git reset asks 'more?'

see if git log HEAD^ works. If it doesn't, it may be something with your localization or terminal. It seems to be filtering out the ^ symbol. As a workaround, use git reset --soft HEAD~1 for now.

Your shell is interpreting the ^ symbol as a line continuation symbol. Either just avoid using ^ as Adam suggests:

git reset --soft HEAD~1

or quote the argument so the shell doesn't attempt to interpret it (I'm not sure exactly which shell you're using, but I'd be surprised if this doesn't work):

git reset --soft "HEAD^"

The ^ is an escape character in the Windows Command Line. Use ^^ instead of ^.

git reset --soft HEAD^^

See Rob Van Der Woude's Scripting Pages for details on Escape Characters.