By Caitlin McCabe
Investors got a double whammy of results and inflation data Tuesday morning, with JPMorgan Chase kicking off bank earnings and the consumer-price index for December rolling in.
Headline prices rose by 2.7% from a year earlier, as expected and in line with November's rate. Core CPI, which excludes food and energy prices, also held at the prior month's rate, rather than accelerating as forecast.
U.S. indexes were muted in morning trading. Treasury yields pared gains. Investor anxiety about the investigation into Federal Reserve Chair Jerome Powell appeared to abate slightly, with gold prices retreating and the dollar partially unwinding Monday's decline.
Global central bankers pledged solidarity for Powell and JPMorgan CEO Jamie Dimon defended the Fed's independence, saying anything that chips away at that is "not a good idea." The bank posted a 7% drop in quarterly profit, while revenue missed forecasts. BNY Mellon reported a decline in investment and wealth-management revenue.
Oil futures rose 1.5% after President Trump said he was imposing a 25% tariff on countries doing business with Iran. He is expected to meet Tuesday with aides to discuss a response to the country's protests, and has said he is considering military measures.
In other markets:
Japan's Nikkei 225 surged to a record, while the yen and government bonds fell, on rising expectations of a snap election next month.
Write to Caitlin McCabe at caitlin.mccabe@wsj.com
This item is part of a Wall Street Journal live coverage event. The full stream can be found by searching P/WSJL (WSJ Live Coverage).
(END) Dow Jones Newswires
January 13, 2026 09:39 ET (14:39 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.
