,102.47.
In stock markets abroad, Japan’s Nikkei 225 rallied for a second day
on expectations that a newly elected parliament will help the
country’s prime minister push through tax cuts and other moves to
boost the economy. The Nikkei 225 rose 2.3% to another record.
Gains for other Asian markets were more modest, while indexes were
mixed in Europe.
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AP Business Writers Yuri Kageyama and Matt Ott contributed.
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