US stock indexes slide following disappointing economic growth and rising inflation

Wall Street fell as Q4 GDP growth missed forecasts and inflation rose. Markets also braced for a Supreme Court ruling regarding potential tariff refunds.

Insights:
Major US USUS stock indexes fell on February 20, 2026, as investors processed new data showing that real GDP growth in the fourth quarter slowed more than expected while underlying inflation picked up in December. The Dow Jones Industrial Average, the S&P 500, and the Nasdaq Composite all declined following the release, which prompted a significant shift in investor expectations regarding the timing of future interest-rate cuts by the Federal Reserve. The combination of cooling economic growth and rising price pressures led to market losses across major sectors and a notable increase in volatility.
Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., February 17, 2026. REUTERS/Brendan McDermid
Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., February 17, 2026. REUTERS/Brendan McDermid
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