What we’re reading (1/26)
“Big Tech Earnings, A Key Fed Meeting, And Trump’s First Full Week In Office: What To Know This Week” (Yahoo! Finance). “The week ahead will bring investors a deluge of news that will put that rally to the test. Earnings from more than 100 members of the S&P 500 — highlighted by results from tech heavyweights Meta (META), Microsoft (MSFT), Apple (AAPL), and Tesla (TSLA) — are set for release, with Wednesday serving as the week's busiest. Starbucks (SBUX), Exxon (XOM), and Chevron (CVX) are also set to report. On Wednesday afternoon, the Federal Reserve will also announce its latest monetary policy decision, with the central bank expected to keep interest rates unchanged and investors focused on what Fed Chair Jay Powell has to say about the balance of 2025.”
“Currency Volatility Set To Wipe Out Emerging-Market Carry Trades” (Bloomberg). “Latin American currencies, often bought as part of such trades, face pressure from domestic fiscal issues along with the prospect of trade tensions with the US, according to Mackay Shields and Pictet Asset Management. Carry trades involve borrowing in currencies from countries with relatively-low interest rates, like the yuan or yen, and investing those funds in markets with higher rates.”
“Taboo Economics No More” (Axios). “Economic orthodoxy is out. Rule-busting and experimentation are in. That's a key takeaway from this week's gathering of top executives and world leaders at the World Economic Forum in Davos, Switzerland.”
“Silicon Valley Is Raving About A Made-In-China AI Model” (Wall Street Journal). “AI models from DeepSeek, the Chinese company, have zoomed to the global top 10 in performance, according to a popular ranking, suggesting Washington’s export curbs are having difficulty blocking rapid advances in China. On Jan. 20, DeepSeek introduced R1, a specialized model designed for complex problem-solving. ‘Deepseek R1 is one of the most amazing and impressive breakthroughs I’ve ever seen,’ said Marc Andreessen, the Silicon Valley venture capitalist who has been advising President Trump, in an X post on Friday.”
“Thieves Blow Up Dutch Museum Door And Steal 2,400-Year-Old Golden Helmet” (Washington Post). “Police in the Netherlands are searching for robbers who blasted open the door to a history museum early Saturday, damaging the building and stealing a 2,400-year-old golden helmet and golden bracelets traced back to ancient Romanian royalty.”
