Investing.com – US President-elect Donald Trump's inauguration is expected to take center stage on Monday, with traders in particular looking for more clarity on the potential impact of his sweeping policy plans. Trump is expected to issue several executive orders in the working hours of the new administration affecting a range of issues. Elsewhere, TikTok begins to restore service in the US as Trump says the app needs to be saved in the country, while Trump's memecoin rises in value.
1. Trump's inauguration
Donald Trump is set to be sworn in as the 47th president of the United States on Monday.
In the run-up to his return to the White House, Trump promised to sign a wave of executive orders on his first day back in office as part of an early push to implement his campaign promises.
Trump is expected to announce more than 200 such measures, which are legally binding but could still be subject to legal review. The orders are intended to address a wide range of issues, including immigration, environmental regulations and corporate diversity policies.
One major move could lead to Trump launching mass deportations of illegal immigrants. Media reports indicated that Trump, who has pledged to implement the largest deportation program in US history, will call for raids in several major cities in the first days of his second term in office.
Investors are awaiting more clarity on Trump's plans, especially their potential impact on inflationary pressures and potential interest rate cuts from the Federal Reserve this year. Stock markets are scheduled to be closed on Monday for the Martin Luther King Jr. Day holiday.
2. TikTok begins to restore US services
TikTok began restoring services to its 170 million US users on Sunday, as President-elect Donald Trump promised to revive access to the short-video platform when he returns to power.
TikTok's return came just over 14 hours after the service was shut down due to a national security law that requires it to either divest its Chinese ownership or close its US operations.
Speaking at a rally on Sunday, Trump said “we have to save” the popular app, which has faced scrutiny from US officials over concerns it could be used by the Chinese government to track or propaganda American users.
Ahead of the event, TikTok released a message saying it was “back in the USA,” and thanked Trump in particular.
Trump said he would likely give TikTok a 90-day deadline before the ban goes into effect, adding that he would like the United States to take “50% ownership in a joint venture.”
3. Trump's meme coin plummeted after his wife, Melania, launched a competing token
Trump's new cryptocurrency rose before the inauguration, but its value fell after the First Lady of the United States, Melania Trump, unveiled her own currency.
“The new official Trump meme is here! It's time to celebrate everything we stand for: winning!” Trump wrote in a post on his social media platform, Truth Social.
The cryptocurrency industry has rebounded since Trump's election victory in November, with supporters hoping he will help usher in a new era of digital asset adoption. Trump, who previously called it a “scam,” vowed that America would be the “cryptocurrency capital” of the world once he returns to office.
The Trump meme coins, which started selling for $10 each, were trading as high as about $70 on Sunday, according to CoinMarketCap. But she pared some of these gains after launching the coin created by his wife, Melania.
Meanwhile, Bitcoin hit a new record high on Monday, adding to the advance in the price of the world's most popular cryptocurrency since Trump won the election.
4. This week's earnings
Investors hoping for another strong year in stock markets supported by US corporate earnings will get a clearer outlook this week, as a string of companies are set to report fourth-quarter earnings.
Reports are scheduled from streaming giant Netflix (NASDAQ:), healthcare leader Johnson & Johnson (NYSE:), consumer goods powerhouse Procter & Gamble (NYSE:), and a credit card issuer. American Express (New York Stock Exchange:).
Earnings season kicked off last week with major banks posting strong earnings. A surge in deal closings and strong stock market performance have boosted trading revenues at several major Wall Street lenders.
Overall, analysts expect companies to report a 10.4% year-on-year increase in fourth-quarter earnings, according to LSEG IBES data as of January 15, cited by Reuters.
5. Oil lows
Oil prices fell on Monday, with traders reluctant to take risks ahead of Donald Trump's inauguration.
By 03:51 EST, US crude futures (WTI) were down 0.4% at $77.11 per barrel, while the contract was down 0.4% at $80.47 per barrel.
Trump's policy announcements on Monday may reportedly include easing restrictions on Russia's energy sector in exchange for a deal to end the Ukraine war. Oil has risen by 10% since the beginning of this month, amid concerns about the impact of more Western sanctions on Russian crude.
