NEW YORK, Jan 2, 2026, 19:17 ET — After-hours
- Caterpillar shares rose 4.4% to $598.41, one of the biggest Dow boosters on the first trading day of 2026.
- Investors are bracing for key U.S. jobs and inflation reports next week that can reset interest-rate expectations.
- Traders are also looking toward Caterpillar’s next earnings update later this month.
Caterpillar Inc shares (CAT.N) were up 4.4% at $598.41 in late U.S. after-hours trading on Friday, after a sharp rally to start 2026.
The move matters because Caterpillar is a heavyweight industrial bellwether, and early-year flows can amplify shifts in sentiment for cyclical stocks tied to economic growth.
U.S. markets began 2026 with a rebound, lifting the Dow and S&P 500 after a late-2025 pullback, while investors remained sensitive to valuation and policy signals. Joe Mazzola, head of trading and derivatives strategist at Charles Schwab, described a “buy the dip, sell the rip” mindset — buying after pullbacks and taking profits into rallies. Reuters
The Dow is price-weighted, meaning higher-priced stocks like Caterpillar can move the index more than lower-priced components even if the percentage move is the same.
Caterpillar’s jump put the stock back near the $600 level after trading as high as roughly $599.60 on the day. That round number is often watched as a resistance point, or an area where selling can emerge.
The rise came as investors rotated back into industrial names alongside a broader risk-on tone, with chipmakers also posting strong gains in the first session of the year.
Caterpillar has also been in focus as investors look for beneficiaries of the data-center buildout, where demand for on-site power equipment has become a recurring theme in market commentary around industrial suppliers. Investors
The next macro test arrives quickly. The monthly U.S. jobs report due on Jan. 9 and the consumer price index report due on Jan. 13 are expected to be key catalysts for markets because they can shift expectations for Federal Reserve policy. Reuters also noted Fed funds futures — contracts that reflect where traders expect the Fed’s benchmark rate to go — imply little chance of a cut at the late-January meeting, with roughly a 50% chance of a quarter-point reduction in March. Reuters
For Caterpillar, rate expectations matter because equipment demand is sensitive to financing costs and to confidence among construction, mining and energy customers planning large projects.
Before the next regular session, traders will be watching whether the stock can decisively clear $600, or whether it stalls below that level after Friday’s surge. The day’s low near $575 is the closest reference point for near-term support.
On the company calendar, Wall Street is also turning to earnings season. Caterpillar has not formally confirmed its next report date, but Nasdaq’s earnings calendar shows an estimated release around Jan. 29. Nasdaq
Analysts are looking for fourth-quarter profit of about $4.52 per share, according to Barchart’s compilation of expectations, with investors likely focused on any update to demand trends and 2026 outlook commentary. Barchart
After a strong one-day move, the next leg for CAT stock may hinge less on Friday’s momentum and more on whether incoming economic data and Caterpillar’s own results support the growth-sensitive rally that started the year.
