Here’s what’s happening in the stock market today:
The stock market shows mild declines in premarket trading on January 13, 2026, following record highs yesterday amid a DOJ probe into Fed Chair Powell and ahead of December CPI data. Futures for major indices are down 0.1-0.2%, while bank earnings kick off the season with JPMorgan beating estimates. Inflation data met expectations at 2.7% year-over-year, supporting steady Fed rate cut odds.
Major Indices 📊
S&P 500 futures down 0.1% after the index hit a record close yesterday.
Dow Jones futures off 0.1%, extending gains from Monday's 0.17% rise to 49,590.
Nasdaq 100 futures slip 0.2%, reflecting some tech caution post-record session.
Market Movers 🚀
L3Harris Technologies surges 12-13% on plans to spin off its missile unit with DoD backing.
JPMorgan Chase up ~1% after Q4 earnings beat at $5.23/share on strong trading.
Intel and AMD rise 2-3% on upgrades tied to data center demand.
Delta Air Lines drops 5% on mixed Q3 results and weak guidance.
Key Events 🗞️
December CPI rose 2.7% YoY as expected, with core steady, easing some inflation fears.
DOJ probe into Powell over Fed building plans adds uncertainty, but markets shrugged it off yesterday.
Bank earnings season underway; more reports like BNY Mellon influence sentiment.
Investor Sentiment 👀
Traders stay cautious with light volume, balancing inflation stability, Fed drama, and earnings against record highs. Optimism persists for rate cuts, but volatility looms from policy risks.
TRADE OF THE DAY:
AVAV
Name: AeroVironment Inc.
Symbol: AVAV
Current Price: Approximately $358.62
Trade
Sell to Open: 1 AVAV Jan 30, 2026 305/300 Put Vertical
Total Credit Received: $54.00
Credit per Contract: $54.00
Direction: Bullish
Probability of Profit (PoP): 84.68%
Potential ROI:
Max Risk (Loss): $446.00
ROI: ($54 ÷ $446) × 100 ≈ 12.1%
Trade Explained in Simple English:
This is a bullish put credit spread where you sell the 305 put and buy the 300 put on AVAV, both expiring January 30, 2026. You collect $54 upfront, which is the maximum profit if AVAV stays above the break-even price. The trade will be profitable as long as AVAV closes above approximately $304.46 at expiration. Your maximum loss is capped at $446 if the stock falls below $300, while the probability of success is relatively high at 84.68%.
Wall Street Highlights:
News Beyond the Numbers
JPMorgan Chase completed its acquisition of the Apple Card portfolio from Goldman Sachs, booking a $2.2 billion loan-loss reserve amid strong trading revenue growth. Read more.
U.S. Bancorp entered a definitive agreement to acquire BTIG, a firm specializing in investment banking, institutional sales, trading, research, and prime brokerage to boost capital markets growth. Read more.
The Baldwin Group finalized its acquisition of Obie, a Chicago-based platform providing embedded insurance solutions for landlords and real estate investors. Read more.
Paramount Skydance sued Warner Bros Discovery in Delaware court seeking financial details on its Netflix merger deal while planning a proxy fight and board nominations to push its superior $108.7 billion bid. Read more.
The Justice Department subpoenaed the Federal Reserve and threatened criminal indictment over Chair Jerome Powell's testimony on building renovations, escalating President Trump's feud with the central bank. Read more.
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