Dow Jumps More Than 650 Points Despite 'Extreme Fear' Status in Fear & Greed Index
Market Sentiment: The CNN Money Fear and Greed index showed a slight increase in fear, remaining in the "Extreme Fear" zone with a reading of 14.1, compared to 13.7 previously.
Stock Market Performance: U.S. stocks closed higher on Tuesday, with the Dow Jones gaining approximately 664 points, while the S&P 500 and Nasdaq also saw positive gains.
Key Company Movements: Nvidia's shares fell nearly 2.6% amid reports of Meta considering a significant investment in Alphabet's AI chips, while Apple reached new all-time highs before settling slightly higher.
Economic Indicators: U.S. producer prices rose by 0.3% in September, retail sales increased by 0.2%, and pending home sales saw a 1.9% gain in October, indicating mixed economic signals.
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- Investment Scale: Meta is set to invest $65 million in 2023 to support state politicians favorable to the artificial intelligence industry, marking its largest election investment to date and indicating a growing emphasis on political engagement.
- New Super PACs Established: The company is quietly launching two new super PACs, one backing Republicans and the other supporting Democrats, aiming to leverage political influence to counter regulatory threats to the AI sector.
- Funding Flow and Utilization: Last year, Meta allocated $45 million to the American Technology Excellence Project, with expectations that these funds will flow into the newly established PACs, thereby enhancing the company's political clout.
- Initial Spending Plans: Meta's expenditures are set to commence this week in Illinois and Texas, primarily backing incumbent Democratic and Republican candidates, reflecting the company's strategic inclination to maintain the existing political landscape.
- Wealth Decline: As of early 2026, the combined wealth of the world's top ten billionaires has decreased by $45.6 billion year-to-date, illustrating the direct impact of the declining Magnificent Seven stocks on the fortunes of tech giants like Musk and Bezos.
- Market Performance: In 2025, all seven Magnificent Seven stocks saw gains, with six achieving double-digit increases, but the trend reversed in 2026, leading to a general market downturn and diminished investor confidence.
- Investment Dynamics: Berkshire Hathaway sold 77% of its Amazon stake in Q4 2025, while Bill Ackman's Pershing Square Capital increased its Meta holdings and Amazon exposure, indicating diverging investor sentiments towards these tech stocks.
- Future Outlook: Despite the downward pressure, analysts believe that Alphabet and Tesla will continue to attract investor interest in 2026, especially as their strategic relevance remains intact, making the risk-reward profile increasingly appealing.

- Meta's Commitment: Meta will continue to operate its election operations center, focusing on protecting users from scams on its platform.
- User Safety Focus: The initiative aims to enhance user safety and trust by addressing fraudulent activities during elections.
- Market Performance Divergence: As of 2026, 493 stocks in the S&P 500 have outperformed the Roundhill Magnificent Seven ETF (NASDAQ:MAGS), indicating a potential weakening of concentrated investments in tech giants, which may impact investor confidence.
- New ETF Launch: XMAG, launched on October 21, 2024, tracks the BITA US 500 ex Magnificent 7 Index, currently holding 493 stocks with net assets of $137.79 million, reflecting a rising demand for diversified investments in the market.
- Valuation Rotation Thesis: Investor Ed Yardeni's

- Meta's Decision: Meta will continue to block new political ads on its platforms during the final week of the campaign for the 2026 U.S. elections.
- Impact on Campaigns: This decision may affect the ability of political candidates and organizations to reach voters with last-minute advertising efforts.
- Surging Power Demand: U.S. data center electricity demand is projected to rise from 176 terawatt hours to 580 terawatt hours by 2028, with AI-driven consumption outpacing grid capacity in several regions, thereby creating significant market opportunities for nuclear energy companies.
- Uranium Price Surge: Spot uranium prices increased by 25% in January 2026, surpassing $100 per pound for the first time in two years before correcting to $89, indicating strong institutional demand that could impact future supply chains and price stability.
- Merger Voting Arrangements: Eagle Energy Metals announced that the SEC has declared effective the registration statement for its merger with Spring Valley Acquisition Corp. II, with shareholders set to vote on February 23, 2026, marking a significant strategic shift for the company as its stock will trade on Nasdaq post-merger.
- Significant Resource Potential: Eagle Energy Metals holds 32.75 million pounds of indicated uranium resources on the Oregon-Nevada border and is collaborating with BBA USA to design a targeted drilling campaign at the Aurora site to support a Pre-Feasibility Study, enhancing its competitive position in the nuclear energy market.









