Walmart(US:WMT) Reuters·2026-02-13 11:05Core Viewpoint - U.S. stock investors are bracing for volatility due to fears of AI disruption while assessing market rotations and upcoming earnings from Walmart and economic data [1] Group 1: Market Sentiment and AI Impact - Concerns over AI disruption have led to significant stock price fluctuations, particularly affecting software companies and industries like insurance and transportation [1] - The sentiment surrounding AI is described as a "whack-a-mole" game, with investors uncertain about which sectors will be impacted next [1] - The technology sector, which has been a leader in the bull market since October 2022, has seen a decline of over 4% this year due to these fears [1] Group 2: Market Rotations and Sector Performance - Despite the technology sector's struggles, other sectors such as energy, consumer staples, materials, and industrials have risen by at least 10% in 2026, indicating a shift in market leadership [1] - Small-cap stocks have also experienced significant gains, suggesting a broader market participation that could be beneficial for overall market health [1] - The shift in investor psychology towards these lagging sectors is becoming more pronounced, as noted by market strategists [1] Group 3: Upcoming Earnings and Economic Data - Walmart's quarterly earnings report is anticipated to provide insights into consumer spending trends, especially after U.S. retail sales remained unchanged in December [1] - Walmart's stock has increased by 20% this year, pushing its market capitalization above $1 trillion, making it the largest company in the consumer staples sector [1] - Upcoming economic reports include the advance reading of fourth-quarter GDP, a consumer sentiment survey, and the personal consumption expenditures price index, which are crucial for assessing economic stability [1]