US stocks open mixed: Nasdaq climbs 0.6%, Dow slips 300 points

• Health insurance stocks tumbled after the Centers for Medicare & Medicaid Services proposed only a 0.09% net average payment increase for Medicare Advantage insurers in 2027, well below industry expectations
• Over 90 S&P 500 companies are reporting earnings this week, including major tech firms Meta, Microsoft, and Tesla on Wednesday, and Apple on Thursday, with focus on AI-related spending and demand trends
• The Federal Reserve is widely expected to keep rates unchanged at Wednesday's meeting despite pressure from President Trump, who has intensified criticism of Fed Chair Jerome Powell and called for aggressive rate cuts

Market Summary: US Stocks Mixed Amid Tech Strength and Healthcare Weakness

Market Performance

US equities opened mixed on Tuesday, January 27, 2026. The Nasdaq Composite led gains, climbing 0.6%, while the S&P 500 rose modestly by 0.2%. The Dow Jones Industrial Average underperformed significantly, falling 300 points or 0.6%.

Sector Divergence

Technology: Large-cap tech stocks drove market gains ahead of critical earnings reports. Apple surged 1.9% and Microsoft advanced 1.6%, providing crucial support to broader indices.

Healthcare: Health insurers experienced sharp declines following disappointing Medicare guidance. UnitedHealth dragged down the Dow after the Centers for Medicare & Medicaid Services proposed only a 0.09% net average payment increase for Medicare Advantage insurers in 2027—well below industry expectations.

Key Catalysts

Earnings Season: Over 90 S&P 500 companies are reporting this week. Major tech earnings are scheduled for Wednesday (Meta Platforms, Microsoft, Tesla) and Thursday (Apple). Investors are scrutinizing results for insights into demand trends, margins, and AI-related capital spending.

Federal Reserve Meeting: The Fed's first 2026 policy decision is due Wednesday. Markets assign near-zero probability to a rate cut, according to CME FedWatch. The central bank faces pressure from President Trump, who has intensified criticism of Fed Chair Jerome Powell and argued that rates remain too high. Trump indicated he has narrowed his shortlist for Powell's successor "down to maybe one," suggesting preparations for a more dovish appointment.

Market Implications

Technology strength reflects optimism about continued earnings support, while healthcare faces regulatory headwinds. Fed policy and political pressure remain critical variables for market direction.