Wall Street experienced a sharp selloff on Friday driven by AI-related economic disruption concerns and hotter-than-expected producer price data. Major indices declined with the Dow falling 1.3% and Russell 2000 dropping 2.1%. Financial stocks and private equity firms led the losses, while Netflix rallied 12% after withdrawing from a bidding war for Warner Bros. Discovery.

Nvidia experienced profit-taking after earnings despite beating expectations, but analyst maintains $300 price target by end of 2026 and $500 by decade's end. Data center stocks also beat guidance with rising backlogs. Market volatility was driven by Blue Owl's private credit redemption freeze, impacting financial stocks. Despite recent volatility, strong economic growth and accommodative Fed policy are expected to support stock market momentum.

Major tech hyperscalers have accumulated $662 billion in off-balance-sheet data center lease obligations that don't appear on their balance sheets under GAAP accounting. As AI infrastructure leases commence in coming years, over half a trillion dollars in assets will appear on corporate balance sheets, pressuring accounting metrics. Critics including Michael Burry allege companies are using aggressive accounting to mask true AI infrastructure costs and overstate hardware useful life.

Blue Owl Capital rose 2.63% on Feb. 24, 2026, as investors reassessed the company's liquidity management following tightened withdrawal restrictions on its private credit fund. The CEO's commitment to return 30% of investor capital at book value within 45 days helped restore confidence. The broader market gained with the S&P 500 up 0.77% and Nasdaq up 1.04%, while alternative asset managers Blackstone and KKR also posted gains.

Blue Owl Capital (OWL) stock, trading near 52-week lows at $10.20-$10.30, offers an 8.7-9.0% dividend yield but carries significant risks. The company's heavy concentration in private credit, particularly AI infrastructure and tech lending, exposes it to valuation repricing risks. Recent redemptions of $527M from its tech-focused fund and elevated redemptions across multiple vehicles signal client concerns. With adjusted free cash flow yield of only 3.1% after accounting for stock-based compensation, the dividend appears partially funded by share dilution. The article concludes OWL is a leveraged macro trade on private credit rather than a safe yield play, recommending avoidance for cautious investors.

Wall Street strategist Ed Yardeni rejected a viral research note from Citrini Research warning that AI could trigger economic collapse by 2028. While Citrini outlined a scenario where AI-driven worker replacement leads to unemployment above 10% and S&P 500 decline of 40%, Yardeni argues AI augments rather than replaces workers and maintains his S&P 500 10,000 target by decade's end. The debate centers on whether AI ultimately strengthens or weakens the economy.

Wall Street experienced significant losses on Monday as risk sentiment deteriorated due to AI-related credit concerns and trade policy uncertainty. Major indices fell over 1%, with financial and technology sectors hit hardest. Asset managers faced particular pressure following Blue Owl Capital's announcement of a $1.4 billion asset liquidation from a private credit fund, triggering a wave of selling across the financial sector.

Rosen Law Firm reminds former Smartsheet Inc. stockholders of the February 24, 2026 lead plaintiff deadline in a securities class action lawsuit. The complaint alleges that Smartsheet issued a false and misleading proxy statement in connection with its January 2025 acquisition by a consortium including Blackstone, Vista Equity Partners, and the Abu Dhabi Investment Authority, mischaracterizing the company's financial performance and using fabricated metrics to solicit stockholder approval.

Rosen Law Firm is reminding former Smartsheet stockholders of the February 24, 2026 lead plaintiff deadline in a securities class action lawsuit. The complaint alleges that Smartsheet issued a false and misleading proxy statement in connection with its January 2025 acquisition by a consortium including Blackstone, Vista Equity Partners, and the Abu Dhabi Investment Authority. The lawsuit claims defendants mischaracterized the company's financial performance and used fabricated metrics to solicit stockholder approval.

Rosen Law Firm reminds former Smartsheet stockholders of the February 24, 2026 lead plaintiff deadline in a securities class action lawsuit. The complaint alleges that Smartsheet issued a false and misleading proxy statement in connection with its January 2025 acquisition by a consortium including Blackstone, Vista Equity Partners, and the Abu Dhabi Investment Authority, mischaracterizing the company's financial performance and using fabricated metrics to solicit stockholder approval.

Rosen Law Firm is reminding former Smartsheet Inc. stockholders of the February 24, 2026 lead plaintiff deadline in a securities class action lawsuit. The complaint alleges that Smartsheet issued a false and misleading proxy statement in connection with its January 2025 sale to a consortium including Blackstone, Vista Equity Partners, and the Abu Dhabi Investment Authority, mischaracterizing the company's financial performance and using fabricated metrics to solicit stockholder approval.

Blackstone reported that the global dealmaking recovery is firmly underway, with accelerating IPO and M&A activity compared to recent years. The firm led Medline's $7.2 billion IPO, the largest sponsor-backed IPO in history. While Q4 revenue declined 5% year-over-year to $3.94 billion, distributable earnings beat expectations at $1.75 per share. However, Blackstone's stock fell 2.62% following the earnings announcement.