Opening Bell - Morning Commentary

Dow falls as JPMorgan tumbles on earnings miss

The Dow retreated from Monday's record close as JPMorgan Chase plunged 4.2% after reporting a 7% decline in fourth-quarter profit, despite beating adjusted earnings estimates. Investment banking fees missed expectations, pressuring the broader financial sector.

Visa fell 4.5%, and Mastercard dropped 3.8% amid concerns over President Trump's proposed 10% cap on credit card interest rates. JPMorgan CEO Jamie Dimon warned that the proposal would severely damage both industry profits and consumer welfare.

U.S. stocks closed lower Tuesday, with financials leading declines. December inflation data met expectations, leaving Federal Reserve rate cut projections for 2026 unchanged.

Trump has also proposed barring defence contractors from paying dividends or engaging in buybacks and blocking institutional investors from purchasing single-family homes.

Oil prices jumped 2.8% on escalating Iran tensions, fuelled by nationwide anti-government protests and Trump's public support for demonstrators.

A brewing feud between the Federal Reserve and President Donald Trump also remained in focus.

The rupee weakened by 4 paise against the dollar amid regional currency pressures, rising crude oil and metal prices, and sustained FII outflows.

After a brief pullback session, Nifty resumed its downward trajectory. A late recovery of over 150 points in the final hour capped the downside, falling 57 points to close at 25,732.

For bullish reversal confirmation, Nifty needs to cross its 50 DEMA placed near 25,900. On the downside, the recent swing low of 25,473 is likely to offer short-term support.

Indian stock exchanges NSE and BSE will remain closed on Thursday, January 15, 2026, for the Maharashtra Municipal Corporation elections.

Indian markets are poised to open near yesterday's close and attempt a recovery from lower levels.