LONDON – European stocks are expected to open slightly higher on Tuesday as traders digest the first executive orders signed by new US President Donald Trump on Monday.
UK FTSE indicator The index is expected to open 10 points higher at 8,531 in Germany Dax It rose 4 points to 21,004 France CAC 40 7 points higher at 7740 and Italy FTSE MIB indicator It rose 44 points to 36,326, according to IG data.
Global investors will assess the potential impact of Trump's second term in office after his inauguration as the 47th president of the United States on Monday. After the ceremony, Trump signed some of his first executive orders In front of an audience of 20,000 fans at Capital One Arena in Washington.
Trump issued “Full pardon“To the nearly 1,500 people who have been charged in connection with the attack on the U.S. Capitol on January 6, 2021. He also signed an executive order that effectively halts implementation of a law prohibiting TikTok in the United States
Trump also said on Monday That a 25% tariff could be imposed on Mexico and Canada in early February.
Swiss police patrol outside the conference center ahead of the World Economic Forum in Davos, Switzerland, on January 19, 2025.
Eve Hermann | Reuters
In other news, investors in the European market will be watching World Economic Forum in DavosSwitzerland this week. The annual event, which attracts heads of government and business leaders from around the world, intensifies on Tuesday.
While some skip Davos – The leaders of China, India and a number of major European leaders will be absent this year – Trump is scheduled to address participants via video link on Thursday.
On Tuesday, there are a number of keynote speeches, with Ursula von der Leyen, President of the European Commission, scheduled to speak at 10:50am Davos time (9:50am London time). Shortly after, Deng Xuexiang, Vice Premier of the Chinese State Council, will deliver a keynote speech at 11:20 a.m.
Follow the World Economic Forum live blog on CNBC here
German Chancellor Olaf Scholz will address the forum at 2:00 pm local time, and Ukrainian President Volodymyr Zelensky will speak at 2:30 pm. The forum will serve as a crucial platform for the president to present the Ukraine case ahead of potential pressure from Trump to reach a ceasefire with Russia to end the war.
Later in the afternoon, Cyril Ramaphosa, President of South Africa, will deliver a keynote address at 3:45 pm Davos time.
There are no major earnings releases scheduled in Europe on Tuesday. Data releases include the UK unemployment rate for November and the ZEW European economic sentiment data.
