^GSPC Today: January 13 Trump Denial, Powell Probe Raise Policy Risk
The Jerome Powell subpoena tied to June testimony is back in focus and investors in Singapore are watching policy risk closely. President Trump denied involvement, while officials warned the probe could chill Fed independence. The S&P 500 index ^GSPC trades near 6,977, up about 0.16%, with a year high at 6,986.33. We outline why the Jerome Powell subpoena matters for rates, risk appetite, and key U.S. equity levels that can affect SGD assets through yields, currency, and global flows.
Policy risk check: subpoenas, independence, and denials
Fed Chair Powell disclosed Department of Justice grand jury subpoenas linked to his June testimony. His statement set out the facts and noted cooperation without commenting on outcomes. Read the official note here: Powell statement. The Jerome Powell subpoena has raised questions about how policy choices could be second guessed, even if the process remains at arm’s length.
The Jerome Powell subpoena introduces headline risk that could weaken confidence in Fed independence. Even with no change to the rate path, investors may demand a higher risk premium, pushing yields up and equity multiples down. President Trump publicly denied involvement in the DOJ action, which you can read here: Trump denial.
S&P 500 today: levels and momentum to watch
The index prints 6,977.26, up 0.16% on the day, after opening at 6,944.12. Day high 6,986.33 equals the year high, while the low sits at 6,934.07. Volume is 5.019 billion versus a 5.096 billion average. The 50-day average is 6,818.21 and the 200-day is 6,323.20. Bollinger upper band is 6,980.35 and ATR is 59.05, flagging a tight but tradable range.
RSI is 57.52, a constructive but not stretched read. Stochastic %K is 86.97 and %D is 77.60, near overbought. MACD histogram is 2.78 and MFI is 66.73, both supportive. CCI is 86.58 and Williams %R is -18.01. ADX at 12.18 signals no strong trend, while OBV stands at 63,903,590,000, showing steady participation.
What this means for Singapore investors
The Jerome Powell subpoena can spill into USD strength, U.S. Treasury yields, and global risk appetite. For Singapore, banks and exporters react to dollar moves, while REITs and rate-sensitive names respond to long-end yields. We track how S&P 500 today trades against these factors to judge near-term appetite for SGD risk.
USD/SGD often reflects shifts in U.S. policy risk. MAS targets the exchange rate rather than interest rates, so currency swings can move local financial conditions. We prefer simple hedges and balanced exposure. We also watch dividend durability for income names if global yields rise on political noise around Fed independence.
Scenarios, watchlist, and positioning cues
If the Jerome Powell subpoena widens, risk premia can rise and the index may retest the middle band at 6,866.40 or the lower band at 6,752.45. A narrow or procedural outcome could clear resistance near 6,986 to 6,988. Baseline projections show 7,149.03 monthly, 6,601.75 quarterly, and 6,931.21 yearly as reference markers, not promises.
We look to stagger entries near support, avoid concentration, and keep some dry powder. Watch Fed communications, DOJ updates, and primary data releases. The Jerome Powell subpoena is a headline risk, so position sizes should reflect that. For SG investors, focus on U.S. yields, USD/SGD, and sector exposure rather than short-term noise.
Final Thoughts
Policy risk sits front and center. The Jerome Powell subpoena draws attention to Fed independence and the possibility of a higher risk premium, even if the policy path stays data driven. S&P 500 today is testing year highs near 6,986 while momentum is firm but not extreme. For Singapore investors, the main channels are U.S. yields, USD/SGD, and global equity flows. We suggest a disciplined approach: track resistance at 6,986 to 6,988, support near 6,866 and 6,752, and watch official statements for clarity. Stay flexible on duration and equity exposure while this legal story unfolds.
FAQs
What is the Jerome Powell subpoena and why does it matter?
It refers to DOJ grand jury subpoenas connected to Chair Powell’s June testimony. The issue matters because it could chill perceived Fed independence, lift risk premia, and ripple into U.S. yields and equity valuations. Markets react to process risk even if policies do not change immediately.
Is President Trump involved in the DOJ action?
President Trump publicly denied involvement in the DOJ subpoenas. Markets will still assess whether political pressure could affect policy signals. For now, evidence of direct interference is not established. Investors should track official updates and watch how U.S. yields and the dollar respond to headlines.
How is the S&P 500 today reacting to the news?
The index trades near 6,977, up about 0.16%, with a day and year high of 6,986.33. It is close to the Bollinger upper band at 6,980.35, while RSI is 57.52, showing constructive momentum. Volume is slightly below average, suggesting selective participation rather than broad, high-conviction buying.
What should Singapore investors watch next?
Focus on U.S. Treasury yields, USD/SGD moves, and any official statements linked to the Jerome Powell subpoena. Monitor support at 6,866 and 6,752 and resistance near 6,986. Also watch sector sensitivity in local REITs and banks to shifts in global rates and risk appetite.
Disclaimer:
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.
