{"id":6143,"date":"2025-01-17T16:31:42","date_gmt":"2025-01-17T21:31:42","guid":{"rendered":"https:\/\/guardianglobe.org\/?p=6143"},"modified":"2025-01-22T18:08:33","modified_gmt":"2025-01-22T23:08:33","slug":"global-stocks-rise-as-investors-weigh-economic-data-and-u-s-inauguration-risks","status":"publish","type":"post","link":"https:\/\/guardianglobe.org\/?p=6143","title":{"rendered":"Global Stocks Rise as Investors Weigh Data, Inauguration Risks"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\">Equities Rally as Economic Optimism Grows<\/h2>\n\n\n\n<p><strong>Global equities rose on Friday<\/strong>, with <strong>Wall Street and European markets posting strong weekly gains<\/strong>, as <strong>upbeat economic data and corporate earnings boosted investor confidence<\/strong> ahead of the <strong>U.S. presidential inauguration<\/strong>.<\/p>\n\n\n\n<p>The <strong>MSCI global stock index<\/strong> climbed <strong>0.81%<\/strong>, while <strong>Wall Street&#8217;s major indexes extended gains<\/strong>:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Dow Jones Industrial Average (.DJI)<\/strong>: <strong>+371.84 points (0.86%)<\/strong> to <strong>43,526.27<\/strong>.<\/li>\n\n\n\n<li><strong>S&amp;P 500 (.SPX)<\/strong>: <strong>+66.28 points (1.12%)<\/strong> to <strong>6,003.70<\/strong>.<\/li>\n\n\n\n<li><strong>Nasdaq Composite (.IXIC)<\/strong>: <strong>+318.89 points (1.65%)<\/strong> to <strong>19,656.98<\/strong>.<\/li>\n<\/ul>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><strong>Phil Orlando, Chief Equity Strategist at Federated Hermes<\/strong>, commented:<br>\u201cThere&#8217;s an expectation that <strong>the economy is not as weak, and inflation is not as big a problem<\/strong> as previously thought.\u201d<\/p>\n<\/blockquote>\n\n\n\n<h2 class=\"wp-block-heading\">Economic Data Boosts Confidence<\/h2>\n\n\n\n<p>Encouraging economic reports fueled optimism:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>U.S. manufacturing output<\/strong> increased <strong>0.6% in December<\/strong>, following an <strong>upwardly revised 0.4% gain in November<\/strong>.<\/li>\n\n\n\n<li><strong>Single-family homebuilding<\/strong> surged to a <strong>10-month high<\/strong>, signaling <strong>resilient construction activity<\/strong> despite <strong>high mortgage rates<\/strong>.<\/li>\n<\/ul>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cGiven the <strong>oversold nature of the market<\/strong>, we&#8217;ve <strong>enjoyed a nice bounce<\/strong>, but we\u2019ll see if it holds after the <strong>White House transition<\/strong>,\u201d Orlando added.<\/p>\n<\/blockquote>\n\n\n\n<h2 class=\"wp-block-heading\">Federal Reserve Rate Cut Uncertainty<\/h2>\n\n\n\n<p>Despite <strong>softer-than-expected core inflation data on Wednesday<\/strong>, some investors <strong>doubt the Federal Reserve will cut rates as aggressively as previously anticipated<\/strong>.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Fed Governor Christopher Waller<\/strong> indicated that <strong>three to four rate cuts remain possible in 2025<\/strong> if economic conditions weaken.<\/li>\n\n\n\n<li><strong>U.S. Treasury yields rose<\/strong>, reversing earlier declines:<\/li>\n\n\n\n<li><strong>10-year yield<\/strong>: <strong>+0.7 basis points to 4.613%<\/strong>.<\/li>\n\n\n\n<li><strong>30-year bond yield<\/strong>: <strong>4.8483%, up from 4.845%<\/strong>.<\/li>\n\n\n\n<li><strong>2-year note yield<\/strong>: <strong>+3.6 basis points to 4.274%<\/strong>.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Investors Cautious Ahead of Trump\u2019s Inauguration<\/h2>\n\n\n\n<p>While markets rallied this week, analysts remain <strong>cautious about post-inauguration volatility<\/strong>, as <strong>Trump\u2019s economic policies on tariffs and immigration remain uncertain<\/strong>.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><strong>Anthony Saglimbene, Chief Market Strategist at Ameriprise<\/strong>, noted:<br>\u201cWe\u2019ll see what happens next week. I wouldn\u2019t put a <strong>ton of faith in this rally holding<\/strong> until we get more clarity on <strong>trade and fiscal policies<\/strong>.\u201d<\/p>\n<\/blockquote>\n\n\n\n<p><strong>Trump\u2019s Treasury Secretary pick, Scott Bessent<\/strong>, made key remarks:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The <strong>U.S. dollar should remain the world\u2019s reserve currency<\/strong>.<\/li>\n\n\n\n<li>The <strong>Federal Reserve should remain independent<\/strong>.<\/li>\n\n\n\n<li>The administration is <strong>ready to impose stricter sanctions on Russia&#8217;s oil sector<\/strong>.<\/li>\n\n\n\n<li>He warned of an <strong>&#8220;economic calamity&#8221; if Trump\u2019s 2017 tax cuts expire<\/strong>.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Currency Markets: Dollar Strengthens, Yen Eyes BOJ Rate Hike<\/h2>\n\n\n\n<p>The <strong>U.S. dollar rebounded after four days of declines<\/strong>, rising <strong>0.34% to 109.34<\/strong>, while:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Euro fell 0.21% to $1.0276<\/strong>.<\/li>\n\n\n\n<li><strong>Japanese yen weakened 0.66% to 156.15 per dollar<\/strong>.<\/li>\n\n\n\n<li><strong>British pound (GBP) declined 0.6% to $1.2165<\/strong>, following <strong>weaker-than-expected UK retail sales data<\/strong>.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Commodities Mixed: Oil Drops, Gold Sees Weekly Gains<\/h2>\n\n\n\n<p><strong>Oil prices declined but remained on track for a fourth consecutive weekly gain<\/strong>:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>U.S. crude settled at $77.88 per barrel (-1%)<\/strong>.<\/li>\n\n\n\n<li><strong>Brent crude fell 0.62% to $80.79 per barrel<\/strong>.<\/li>\n<\/ul>\n\n\n\n<p>Gold initially dipped but remained <strong>above $2,700 per ounce<\/strong> as <strong>investors hedged against post-inauguration volatility<\/strong>:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Spot gold dropped 0.4% to $2,702.85 an ounce<\/strong>.<\/li>\n\n\n\n<li><strong>U.S. gold futures edged up 0.19% to $2,751.60 an ounce<\/strong>.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Looking Ahead<\/h2>\n\n\n\n<p>With <strong>strong economic data and earnings supporting markets<\/strong>, investors will closely monitor:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Trump\u2019s inauguration speech and executive orders<\/strong>.<\/li>\n\n\n\n<li><strong>Potential tariff and trade policy announcements<\/strong>.<\/li>\n\n\n\n<li><strong>The Federal Reserve\u2019s interest rate outlook<\/strong>.<\/li>\n<\/ul>\n\n\n\n<p>While <strong>stocks have surged this week<\/strong>, analysts remain wary of <strong>potential volatility in the coming days<\/strong>.<\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Equities Rally as Economic Optimism Grows Global equities rose on Friday, with Wall Street and European markets posting strong weekly gains, as upbeat economic data and corporate earnings boosted investor confidence ahead of the U.S. presidential inauguration. The MSCI global stock index climbed 0.81%, while Wall Street&#8217;s major indexes extended gains: Phil Orlando, Chief Equity<\/p>\n","protected":false},"author":5,"featured_media":6163,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[3374,3373,3371,3377,3372,3376,3365,3375,3370,3340],"class_list":{"0":"post-6143","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-business","8":"tag-dollar-strength","9":"tag-fed-interest-rate-cuts","10":"tag-global-stock-index","11":"tag-gold-price-movement","12":"tag-nasdaq-tech-stocks-rise","13":"tag-oil-price-forecast","14":"tag-sp-500-gains","15":"tag-trump-economic-policies","16":"tag-u-s-stock-market-rally","17":"tag-u-s-treasury-yields"},"_links":{"self":[{"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/posts\/6143"}],"collection":[{"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6143"}],"version-history":[{"count":2,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/posts\/6143\/revisions"}],"predecessor-version":[{"id":6164,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/posts\/6143\/revisions\/6164"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/media\/6163"}],"wp:attachment":[{"href":"https:\/\/guardianglobe.org\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6143"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6143"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6143"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}