United States: Daily Stock Market Performance Insight - January 13, 2026

MARKET PULSE: US Equities continued their strong start to 2026, with the S&P 500 reaching a record high of 6972, up 11 points, and the NASDAQ closing at 23733, up 62 points on January 12. However, pre-market futures traded lower following news of a subpoena issued to Federal Reserve Chair Powell. Overall market sentiment is cautiously optimistic, balancing record highs with emerging risks.

KEY THEMES: Inflation data and earnings reports dominated today’s news. The December CPI report showed inflation easing, with total CPI rising 2.7% year-over-year and core CPI at 2.6%, both matching or falling below forecasts. This initially fueled hopes for a March rate cut, but the market quickly recalibrated, anticipating a June reduction. Simultaneously, Q4 earnings season began with mixed results. JPMorgan Chase beat EPS estimates at $5.23, exceeding the $4.92 estimate, but its stock fell 3% due to factors including a one-time charge and concerns about investment banking revenues. Delta Air Lines also reported slightly ahead of expectations with an adjusted EPS of $1.55, but disappointing 2026 guidance caused a 3-5% stock decline.

DATA-DRIVEN: Micro-cap shares are leading US equity performance year-to-date, up 6.2% through January 12, outperforming the S&P 500’s 1.9% gain. The high-beta factor is up 5.1% YTD. Housing sentiment is improving as 30-year mortgage rates slipped below 6%. Oil prices rose to a 7-week high due to concerns over potential supply disruptions related to a proposed 25% tariff on countries trading with Iran. NVIDIA traded flat at $184.9 (+0.02%), while Amazon fell 0.37% to $246.47.

INVESTOR IMPLICATIONS: Investors should monitor developments regarding the Justice Department’s investigation into Fed Chair Powell, as this introduces significant policy uncertainty. The performance of micro-cap stocks suggests a potential shift in market leadership. While the overall market remains bullish, Deutsche Bank warns of increased risks in 2026 and suggests diversifying into European markets. Tomorrow, focus on upcoming earnings reports and any further commentary on the timing of potential rate cuts. Sectors benefiting from lower mortgage rates, like housing, show momentum, while energy stocks could see continued volatility due to geopolitical tensions.