Market Review: January 05, 2026
Closing Recap
On January 5, 2026, U.S. stocks experienced a positive trading day, with notable gains across major indices. The Dow Jones Industrial Average reached a new intraday record high, surpassing 49,000 for the first time. The S&P 500 and Nasdaq also showed strong performance, with the S&P closing above 6,900 and the Nasdaq rising significantly.
Index Performance
| Index | Up/Down | % Change | Last |
|---|---|---|---|
| DJ Industrials | 595.07 | 1.23% | 48,977 |
| S&P 500 | 43.62 | 0.64% | 6,902 |
| Nasdaq | 160.19 | 0.69% | 23,395 |
| Russell 2000 | 39.70 | 1.58% | 2,547 |
Market Drivers
Key market drivers included:
- A U.S. military strike that captured Venezuelan President Nicolas Maduro, raising geopolitical tensions.
- Volatility in the tech sector coinciding with the Consumer Electronics Show (CES), featuring major presentations from industry leaders.
Economic Data
The ISM U.S. manufacturing activity index reported a slight decline to 47.9 in December, below expectations. However, the prices paid index showed an increase, indicating inflationary pressures.
Commodities and Currencies
Gold and silver prices surged due to the geopolitical situation in Venezuela, with gold reaching a one-week high. Crude oil prices also rose, reflecting market reactions to the Venezuelan crisis.
Commodity Performance
| Commodity | Change | Last Price |
|---|---|---|
| WTI Crude | +1.00 | $58.32 |
| Gold | +121.90 | $4,451.50 |
| Silver | +7.5% | $76.16 |
Sector News Breakdown
Various sectors saw significant movements:
- Financials: Large cap banks reached all-time highs, with upgrades from analysts.
- Energy: Stocks surged due to potential access to Venezuela's oil reserves.
- Technology: Companies like NVDA and AMD were in focus during CES.
Conclusion
The market opened the year on a strong note, driven by positive sentiment in risk assets and significant geopolitical developments. Investors are closely monitoring upcoming economic data and sector performances as the week progresses.