Dow Eyes First Monthly Loss Since Liberation Day

Hotter-than-expected inflation data has been another deadweight on sentiment

Patrick Martin

Managing Editor

Feb 27, 2026 at 12:14 PM

VIX
SPX
IXIC
DJI

Stocks are swimming in red ink to end the week, looking to close February with a thud. The Dow Jones Industrial Average (DJIA) is 589 points lower midday, heading for its first monthly loss since April. Inflation woes and AI valuation concerns have the Nasdaq Composite (IXIC) and S&P 500 Index (SPX) in the red as well, with all three major indexes on track for weekly losses. Amid the wreckage, it's no surprise Wall Street's "fear gauge," the Cboe Volatility Index (VIX) is back above 20.

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Plus, RUN bears pounce; fiber optics stock breaks out; and Rocket Lab stalled.

MMC Stats Feb 27

Sunrun Inc (NASDAQ:RUN) stock is seeing a surge in options activity today. At last check, over 66,000 puts have changed hands, volume that's 40 times the average intraday amount and double the number of calls exchanged. The September 15 put is where most of the action is. RUN is down 35% to trade at $13.20 today, despite the fuel cell company's fourth-quarter earnings and revenue beat. Year-over-year, the shares are still 75% higher.

Applied Optoelectronics Inc (NASDAQ:AAOI) is the best stock on the Nasdaq today, up 43.8% to trade at $77.19. The fiber optic company reported a top-line beat for the fourth quarter and hiked its first quarter guidance, all thanks to demand from AI-driven data centers. B. Riley upgraded the stock to "neutral" from "sell," while three other brokerages hiked their price targets. AAOI is trading at its highest level since 2017, and is now up 222% in the last 12 months.

Rocket Lab Corp (NASDAQ:RKLB) stock has not taken off today, last seen down 8.8% to trade at $66.32. A wider-than-expected fourth-quarter miss and a delayed Neutron Rocket launch is overshadowing record-setting fourth-quarter revenue and a $1.85 billion backlog. Despite the gap lower, Stifel hiked its price target to $90 from $85. RKLB is now in the red for 2026, but has support in place at its 80-day moving average.

MMC Stock Chart RKLB

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