Stock Market Week January 20 – How to Trade
This article offers a strategic analysis for the stock market week of January 20 – 24. With these powerful insights, I aim to equip my investment community with actionable investment picks and trading strategies tailored to today’s dynamic economic landscape. How to trade? Powerful Insights.
Key Points
To read the full article, follow the link below:
Investors Alert: Navigating Market Trends as Trump Takes Office
Let’s look at the most exciting events which will take place on the stock market week January 20. How to trade this week? Powerful insights.
As the nation gears up for the inauguration of Donald Trump as the 47th President of the United States, investors are closely watching how this pivotal event could shape the stock market in the coming months. Even though the trading week of January 20-24 will be short, it promises to be anything but uneventful. Here’s what you need to keep an eye on:
Inauguration Day Highlights
Catch all the action live on major networks like ABC, CBS, CNN, NBC, CSPAN, and Fox News. This week may be short on trading days, but it’s long on potential market-shaping events. Buckle up!
Preparing for Economic Shifts in the 2025 Political Landscape
Peering into the financial crystal ball, predicting the stock market’s next moves can feel like a game of chance. But history offers us some clues, especially when it comes to U.S. presidential inaugurations.
Inaugurations often stir up short-term market volatility. Take Joe Biden’s 2021 inauguration, for example. The S&P 500 soared by 1.39%, the most significant bump since Reagan’s second inauguration in 1985. Trump’s 2017 inauguration saw a modest rise of 0.34%. But not all inaugurations are market darlings. Barack Obama’s first day in office in 2009 coincided with a 5.28% plunge amidst the financial crisis.
In the long haul, it’s the policies and economic landscape that shape market performance, not the inauguration itself. Historically, the S&P 500 tends to dip by an average of 0.27% on inauguration days. But savvy investors know to brace for these choppy waters by reviewing portfolios, hedging risks, setting stop-loss orders, and keeping their eyes on long-term goals. Review my previous article on trading strategies during the highly volatile market.
With Donald Trump’s inauguration on January 20, 2025, just around the corner, he’s already unveiled several key appointments. While we might see a few last-minute reveals, major surprises seem unlikely. However, Trump is expected to hit the ground running with a slew of executive orders targeting border security and deportations, setting the tone for his administration’s early days.
Key Appointments and Potential Policy Shifts
Speculation is rife over who will fill the role of Secretary of Defense, with Pete Hegseth as the frontrunner at a 90% probability. Meanwhile, Trump could wield the International Emergency Economic Powers Act (IEEPA) to slap tariffs on imports, targeting China with a probable 10% tariff, potentially escalating after further reviews. Threats of 25% tariffs loom over Canada and Mexico if certain conditions aren’t met.
领英推荐
In short, Trump’s inauguration is a must-watch event. Investors should stay alert to swiftly react to any seismic shifts in the stock market.
S&P 500: Riding the Bull, But Watch Your Step!
Let’s dive into the technical charts, folks! The S&P 500 Index has finally edged up by 1.58% Year-to-Date, riding high on the positive Core CPI data released last Friday. In addition, the IMF revised its global growth forecast for 2025 from 3.2% to 3.3%, driven by an upward revision for the U.S. economy.
The growth forecast 2026 holds steady at 3.3%, aligning with earlier predictions. The IMF points out that while the US could see a boost from potential positive factors in the short term, other countries face lingering risks due to volatile policy environments. The US economy is expected to expand by 2.7% in 2025, up from the 2.2% predicted in October. China’s GDP outlook slightly jumped to 4.6%, compared to the previous 4.5%. On the flip side, the Euro Area’s growth estimate took a hit, dropping to 1% from 1.2%. Meanwhile, Japan’s growth remains unchanged at 1.1%. India’s GDP forecast is steady at 6.5%. As for the UK, the IMF nudged its growth projection up to 1.6% from 1.5%. Looking at inflation, the IMF anticipates global headline inflation to cool down to 4.2% in 2025 from 4.3% and drop further to 3.5% in 2026.
Global GDP Growth Forecast, 2025-2026
Technically speaking, the S&P 500 Index has charged into bullish territory, leaping past its 50-day moving average on January 17, 2025. With solid support levels around 5,965 and 5,840, things look promising. But wait—before you jump in with both feet, remember that the bull volume was just so-so. This lukewarm enthusiasm hints at a cautious mood among investors, signaling uncertainty about the market’s path in the weeks ahead. So, stay sharp!
How the U.S. Housing Market Will Evolve in 2025: Expert Insights
Mark your calendars for Friday, January 24, as we’re gearing up for the latest scoop on existing home sales in the U.S. Last November saw a notable 4.8% jump, bringing the annual rate to 4.15 million homes. This followed a solid 3.4% increase in October, a trend that’s been gathering steam since the 0.23% average monthly growth recorded from 1968 to 2024. With December’s numbers expected to climb to 4.19 million, the housing buzz is real.
To read the full article, follow the link below:
Earnings For The Week
We’re about to dive into the earnings season this week, and it’s shaping to be a compelling ride. Keep an eye on big hitters like Netflix, Johnson & Johnson, Texas Instruments, Steel Dynamics, and General Electric — they’re the ones to watch. I’ve got a full list ready for you below.
Last week, the banks kicked things off with a bang. Names like Bank of America, jumping 5.87% year-to-date, JPMorgan, up 8.11%, and Goldman Sachs, climbing 9.31%, thanks to impressive financial results. With such a strong start, the market’s buzzing with high hopes for another stellar earnings season. As always, I’m on the lookout for those stocks that might take a dip even with good reports — that’s where the real opportunities might be, especially as profit-takers swoop in after the 2024 rally.
Monday: Trump’s Inauguration for Presidency (Markets Closed)
Tuesday: SCHW, MMM, NFLX, UAL, STX, PRGS
Wednesday: COF, EDU, PG, ABT, JNJ, HAL, DHI, ALLY, TRV, AA, DFS, STLD
Thursday: GE, AAL, FCX, UNP, TXN, ISRG, XSX,
Friday: VZ, AXP
Thanks for sharing such an insightful analysis, Iryna! The breakdown of key points like navigating market trends and the S&P 500 outlook is incredibly relevant in today's dynamic environment. With 2025 on the horizon, the intersection of economic shifts and strategic investments is definitely something to watch closely. On a related note, Vietnam's stock market is also gaining momentum with significant reforms and a potential upgrade to Emerging Market status. It's fascinating to see how different regions are positioning themselves amidst global changes. Here's a deeper dive into Vietnam's growth story: https://www.dhirubhai.net/posts/virtusprosperity_stock-market-vietnam-2024-activity-7286951718586580992-fryC?utm_source=share&utm_medium=member_desktop. Would love to hear your thoughts on this!
Great analysis, Iryna The political shifts and market trends are key to shaping strategies. Looking forward to the full article