January 30, 2026

Markets:

Stock futures fell Friday, a day after the S&P 500 posted a second consecutive losing session, but trimmed declines after President Donald Trump nominated Kevin Warsh to succeed Jerome Powell as Federal Reserve chair.

Warsh’s selection was likely to ease concern about Fed independence because of his experience as a Fed governor and strong stance at times against inflation. While he is likely to push for lower rates in short term as Trump wants, the financial markets view him as someone who wouldn’t always follow the president’s direction and maintain credibility for monetary policy.

Gold futures dropped more than 4%, while contracts tied to silver plunged 12%. Despite the declines, gold and silver remain higher over the past year by 80% and 209%, respectively. Treasury yields were steady after Warsh’s selection, another sign Wall Street was OK with Trump’s pick.

Portfolio:

Trump officially named Kevin Warsh as his pick for Fed Chair. Though typically viewed as more hawkish, the market assumes any nominee would ultimately need to balance policy with the administration’s rate agenda.

On the inflation front, December PPI came in hotter than expected at 3.0% versus 2.7%. Core PPI surprised to the upside as well, rising to 3.3% versus 2.9%, marking the highest reading since July 2025. Inflation pressures remain sticky.

Expect volatility today. No changes to current positions, and the queue is already active early. We head into the final sessions holding TSLL and SATL.  Stay patient and once price action confirms, we’ll act.