On Wednesday, January 15, U.S. markets closed significantly higher, with major indexes recording their largest gains in over two months. The rally was fueled by softer-than-expected inflation data (CPI, PPI) and robust bank earnings. While expectations for Federal Reserve rate cuts increased, concerns about inflation and potential policy shifts under the incoming Trump administration persisted.

In economic data, the Consumer Price Index rose 2.9% year-over-year in December, up from 2.7% in November, aligning with forecasts. Monthly inflation climbed 0.4%, the sharpest increase since March 2024, following November’s 0.3% gain.

Most S&P 500 sectors rose, with consumer discretionary, communication services, and financials leading gains, while consumer staples closed slightly lower.

The Dow Jones Industrial Average was up 1.65% and closed at 43,221.55, the S&P 500 closed higher by 1.83% at 5,949.91, and the Nasdaq Composite rose 2.45% to finish at 19,511.23.

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Eurozone at 06:00 AM ET

• The European STOXX 50 was up 1.32%.
• Germany’s DAX fell 0.10%.
• France’s CAC rose 1.98%.
• U.K.’s FTSE index 100 traded higher by 0.88%.

Commodities at 06:00 AM ET

U.S. Futures at 06:00 AM ET

Dow futures were down 0.01%, S&P 500 futures rose 0.19% and Nasdaq 100 futures gained 0.31%.

Forex at 06:00 AM ET

• The U.S. Dollar Index fell 0.05% to 109.06, USD/JPY declined 0.42% to 155.73, and USD/AUD gained 0.21% to 1.6092.
• The U.S. dollar steadied despite falling bond yields after inflation data, as the focus shifted to Trump’s inauguration and its inflationary implications.

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