New York Stock Exchange, November 25, 2024.
Brendan McDermid | Reuters
This report comes from today’s CNBC Daily Open, our international markets newsletter. CNBC Daily Open keeps investors updated on everything they need to know, no matter where they are. Like what you see? You can subscribe here.
What you need to know today
Stabilizing the yuan is Beijing’s top priority
The offshore RMB depreciated by more than 3% against the US dollar. A headache for Beijingit wants Avoid currency fluctuations Although the depreciation of the yuan has boosted exports. On Monday, China withdrew Base loan interest rate remains unchangedindicating that maintaining the stability of the yuan takes precedence over boosting the domestic economy.
Chinese investment in the U.S. slows
The latest report shows that Chinese investment in the United States has slowed significantly in recent years American Enterprise Institute data. Only $1.66 billion will flow into the United States in 2023, far lower than the $46.86 billion in 2017. Unlikely to answer Analysts say there is an “ideological mismatch” in US President-elect Donald Trump’s second term.
U.S. stocks rise in first week of 2025
US market Friday’s rise This week’s close will be higher for the first time in 2025. Asia Pacific market Monday’s climb. During the trading day, Hong Kong Hang Seng Index It jumped to its highest level since December 31. Mainland China’s CSI 300 index rose about 0.5% as Beijing kept its preferential lending rate unchanged.
TikTok clock restarts
TikTok said in a statement Statement about X that is Resumption of service in the United States Trump wrote on his social media app truth society He postponed “the issuance of the executive order on Monday” Ban on TikTok. On Saturday, Perplexity AI submitted an acquisition offer to TikTok parent company ByteDance. Create a new merged entity Perplexity, TikTok US and New Capital Partners have come together, CNBC reported.
Oxfam predicts you’ll be a billionaire within ten years
this Total wealth of billionaires That number will soar from $13 trillion to $15 trillion by 2024, Oxfam said on Sunday. This is the second-biggest annual increase in billionaire wealth since Oxfam recorded it. The charity predicts there will be at least five trillionaires within a decade as the wealthy accumulate wealth at an accelerated pace.
TSMC confident of continuing funding under Trump
TSMC It is expected that it will continue to receive $6.6 billion pledged Under the Biden administration CHIPS and the Science Act Even after Trump took office, TSMC Chief Financial Officer Wendell Huang In an exclusive interview with CNBC. During the campaign, Trump Criticize CHIPS Act and accuses Taiwan of stealing U.S. chip business
(PRO) Trump dictates market direction
Trump’s inauguration will take place later Monday. Investors will want to pay close attention What executive orders will Trump sign? From his first day as president, particularly on tariffs and corporate policy. These orders can chart long-term trends in a stock, not just short-term trends.
bottom line
this S&P 500 Index The index soared above the shiny 6,000 mark after Trump’s election, but has largely erased all gains over the past few weeks and returned to pre-election levels. However, as Trump prepares to enter the White House, investors appear to be preparing to participate in the market based on his agenda again.
Stocks finally ended last week on a positive note, posting their first weekly gain this year. This week, S&P 500 Index up 2.9%, Dow Jones Industrial Average It rose 3.7%, its best weekly performance since the week of the U.S. presidential election in November. this Nasdaq Composite Index Up 2.5%, it was its best week since early December.
Bank stocks drove much of the index’s gains, as better-than-expected earnings reports from big banks boosted their share prices. shares Goldman Sachs Up about 12% this week JPMorgan Chase It rose 8% over the same period. Overall, the financial sector gained more than 6% last week, outperforming the S&P.
A Trump presidency could provide more forward momentum for bank stocks. Chris Senyek, chief investment strategist at Wolfe Research, said rising business and consumer confidence, an extension of tax cuts and financial sector deregulation are potential drivers for the sector.
“We continue to view financials as the biggest sector winner under the Trump administration,” Senyek wrote in a note on Friday.
Still, in addition to expectations for Trump to occupy the Oval Office, December’s run of subdued inflation numbers also boosted the market’s animal spirits: All sectors of the market ended the week in the green.
Better-than-expected economic data helped “restore the Blondie narrative in the stock market and may prompt some to take risks again.” barclays bank strategist Emmanuel Cau wrote in a note on Friday.
Generally, any change increases risk. Trump 2.0 certainly is, but as the number “two” suggests, the changes we’ve seen before may alleviate a little bit of that uncertainty.
—CNBC’s Alex Harring, Hakyung Kim and Sarah Min contributed to this report.