Thursday Digest: Market Movements and Key Highlights from January 22, 2026

The stock market showed clear signs of optimism on January 22, 2026, with major indexes climbing for the second consecutive day. This positive momentum followed a series of political and economic developments that eased investor concerns and shifted market sentiment. From the retreat of tariff threats by President Trump to strong corporate earnings and notable moves in commodities, the day offered a snapshot of a market navigating geopolitical tensions and economic indicators.

Stock exchange trading floor showing active market movements

Stock Indexes Rise as Tariff Threats Ease

On Thursday, the Nasdaq, Dow Jones Industrial Average, and S&P 500 all posted gains, rising by 0.9%, 0.6%, and 0.6% respectively. This followed President Trump’s decision to retract earlier tariff threats related to Greenland and NATO. The president clarified that no military action would be taken in Greenland and halted the imposition of tariffs on NATO allies. This move helped calm fears of escalating trade conflicts, which had weighed heavily on market confidence in recent weeks.

Investors welcomed the news as a sign of reduced geopolitical risk, which often triggers market volatility. The tech-heavy Nasdaq led the gains, boosted by strong performances from major technology firms, including the so-called "Magnificent Seven," with Meta showing particularly notable growth.

Inflation and Treasury Yields Show Stability

The Personal Consumption Expenditures (PCE) price index, a key inflation gauge closely watched by the Federal Reserve, rose by 0.2% for the month and 2.8% year-over-year. These figures aligned with market expectations and suggested that inflation pressures remain steady but manageable. As a result, the Federal Reserve is unlikely to change its current monetary policy stance in the near term.

The 10-year Treasury yield held steady at 4.25%, maintaining its level after recent peaks. This stability in bond yields reflects a balance between inflation concerns and economic growth prospects. Investors continue to monitor these yields closely, as they influence borrowing costs and investment decisions across the economy.

Close-up of gold bars representing rising gold futures prices

Commodities Show Mixed Performance

Gold futures surged to a new high, surpassing $4,930 an ounce. This rise reflects ongoing demand for safe-haven assets amid geopolitical uncertainties and inflation concerns. Gold’s appeal as a store of value remains strong when markets face potential disruptions.

In contrast, Bitcoin and the U.S. dollar index experienced slight declines. Bitcoin’s drop may be linked to profit-taking after recent gains, while the dollar’s weakness could be tied to easing trade tensions and expectations of stable interest rates.

Crude oil futures fell sharply, dropping over 2% to $59.35 per barrel. The decline was driven by concerns over demand amid global economic uncertainties and increased supply expectations. This drop in oil prices could ease some inflationary pressures but may also signal caution among energy investors.

Corporate Earnings and Market Movers

Intel’s shares initially rose on strong earnings reports but fell in after-hours trading due to a cautious outlook. The company’s mixed signals highlight the challenges tech firms face in balancing growth with cost pressures.

The "Magnificent Seven" tech firms, led by Meta, continued to drive market gains. Their strong performance underscores the sector’s resilience and investor appetite for technology stocks despite broader economic concerns.

Tesla’s CEO Elon Musk announced ambitious plans to develop humanoid robots by 2027. This announcement sparked interest in the robotics and AI sectors, signaling potential new growth avenues for the company beyond electric vehicles.

United Airlines reported robust demand for business travel, boosting expectations for its earnings. This recovery in travel demand reflects improving economic conditions and increased corporate activity.

Busy airport runway illustrating strong business travel demand

Legal and Geopolitical Developments Impacting Markets

President Trump filed a lawsuit against JPMorgan Chase, alleging politically motivated account closures. This legal action adds another layer of uncertainty to the financial sector, as it may influence banking policies and investor sentiment.

Geopolitical tensions remain a key factor for investors. While tariff threats have eased, ongoing uncertainties require careful attention to potential market disruptions. The energy sector gained due to weather-related concerns, which often affect supply and prices.

Inflation pressures continue to challenge household incomes, impacting consumer spending patterns. This dynamic will be important to watch as it influences economic growth and corporate earnings.

IPO Market Shows Promise

The initial public offering (IPO) market is poised for a strong start in 2026, with BitGo’s public offering generating significant interest. This signals investor confidence in new technology and financial services companies, despite broader market uncertainties.

The IPO activity reflects a willingness among investors to seek growth opportunities in emerging sectors, balancing risk with potential rewards.

Final Thoughts on Market Trends

January 22, 2026, demonstrated how markets respond to a mix of political decisions, economic data, and corporate developments. The retreat of tariff threats helped ease fears, while steady inflation and stable bond yields provided a foundation for cautious optimism.

Best Regards,

Stock Market Charlie