Morning Pulse - January 22, 2026

[KATE] Good morning, and welcome to Morning Pulse for Wednesday, January 22nd. I'm Kate Chen.

[ALEX] And I'm Alex Morgan. Let's get you ready for the trading day.

[KATE] Big moves overnight as futures are pointing to a strong open. The S&P is up about 35 basis points in pre-market, with the Nasdaq leading, up half a percent.

[ALEX] The catalyst here is a significant policy reversal on trade. Markets are embracing what some traders are calling the TACO phenomenon—Tariffs Are Coming Off. This removes a key near-term uncertainty that had been weighing on sentiment.

[KATE] Across the pond, we got a hotter-than-expected UK inflation print. CPI came in at 3.4% versus the 3.3% consensus. That's putting pressure on the Bank of England's rate cut timeline.

[ALEX] In sector action, semiconductors continue their hot streak. AMD is leading the charge, up another 3% pre-market on continued AI chip demand optimism. The SOX index is approaching all-time highs.

[KATE] And in commodities, natural gas is surging—up 8% overnight on polar vortex forecasts. If you're long UNG or energy names, this could be your day.

[ALEX] Looking at the calendar, we have Initial Jobless Claims at 8:30 AM, consensus is 215,000. After the close, we get earnings from Meta, which could set the tone for tech next week.

[KATE] Key levels to watch: S&P resistance at 6,150, support at 6,080. The 10-year yield is at 4.62%, so watch that 4.65% level.

[ALEX] That's your Morning Pulse. The signal, not the noise. We'll see you this afternoon for the wrap.