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Market Update: Tech Sell-Off Hits Wall Street After Strong Jobs Data – 13 February 2026

13 February 2026 No comments yet
Stock market trading screens showing market data

Tech Stocks Tumble as Rate Cut Hopes Fade

Global markets pulled back sharply on Wednesday as strong US jobs data dampened hopes for imminent interest rate cuts, triggering a significant sell-off in technology stocks.

US Jobs Report — Stronger Than Expected

Yesterday’s US employment report showed 130,000 jobs were added in January 2026, with unemployment holding steady at 4.3%. While this signals continued economic resilience, it also reduces the likelihood of the Federal Reserve cutting rates in the near term — sending investors rushing to reassess their portfolios.

Wall Street Closing Prices (12 February 2026)

  • Dow Jones Industrial Average: 49,452 (−669 points / −1.3%)
  • S&P 500: 6,854 (−1.6%)
  • Nasdaq Composite: 22,748 (−2.0%)

The tech-heavy Nasdaq bore the brunt of the selling, with Cisco Systems plunging 12.5% after disappointing earnings guidance. Apple dropped 5% and AppLovin also fell sharply, dragging the broader technology sector lower.

Commodities & Metals

  • Gold (XAU/USD): $4,921/oz
  • Silver: $76.52/oz
  • Platinum: $2,016.50/oz
  • Brent Crude: $67.46/barrel

Gold pulled back below $5,000 to close at $4,921, as the stronger dollar weighed on precious metals following the jobs data.

Major Forex Pairs

  • EUR/USD: 1.1858
  • GBP/USD: 1.3597
  • USD/JPY: 154.82
  • USD/ZAR: 15.99

The South African Rand traded near its strongest level since June 2020 at around R15.99 to the dollar, supported by elevated precious metals prices and positive domestic reforms.

South African Markets

The JSE All Share Index tested resistance at 114,234, with mining stocks under pressure from the global risk-off mood. The local market remains sensitive to movements in commodity prices and global sentiment.

Economic indicators:

  • SA Repo Rate: 6.75%
  • Prime Lending Rate: 10.25%
  • CPI (December 2025): 3.60%

What This Means for You

Strong employment figures suggest the US economy remains resilient, but this also means interest rates may stay higher for longer. For South African investors:

  • Retirement savers: Diversification remains key — don’t panic over short-term market swings
  • Property buyers: Local interest rates may follow the Fed’s lead — plan accordingly
  • Risk-conscious investors: Consider balanced portfolios with exposure to both growth and defensive assets

Want to review your investment strategy in light of changing market conditions? Contact Old Mutual Secunda for personalised financial advice.

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