Top 5 things to watch in the market next week By Investing.com

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Investing.com — Global investors are finally getting a look at the market impact of President-elect Donald Trump’s return to the White House. Trump’s inauguration as the 47th president of the United States on Monday is expected to trigger a series of executive orders on everything from taxes to tariffs as the fourth-quarter earnings season gets underway. See what’s happening in the markets this coming week.

  1. Trump’s inauguration

Investors are watching closely as Trump prepares to begin his second term on Monday after the incoming president signaled he plans to sign several executive orders on his first day.

US markets are closed Monday for Martin Luther King Jr. Day, so any market fallout may not be fully felt until Tuesday.

Tariff-related moves will be particularly noteworthy, as a flurry of leaks, answers and denials since the election has sent markets reeling.

Ahead of his inauguration, long-term bond yields rose on expectations that Trump could spark a revival in inflation.

  1. Revenues

Investors hoping for another strong year in the equity market, buoyed by U.S. corporate profits, will get a clearer view this week, as several companies are set to report fourth-quarter earnings.

Key earnings reports come from giant Netflix (NASDAQ: ), healthcare leader Johnson & Johnson (NYSE: ), consumer goods powerhouse Procter & Gamble (NYSE: ) and credit card issuers. American Express (NYSE:

Earnings season kicked off last week with big banks reporting higher profits, boosted by increased deals and stronger equity market performance, boosting trading revenues.

Analysts generally expect companies to report a 10.4% year-over-year rise in fourth-quarter earnings, according to LSEG IBES data from Jan. 15, cited by Reuters.

  1. Davos

World governments and business leaders will attend the World Economic Forum’s annual meeting in Davos, Switzerland, starting Monday.

According to a WEF study released ahead of last week’s meeting, armed conflict will be the biggest threat to the global economy by 2025, followed by extreme weather.

Trump is scheduled to address the meeting via video link on Wednesday. Ukrainian President Volodymyr Zelensky will attend and give a speech on Monday, according to WEF organizers.

Other world leaders attending the Davos meeting include European Central Bank President Christine Lagarde, European Commission President Ursula von der Leyen, British Chancellor Rachel Reeves and Chinese Vice Premier Ding Zhuxiang.

  1. A BOJ hike?

The Bank of Japan is scheduled to hold its first policy meeting of the year on Thursday and Friday.

During the meeting, BOJ policymakers appeared to be leading the market for a rate hike, with both Governor Kazuo Ueda and his deputy Ryozo Himino saying the decision to raise borrowing costs would be up for debate.

BOJ officials will have a few days to assess how Trump’s policies might play out in financial markets before making a decision.

A rate hike narrows the gap between US and Japanese rates, strengthening the yen. The yen is approaching the level of 160 against the dollar, which has prompted the BOJ to intervene in foreign exchange markets to support the currency.

  1. Fuel price

Futures rose 1.7% on the week, while futures gained 1.3% as fears that the latest round of US sanctions on Russia’s energy trade could cause supply disruptions.

Oil is up 10% this month amid concerns about the impact of more Western sanctions on Russian crude.

Energy traders are also weighing the implications of Trump’s return to the White House on Monday. Trump’s pick for Treasury secretary says he’s open to tougher sanctions on Russian oil.

Meanwhile, a blast of Arctic air has blanketed most of the US, causing temperatures to drop. It is forecast to continue through mid-week, looking set to increase demand.