PPI data and Trump’s Fed chair pick are in focus 30/01/2026

HOT stories for today

Market wrap:

• U.S. stocks ended mixed in regular trading, with the S&P 500 edging down 0.1% and the Nasdaq Composite sliding 0.7%. The Dow Jones Industrial Average outperformed, rising 0.11%, or about 56 points. Microsoft weighed heavily on broader markets after a sharp post-earnings selloff. Shares tumbled about 10%, the stock’s worst one-day drop since March 2020, after the company reported a modest deceleration in Azure cloud revenue growth and issued weaker-than-expected operating margin guidance for the fiscal third quarter. Losses spilled across the software sector amid concerns that heavy investment in artificial intelligence could pressure traditional business models. ServiceNow, CoreWeave and Salesforce all declined. Investors also digested macroeconomic signals. The Federal Reserve left interest rates unchanged, with Chair Jerome Powell emphasizing heightened caution around labor-market conditions. Powell also reiterated that future Fed leadership should avoid involvement in partisan politics.
• In commodities, gold prices pulled back slightly after touching a fresh record high near $5,500 an ounce. Goldman Sachs last week set a year-end target of $5,400 for the metal. U.S. trade data added to unease. The November trade deficit widened to $56.8 billion, the largest month-over-month increase in 34 years and nearly double October’s shortfall, underscoring the challenge facing efforts to curb imports through tariffs. After the bell, Apple shares rose after the company reported a stronger-than-expected quarter, driven by a robust iPhone 17 upgrade cycle, particularly for higher-end Pro models. Investors are also watching developments in Washington, where the Senate failed to advance a procedural vote on a government funding bill, raising the risk of a federal shutdown as early as 12:01 a.m. ET on Saturday.

Trump Fed Pick Tilts to Warsh

• President Donald Trump said he will announce his nominee to lead the Federal Reserve on Friday morning, setting off a fresh round of speculation in prediction markets that now overwhelmingly favor Kevin Warsh, a former Fed governor. Warsh’s implied odds climbed to about 87% on Polymarket and 86% on Kalshi, as early front-runner Rick Rieder, BlackRock’s chief investment officer for global fixed income, fell sharply to single digits. Rieder had led the field earlier in the day, ahead of Warsh and two other names: Kevin Hassett, who runs the White House National Economic Council, and Fed Governor Christopher Waller, a Trump appointee. Trump had previously suggested he would make the decision next week, remarks delivered at a cabinet meeting where he again criticized current Chair Jerome Powell.
• The announcement timeline accelerated after the president said in Washington, at the premiere of a documentary about first lady Melania Trump, that the pick would come “tomorrow morning.” The jockeying follows the Fed’s decision a day earlier to hold rates in a 3.5% to 3.75% range. Trump, who has repeatedly pushed for lower borrowing costs, said Thursday there was “absolutely no reason” to keep rates “so high.” Evercore ISI analysts have said Warsh would likely lean similarly dovish to Hassett through year-end, while potentially turning less accommodative in 2027 or 2028 if inflation pressures reemerge. Rieder has argued the policy rate should move toward 3%, calling that level closer to equilibrium in a recent CNBC interview.

Stocks on the move:

• Apple (AAPL): Shares rose less than 1% after the company posted blowout fiscal first-quarter results, with notably strong revenue from its iPhone 17 models released in September. Apple earned $2.84 per share for the quarter, topping the $2.67 expected by analysts surveyed by LSEG. Revenue was $143.76 billion, well above the $138.48 billion consensus. iPhone revenue surged 23% from a year earlier to $85.27 billion. Sales in China also climbed, easing concerns about competition and demand in the region.
• Sandisk (SNDK): The data-storage maker jumped 11% after issuing upbeat guidance. Sandisk sees fiscal third-quarter adjusted earnings of $12 to $14 a share, versus the FactSet consensus of $5.11. Second-quarter results also topped estimates on both revenue and profit.
• Visa (V): Shares slipped nearly 2% in extended trading despite strong fiscal first-quarter results. Visa posted adjusted earnings of $3.17 a share on revenue of $10.9 billion, helped by gains in cross-border payments and overall volume. Analysts polled by LSEG had forecast $3.14 a share and $10.69 billion in revenue.
• Western Digital (WDC): The digital-storage company rose about 1% after providing a stronger outlook for the fiscal third quarter. Western Digital forecast adjusted earnings of about $2.30 a share on revenue of roughly $3.2 billion. LSEG consensus was $1.96 a share and $2.96 billion.
• Robinhood (HOOD): Shares added about 2% after Bloomberg News reported the Trump administration is weighing a role for the company in overseeing the tax-advantaged “Trump accounts” being created for eligible children under 18. Robinhood is preparing for the possibility of being named a trustee for the program, Bloomberg reported, citing people familiar with the matter.

Watchlist: AAPL, SNDK, WDC, HOOD, XOM, CVX, AXP, V, VZ

Key Economic Events Today:

EST time

08:30 am: USD PPI, Core PPI
09:45 am: USD Chicago PMI
12:30 pm: USD FOMC Member Musalem Speaks


Earnings

BMO (Before Market Open): Exxon Mobile (XOM), Chevron Corp. (CVX), American Express (AXP), Verizon (VZ), Regeneron Pharma (REGN), Aon plc (AON), Colgate-Palmolive (CL)


The TEFS Analyst team wishes you a successful day!