U.S. Market Highlight - January 2026

This month we’ve seen U.S. stock markets face a sharp reality check after a strong start to the year. After hitting near-record levels in early January, major indexes like the Dow Jones, S&P 500 and Nasdaq pulled back as investor uncertainty spiked. The sell-off has been driven in part by concerns over new policy moves, including tariff threats targeting several trading partners - which rattled confidence and sparked a broad market downturn across equities.

This shift underscores how sensitive markets remain to geopolitical and regulatory developments, and reminds us that even after record highs, risk and volatility are always part of the picture in financial markets. Investors are watching closely for economic data and policy signals that could shape the trajectory for the rest of 2026.