Global markets are alive with chaos. Traders are bracing for Trump 2.0, and US bonds are in a meltdown.
The UK is having a moment of Liz Truss-style deja vu. Meanwhile, Europe’s got its hands full as well.
Amid all this drama, could it finally be time for emerging markets to shine? Maybe. Money’s pouring in, with $3.5 billion pumped into EM ETFs. Let’s see if the glow sticks.
Here’s your preview of the week ahead:
Read more: The Middle East bond rush is all about dodging Trump’s tariff tantrums
Good news is the new bad news
US stocks just choked on their new-year optimism after Friday’s jobs report painted a picture of an annoyingly strong economy.
Yes, annoyingly. Turns out, the better the economy looks, the less likely we are to get those sweet Federal Reserve rate cuts (aka stock market candy).
Next up is the US CPI data, and if it screams “inflation is back,” we can all wave goodbye to rate cuts until much later this year, if not next year. (15 January)
Read more: Reliance missed the beat in 2024. Can it dance its way back to the top?
India Inc needs to bring its A game
TCS kicked off earnings season like a rock star, and now it’s Reliance Industries’ turn to take the stage.
Wall Street is hyped, predicting a 20% to 30% upside for India’s oil-to-telecoms giant. But what if Reliance doesn’t deliver the goods? Investors will find out when the company reports its numbers this week.
Also on deck are Infosys, Wipro, HCL Tech, and Axis Bank. This might just be India’s most-watched earnings season in years, as the country fights to keep its status as the world’s fastest-growing major economy. No pressure, Reliance. (16 January)
Read more: As India’s world-beating growth falters, winners are scarce
Banks kick off US earnings
Cue the earnings parade on Wall Street, with the big banks leading the charge. JPMorgan, Citi, Wells Fargo, Bank of America, and Morgan Stanley will report after riding high on a Trump-fueled boost.
Tax cut whispers and higher-for-longer interest rates mean the ka-ching isn’t stopping anytime soon. Get ready for all the banker bonhomie next week. (15-17 January)
Edited by Tim Hume. If you have any tips, ideas or feedback, please get in touch: talk-to-us@moniify.com
