US markets wavered Monday after President Donald Trump escalated pressure on Federal Reserve Chair Jerome Powell, triggering a brief return of the so called “Sell America” trade.
US stock futures, bonds, and the dollar sold off overnight following news of a criminal investigation involving Powell.
Losses eased by morning, with the Dow down modestly and the S&P 500 flat, while the Nasdaq edged higher. The dollar weakened against major currencies, and Treasury yields rose, signaling investor unease.
☀️ Good Morning — ☀️
— NewTalics (@Newtalics) January 12, 2026
Here’s what’s shaping the global narrative this week 👇
📈 Markets at Record Highs
🚀 US Stocks:
• S&P 500 & Dow hit fresh all-time highs
• Housing stocks surged after Trump’s $200B mortgage bond push 🏠
• Apple 🍎 fell for an 8th straight day — worst…
Safe haven assets surged. Gold climbed to a record above $4,600 an ounce, while silver posted sharp gains. Market volatility also ticked higher, according to CNN.
Investors remain sensitive to threats against Fed independence, a pillar of US financial stability.
Analysts warn that sustained political pressure on the central bank could weaken confidence in US assets, lift borrowing costs, and fuel further volatility.
Despite the jitters, some analysts note markets have grown accustomed to Trump’s confrontations with the Fed and expect only limited fallout in the near term.
Also read:
TIPP Staff
