January 2026 market update

January 2026 opened with financial markets balancing optimism against a backdrop of rising geopolitical tension, persistent inflation pressures, and evolving trade relationships. Equity markets posted gains, but beneath the surface, investors navigated a landscape shaped by policy uncertainty, commodity volatility, and shifting global alliances. Central banks signaled caution as inflation remains a key concern, while energy and metals markets reacted sharply to geopolitical developments.

This update examines how early-year dynamics — including Canada’s trade positioning, elevated U.S. inflation readings, global geopolitical flashpoints, and the outlook for oil supply — are influencing investor sentiment and market performance. By connecting these forces to movements across equities, fixed income, currencies, and commodities, the report provides context for the pressures and opportunities shaping the investment environment at the start of 2026.

To read the full update, including data tables and detailed commentary, visit the full article on Canada Life: Monthly Market Update – January 2026.