On Wednesday, January 15, US markets closed significantly higher, with major indices recording their biggest gains in more than two months. The rally was fueled by softer-than-expected inflation data (CPI, PPI) and strong banking results. While expectations for rate cuts from the U.S. Federal Reserve have increased, concerns about inflation and potential policy changes under the incoming Trump administration have persisted.
Economic data showed that the Consumer Price Index rose 2.9% year-on-year in December, up from 2.7% in November, in line with forecasts. Monthly inflation rose 0.4%, the biggest increase since March 2024, following November’s 0.3% gain.
Most S&P 500 sectors rose, with consumer discretionary, communications services and financial services posting the biggest gains, while consumer staples closed slightly lower.
The Dow Jones gained 1.65% and closed at 43,221.55, the S&P 500 rose 1.83% to end at 5,949.91, and the Nasdaq Composite gained 2.45% to end at 19 511.23.
Asian markets today
- On Thursday, Japan’s Nikkei 225 closed 0.32% higher at 38,594.50, supported by gains in the banking, services, and power/manufacturing sectors.
- Australia’s S&P/ASX 200 index rose 1.38%, closing at 8,327.00, supported by gains in the financial sectors, A-REITs, and gold.
- India’s Nifty 50 index gained 0.59% to end at 23,350.50, and the Nifty 500 rose 0.88% to close at 21,740.60,
- China’s Shanghai Composite gained 0.28% and closed at 3,236.03, and the Shenzhen CSI 300 rose 0.11% to end the day at 3,800.38.
- Hong Kong’s Hang Seng Index ended the session up 1.23% at 19,522.89.
Eurozone at 06:00 (ET)
- The European STOXX 50 index increased by 1.32%.
- The German DAX fell 0.10%.
- The French CAC 40 increased by 1.98%.
- The British FTSE 100 index gained 0.88%.
Commodities at 06:00 (ET)
- WTI crude oil fell 0.01% to US$76.68 per barrel, and Brent lost 0.11% to US$81.94 per barrel.
- Oil prices stabilized after reaching record levels in several months, under the effect of US sanctions against Russia and a sharp drop in crude stocks, while OPEC+ maintained its caution in terms of supply in the face of growing global demand.
- Natural gas fell 0.42% to US$4.066.
- Gold was trading 0.75% higher at US$2,738.31, silver was up 1.32% at US$31.948, and copper was up 0.90% at 4.4287. US dollars.
US Futures at 06:00 (ET)
Dow futures fell 0.01%, the S&P 500 gained 0.19%, and the Nasdaq 100 rose 0.31%.
Forex at 06:00 (ET)
- The US dollar index fell 0.05% to 109.06, USD/JPY fell 0.42% to 155.73 and USD/AUD rose 0.21% to 1.6092.
- The US dollar stabilized despite falling bond yields following the release of inflation data as attention focused on Trump’s inauguration and its inflation implications.
Photo de Pavel Bobrovskiy via Shutterstock
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