Week Ahead: Markets on Edge as Trump’s Inauguration and BoJ Decision Loom

From Investing.com: 2025-01-17 06:11:00

Markets are on edge as Trump’s inauguration approaches, with BoJ expected to raise rates in the first meeting of 2025. Euro and pound traders await PMI data, while Canada and New Zealand CPI reports will shape bets for BoC and RBNZ. World Economic Forum in Davos also in focus. Trump’s tariff pledges and corporate tax cut promises impact markets, with Fed funds futures expecting rate reductions despite strong US economic data. Investors eyeing Trump’s inauguration speech for policy clues. BoJ may hike rates, but risks are asymmetrical. Eurozone and UK PMIs could deepen policy divergence. Canada and New Zealand CPI data crucial for rate decisions. Leaders gather in Davos to discuss geopolitical tensions and AI.



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