Wall Street Rises After Trump’s Davos Speech; S&P 500 Hits Record High

Posted on January 23, 2025 by Ignacio Teson

All sectors of the S&P 500 posted gains today, led by healthcare, while the technology sector recorded the smallest advance.

The three major Wall Street indices closed with gains on Thursday. U.S. stock averages rose in a session marked by President Donald Trump’s speech and a new record for the S&P 500.

The Dow Jones Industrial Average, composed of 30 major industrial stocks, gained 0.92% to 44,565.07 points, while the [[SPX]] 500, representing the most valuable companies, advanced 0.53% to 6,118.71 points, and the Nasdaq Composite rose 0.22% to 20,053.68.

[[SPX-graph]]

Trump Speech Impact

Trump stated at the World Economic Forum in Davos that companies should manufacture their products in the U.S. to avoid tariffs. However, he did not provide specific details about his controversial tariff plans.

Other key points from his Davos speech included his demand for immediate interest rate cuts, despite lacking the authority to enforce them, and his call on Saudi Arabia, OPEC, and OPEC+ partners to lower oil prices.

MacroEconomic Data and Sector Returns

In economic data, the number of people applying for unemployment benefits in the U.S. stood at 223,000 last week, according to the Department of Labor. Economists polled by Reuters had forecasted a figure of 220,000.

All sectors of the S&P 500 saw gains today, led by healthcare (1.35%), while technology posted the smallest advance. Within the Dow Jones, Caterpillar (2.2%), Boeing (2.1%), and Disney (2%) led the gains.

Mexican Peso Gains After Trump’s Speech at Davos

Posted on January 23, 2025 by Ignacio Teson

The Mexican peso appreciated against the U.S. dollar during Thursday’s trading session. The local currency regained ground in a day influenced by a moderate speech from U.S. President Donald Trump at the World Economic Forum in Davos.

The exchange rate closed at 20.3228 pesos per dollar, compared to yesterday’s close of 20.4762 pesos, according to official data from the Bank of Mexico (Banxico). This movement represented a gain of 15.34 cents, or 0.75%.

The dollar’s price fluctuated within a range, reaching a high of 20.5643 pesos and a low of 20.2766. Meanwhile, the U.S. Dollar Index (DXY) from the Intercontinental Exchange, which measures the dollar against six major currencies, declined by 0.21% to 108.03 points.

[[USD/MXN-graph]]

Trump at Davos and the Mexican Peso

President Trump’s speech at the Davos Economic Forum did not include details about his tariff plans. However, he urged global business leaders to manufacture in the U.S. to avoid tariffs, which improved market sentiment.

The fact that Trump did not directly threaten Mexico and even acknowledged that the trade deficit with the country remains manageable contributed to the positive sentiment surrounding the Mexican peso.

Trump also addressed his intentions to lower global oil prices, interest rates, and taxes. Since taking office, the Republican president has repeatedly threatened to impose tariffs on key trading partners, including Mexico.

Local Data and Outlook

Today, it was reported that Mexico’s consumer prices moderated more than expected in the first half of January, reaching an annual rate of 3.69%, within the central bank’s target range. Core inflation increased to 3.72%.

Analysts estimate that inflation will continue on a gradual downward trajectory, particularly during the first three quarters of the year. They maintain their year-end forecasts for 2025 at 3.8% for general inflation and 3.7% for core inflation.

Bank of Japan Plans Biggest Rate Hike in 35 Years

Posted on January 23, 2025 by Ignacio Teson

The market braces for a significant shift in Japan’s monetary policy this Friday. The Bank of Japan (BoJ) convenes with the dual goals of curbing the dollar’s surge—now under President Donald Trump’s administration—and implementing a new interest rate hike, anticipated to be the institution’s most aggressive move since 1990.

Analysts expect the BoJ to close January with its benchmark rate set at 0.5%. The 25-basis-point hike implied by Overnight Indexed Swaps (OIS) suggests that the BoJ will push the yen’s official rate to its highest level since 2008.

Hawkish Policy Adjustment

Even before Trump’s inauguration, several BoJ officials had been signaling the market to prepare for tighter monetary policy. This followed a notable rise in Japanese bond yields, reaching decade-long highs across most of the yield curve. For instance, the 10-year Japanese bond last week hit a secondary market yield of 1.2% (currently 1.18%), its highest since April 2011. Meanwhile, 40-year bonds are trading at unprecedented levels.

However, in recent sessions, shifts in the debt market and the dollar’s advance against the yen have driven expectations of a more aggressive tightening than initially forecast after the BoJ’s last 2024 meeting, where it chose to maintain its benchmark rates. On January 1, a 10-basis-point increase was anticipated for this Friday, but that projection has since risen to 25 basis points.

Historically, decisive interventions by the Bank of Japan have triggered cascading reactions in global financial markets. For example, the yen intervention last year to counter its decline against the dollar wiped 12% off the Japanese stock market in August.

[[USD/JPY-graph]]

Japanese Yen Outlook

At the time, one U.S. dollar traded at 160 yen. Today, the exchange rate stands above 155 yen, with market bets leaning toward further yen depreciation amid the looming tariff war.

Higher Japanese borrowing costs are expected to provide support for the yen, helping to reverse its 5% decline over the past year. However, while the BoJ continues to raise interest rates—contrary to the European Central Bank and the U.S. Federal Reserve—the interest rate differential remains a challenge for Governor Kazuo Ueda.

Javier Milei at the Davos Forum: Alliance with Trump and the “Anti-Woke” Agenda

Posted on January 23, 2025 by Ignacio Teson

The President of Argentina, Javier Milei, delivered a powerful speech against “woke” ideology at the Davos Forum, stating that it is “a cancer that must be eradicated.”

He emphasized alignment with the United States and criticized gender ideology, feminism, and climate change policies.

Speaking at one of the world’s most significant gatherings of business leaders and heads of state, Milei launched a scathing critique of Western leaders. He condemned what he called “the mental virus of woke ideology,” warned against “cultural subversion,” and positioned Argentina as a “global example.”

Woke Ideology as an Enemy

“The mental virus of woke ideology is the cancer that must be eradicated,” Milei declared on Thursday in Switzerland, addressing an audience of top business executives and world leaders. He reiterated his belief that “the market has no failures,” a statement he previously made during his 2024 appearance at the same forum.

At the start of his address, Milei reflected on his speech from the previous year, taking the opportunity to assess his first year in office and highlight the government’s achievements.

From there, he focused on what he described as the “cultural subversion” of progressivism, targeting movements advocating feminism, climate change policies, and gender issues.

“Radical feminism is a distortion of the concept of equality because it is redundant; equality before the law already exists in the West. We’ve normalized the idea that if someone kills a woman, it’s called femicide, essentially legalizing the notion that a woman’s life is worth more than a man’s,” he asserted.

The Excesses of Climate Change Policies

“If we raise these issues in the media or in forums like this one, we are labeled misogynists. Wokeism also manifests itself in the sinister radical environmentalism and the climate change agenda. No one wants to live in a garbage dump, but once again, wokeism has managed to pervert the fundamental idea of preserving the environment for human enjoyment,” Milei added.

He then directed strong criticism at the leaders present. “These forums promote the LGBT agenda. Gender ideology is plain and simple child abuse; they are pedophiles,” Milei stated. He further argued that “children are being harmed through hormone treatments and mutilations, as if a five-year-old could consent to such things.”

XRP Price Prediction: Is $15 Within Reach as SEC Case Wraps Up?

Posted on January 23, 2025 by Arslan Butt

The XRP community is abuzz with speculation that the long pending Ripple vs. SEC case will finally get a conclusion this week.

This is with the SEC having its first closed door meeting under acting Chair Mark Uyeda and everyone is expecting a settlement or dismissal.

Continue reading “XRP Price Prediction: Is $15 Within Reach as SEC Case Wraps Up?” →

Shiba Inu’s ShibOS Drops 36 Chambers to Take Over Web3

Posted on January 23, 2025 by Arslan Butt

The Shiba Inu community has gone full steam ahead into the future of decentralized tech with the launch of ShibOS, a blockchain operating system.

This is the next gen operating system that makes Web3 easy. It’s a multi layer stack for building scalable, high performance, privacy conscious apps. Shiba Inu is more than just a meme coin, it’s real world utility and innovation.

Continue reading “Shiba Inu’s ShibOS Drops 36 Chambers to Take Over Web3” →

Netflix Earnings Soar as Company Prepares Price Hike

Posted on January 23, 2025 by Timothy St. John

The streaming giant Netflix (NFLX) has announced plans to increase its prices yet again after being emboldened by massive numbers of new subscribers and a positive earnings report.

Netflix earnings are higher than ever. — Netflix stock value and revenue are up this week.

Netflix will increase its prices again soon on subscription tiers that will affect users in the United States and Canada. The company announced this after a higher than expected earnings report and after revealing a massive increase in new subscribers.

The company now has 302 million subscribers across the world, and the increase in subscribers is mostly attributed to the November boxing match between Jake Paul and Mike Tyson. The bout’s 108 million viewers made it the most watched streaming sports event ever. In December, the streamer hosted two NFL matches that drew in 30 million viewers, breaking records once more for streaming sports events.

On Tuesday, the company announced the new price increases, with the premium tier receiving a $2 hike to $24.99. The company’s ad-free standard subscription plan would move from $15.49 per month to $17.99. The subscription plan that includes ads will be climbing from $6.99 to $7.99.

Netflix’s Positive Earnings Report

More subscribers mean more serves are needed for the streaming giant, so their costs will go up, but their revenue has spiked as well. The company posted the results of its quarterly earnings report late Tuesday night. For the first time, they brought in more than $10 billion revenue for a quarter.

That is a 16% increase, and the good news helped spur the stock price by about 10% on Wednesday. If they stick to their new pricing strategy and do not hemorrhage customers, then they should have an even better earnings report to issue next time.

While many subscribers are likely to throw in the towel once the new rates hit, the new subscribers will tend to adopt them without complaint. The surge of new subscribers is likely to help keep the company earnings shooting up and make this a very good long-term investment in 2025.

Oracle Has a Bright Future after Partnering with US Government

Posted on January 23, 2025 by Timothy St. John

As Donald Trump took office this week, he announced a new AI infrastructure plan that would include input from Oracle, OpenAI, and Softbank, potentially helping all three companies.

Oracle stock surged above $180 yesterday — Oracle stock could go much higher thanks to governmetn partnership.

Oracle (ORCL) is part of a larger AI infrastructure project that includes Softbank and OpenAI, initiated by the US government under Donald Trump. The project will require a total of $500 billion investment from the companies for the life of the project. Tesla CEO Elon Musk says that these companies cannot meet their investment requirement, however, noting that he knows Softbank only has $10 billion secured. The initial agreement states that three companies’ executives will have to donate $100 total between them during the initial stages.

Trump says he will use emergency powers to pull out money for the project, and he sees the AI infrastructure as very important for positioning the US as a strong competitor to China in this area. Trump stated that it is necessary for the US to keep this kind of project in its borders and to develop the infrastructure as a way to stand up to outside competitors.

Construction for the project is already underway, with 10 data centers having already been built in Texas for this purpose and more to be built in other states as time progresses.

What This Means for Oracle

The Oracle stock price has already responded to this fresh plan. Over the last two days, the stock price has skyrocketed by nearly 14%, and we expect that it will continue to climb and turn out to be a strong long-term investment.

The project, called Stargate, will take several years to complete, and during that time, the three companies will need to come up with $500 billion in investments. That will cut into Oracle’s earnings considerably, but the long-term implications are that Oracle’s employees will have job security all but guaranteed by the U S government as long as the project continues. It also means that Oracle will be at the cutting edge of AI development, which can secure it a place at the top of this growing market.

Oracle has a very profitable 2024, with the stock price shooting from $102 to $166. The recent news of its government partnership has helped bring Oracle stock up to $180.

Stock Market Remains Elevated, Helping S&P 500 Break Record

Posted on January 23, 2025 by Timothy St. John

After three straight positive sessions, the S&P 500 broke an all-time high record and closed 0.61% up from the previous day, rounding out an elevated stock market.

S&P 500 breaks a record high. — S&P 500 is feeling comfortable at a new record high.

All three major US stock market indices closed high on Wednesday, with the S&P 500 breaking records with its gains, while the Nasdaq Composite climbed 1.28%, and the Dow Jones Industrial Average gained 130 points, or 0.30%.

Several earnings reports showed definite signs of growth, and tech stocks helped to elevate the market as Wednesday trading continued strong. This has been a very positive week for the stock market and has helped pull the market up from its late December and early January doldrums. We did expect that the market would recover around the time that Donald Trump took office, but for the market to stay high through the week was something that investors could have only hoped for.

Earnings Reports Strengthen Stock Prices

Netflix (NFLX) shared its earnings report on Tuesday and beat expectations, raising its stock price by 10% on Wednesday. The streaming service continues to impress investors and stockholders and beat predictions by bringing value to its service and bringing in new subscribers constantly. The company is planning another price hike soon, though, because of its success in attracting new subscribers.

Proctor and Gamble (PG) rose by 1.9% after a positive earnings report, and Insurer Travelers (TRV) added 3.1% on the back of positive earnings. Johnson and Johnson, however, dropped by about 2% after a weak earnings report and an adjusted sales outlook.

Another of the big winners on Wednesday (and perhaps moving forward as well) was Oracle (OCL). The AI-focused company has partnered with the new US presidential administration in a major deal that would include Softbank and OpenAI as part of an AI infrastructure project that will cost an estimated $500 billion. Oracle gained 6.8% Wednesday, which adds to its 7% gain from the previous day. The company is performing much better now than it did during a rough December last year.

TRON (TRX): Positioning for Growth in 2025 with Zero-Fee Ambitions and Strong Institutional Support

Posted on January 23, 2025 by Arslan Butt

TRON (TRX) is emerging as a standout performer in the crypto market for 2025, driven by strategic innovations, impressive financial metrics, and significant institutional interest.

TRON (TRX): Positioning for Growth in 2025 with Zero-Fee Ambitions and Strong Institutional Support — TRON (TRX) price analysis

The blockchain network, led by founder Justin Sun, is poised for potential breakout growth with several key developments positioning it as a major player in the crypto ecosystem.

Financial Performance and Growth Metrics

The fourth quarter of 2024 marked a period of remarkable financial strength for TRON. The network witnessed a substantial 62% increase in market capitalization, bringing its total valuation to nearly $21.94 billion. Complementing this growth, TRON’s revenue surged by 35%, reaching a record-breaking $740.3 million. The network’s decentralized exchange (DEX) volume experienced a remarkable 135% jump, largely attributed to the successful launch of SUN V3, demonstrating the platform’s growing attractiveness to traders and investors.

Strategic Initiatives and Ecosystem Expansion

Zero-Fee Stablecoin Transactions

TRON’s most ambitious initiative for 2025 is the complete elimination of transaction fees for stablecoin transfers. Founder Justin Sun has revealed groundbreaking plans to make transfers entirely fee-free, potentially revolutionizing blockchain transaction economics. The innovative approach would allow stablecoins to cover their own transaction costs, creating a more seamless and cost-effective experience for users.

Institutional Backing and Partnerships

The TRON ecosystem has experienced significant expansion through strategic partnerships and investments. Bitget’s $10 million TRX acquisition, the launch of SushiSwap on the TRON network, and a $30 million investment in World Liberty Financial underscore the growing institutional confidence in the platform. Additionally, a partnership with Chainlink’s Scale Program and the launch of TRON-Peg USD Coin for cross-chain transactions further solidify TRON’s position in the blockchain ecosystem.

Notable Institutional Involvement

A significant boost to TRON’s credibility comes from World Liberty Financial, associated with former U.S. President Donald Trump. The institution has invested $7.35 million in TRX tokens and made substantial crypto investments totaling $168.4 million across various tokens. This high-profile institutional support has brought increased attention and legitimacy to the TRON network.

TRX/USD Technical Analysis and Price Predictions

[[TRX/USD-graph]]

Current Price Dynamics

Currently trading at approximately $0.25, TRON [[TRX/USD]] demonstrates strong investor confidence, with 94% of TRX wallets currently in profit. The token reached a recent all-time high of $0.416 in early December 2024, indicating significant potential for growth.

Price Projection

Cryptocurrency prediction platforms like CoinCodex offer an optimistic outlook for TRON. Their forecasts suggest a January 2025 high of $0.26, with a potential February 2025 peak reaching $0.34. The platform anticipates a yearly settlement around $0.27, suggesting a stable and potentially appreciating asset.

Technical Indicators

Technical analysis reveals a promising outlook for TRX. A descending triangle pattern suggests a potential bullish reversal, while the Moving Average Convergence Divergence (MACD) indicator shows positive momentum. Potential breakout scenarios could target resistance levels at $0.31, $0.3357, and $0.45, presenting an attractive upside for investors.

Future Focus and Innovation

TRON is strategically targeting multiple growth areas in 2025. The network plans comprehensive network performance optimization, including API improvements, ARM architecture support, and dynamic transaction fee adjustments. A substantial $100 million TRON DAO Grants Program focuses on AI development, showcasing the platform’s commitment to cutting-edge technological innovation.

Ecosystem Strengths

TRON has solidified its position as a leading blockchain, particularly in stablecoin transactions. Ranking third in stablecoin transfers with $3 trillion in the second half of 2024, the network has proven itself as the most cost-efficient Layer-1 blockchain. By spending just $0.85 per $1 in fee revenue and maintaining robust stablecoin support across centralized exchanges, TRON has created a compelling value proposition for users and investors.

Emerging AI and Memecoin Strategies

Demonstrating adaptability, TRON has strategically positioned itself in emerging crypto trends. The launch of SunPump, a competitive memecoin platform, showcases the network’s ability to capitalize on market dynamics. Simultaneously, TRON is exploring AI integration and tokenized AI agents, while collaborating with the T3 Financial Crime Unit to reduce illicit blockchain activities.