New York, January 22, 2025 - Wall Street continues its rally following Donald Trump's inauguration, with major indices nearing historical peaks, despite a notable decline in Apple’s stock. Nvidia has surpassed Apple in market capitalization, reclaiming the title of the world's most valuable company.
The S&P 500 rose 0.5% in pre-market trading, while the Dow Jones increased by 0.2% and the Nasdaq gained 0.9%. Trump's recent remarks on tariffs have expanded threats to include China and the European Union, although proposed rates are lower than expected, which has been positively received by financial markets.
During a White House event, Trump stated, "We are talking about tariffs of 10% on China due to fentanyl exports to Mexico and Canada." He mentioned a potential tariff implementation date of February 1. The Chinese government responded, asserting that there are no winners in a trade war.
Trump's administration has also initiated a series of executive orders, including a national energy emergency aimed at accelerating oil production permits and withdrawing from the 2015 Paris Climate Agreement. Furthermore, he has ordered the Defense Department to support the construction of a wall along the southern border and has signed an executive order establishing the Department of Government Efficiency.
In corporate news, several companies, including Procter & Gamble, Johnson & Johnson, and American Airlines, are set to report their quarterly earnings this week, following results from Netflix and United Airlines.
The economic calendar includes key indicators such as the Atlanta Fed's inflation expectations index and the Conference Board's leading economic index, expected to be released today.