Morning Preview: January 08, 2026

Early Look

On January 8, 2026, US futures are showing modest declines following a mixed performance on Wall Street the previous day. The Dow Jones Industrial Average fell over 400 points from record highs, while the S&P 500 also slipped from its peak. In contrast, the Nasdaq ended higher, buoyed by technology stocks.

Market Overview

Traders are currently assessing the latest labor data, which revealed that ADP private payrolls were better than the previous month but fell short of consensus forecasts. Additionally, JOLTs job openings missed expectations significantly, creating uncertainty ahead of the upcoming nonfarm payroll report.

Sector Performance

Only three of the S&P 500’s 11 sectors finished in the green, with Health Care leading the way. Utilities, however, were the weakest performers during the session.

Global Market Reactions

In global news, the Wall Street Journal reported that China has halted reviews for rare earth export licenses to Japan, a move linked to recent tensions regarding Taiwan. In stock news, Nvidia is now requiring full upfront payments from Chinese customers for its H200 AI chips, reflecting ongoing uncertainties regarding Beijing's approval of these shipments. Defense stocks are seeing gains after President Trump announced plans to request a $1.5 trillion increase in the US military budget for 2027.

Market Closing Prices (Previous Day)

• S&P 500 Index: -23.89 points, or 0.34%, to 6,920.93
• Dow Jones Industrial Average: -466.00 points, or 0.94%, to 48,996.08
• Nasdaq Composite: +37.10 points, or 0.16%, to 23,584.28
• Russell 2000 Index: -7.48 points, or 0.29%, to 2,575.42

Economic Calendar for Today

• 7:30 AM ET: Challenger Job Layoffs for December
• 8:30 AM ET: Weekly Jobless Claims (est. 210K)
• 8:30 AM ET: Continuing Claims (est. 1.90M)
• 8:30 AM ET: Nonfarm Productivity prelim for Q4 (est. +3.0%)
• 8:30 AM ET: Unit Labor Costs prelim for Q4 (est. +1.0%)
• 8:30 AM ET: International Trade Balance for October (est. -$90.0B)
• 10:00 AM ET: Wholesale Inventory M/M for October (est. +0.2%)
• 10:30 AM ET: Weekly EIA Natural Gas Inventory Data
• 3:00 PM ET: Consumer Credit for November

Sector News Breakdown

Consumer Sector

Constellation Brands reported an adjusted EPS of $3.06, exceeding estimates, while Costco's December net sales rose 8.5% year-over-year. The Buckle Inc. also reported a 5.5% increase in comparable store net sales.

Energy, Industrials, and Materials

Alcoa was downgraded by JPMorgan, while AZZ Inc. reported better-than-expected earnings. Generac was upgraded by Citigroup after a significant stock decline.

Financials

Coinbase received an upgrade from Bank America, while Franklin Covey reported a disappointing Q1 EPS.

Healthcare

Eli Lilly confirmed its acquisition of Ventyx Biosciences for $1.2 billion, while Phathom Pharmaceuticals announced preliminary Q4 revenues above estimates.

Technology, Media & Telecom

Nvidia's demand for upfront payments from Chinese customers highlights ongoing geopolitical tensions affecting tech supply chains.

Conclusion

The market is navigating through mixed signals from economic data and geopolitical developments, with particular attention on labor statistics and sector-specific earnings reports. Investors are advised to stay informed as the day progresses.