Opening Comment — Monday, January 12, 2026
DJIA: 49,504.07, up 237.96
S&P 500: 6,966.28, up 44.82
NASDAQ: 23,671.35, up 191.33
Stocks lower after investigation into Powell
Stock futures are lower Monday morning following reports of a criminal investigation into Federal Reserve (Fed) Chair Jerome Powell, who responded forcibly, stating, “the threat of criminal charges is a consequence of the Federal Reserve setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the President.” Investors are also looking forward to this week’s inflation data, starting with tomorrow’s December Consumer Price Index (CPI). As of 7:19 AM ET, the Dow is decreasing 0.7%, while the S&P 500 is down 0.5%. The Nasdaq 100 is falling 0.8% relative to fair value on the GLOBEX.
U.S. equities were higher on Friday as December saw non-farm payrolls increase by 50,000, below expectations, with the figures for the prior two months being revised downward by a collective 76,000. Both the unemployment rate and labor force participation slightly decreased to 4.4% and 62.4%, respectively. Meanwhile, the University of Michigan’s preliminary January reading of consumer sentiment improved more than expected and the measure of one-year inflation expectations remained steady at 4.2%, while the 5-10-year outlook increased to 3.4%. The Dow was up 0.5% and reached a new record closing level of 49504.07, while the tech-heavy Nasdaq Composite rose 0.8%. The S&P 500 increased 0.7% and set a new record closing level of 6966.28, with nine of 11 sectors finishing in positive territory. The Materials sector was the top performer, rising 1.8%, while the Health Care sector was the bottom performer, falling 0.6%.
Across the pond, European stocks are mostly lower in mid-day trading as the Sentix Investor Confidence Index for the Eurozone improved in January, increasing to negative 1.8 from negative 6.2 in December.
Overnight in Asia, stocks were higher as Australia’s household spending rose more than expected in November, increasing 6.3% year-over-year.
In FOREX trading, the U.S. dollar is lower ahead of tomorrow’s CPI Inflation data release.
Over in the commodity pits, West Texas Intermediate (WTI) crude oil is 0.8% lower at $58.65/barrel.
In the metals complex, gold is 1.7% higher at $4,584.72/ounce following a weakening U.S. dollar.