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Week Ahead: Tech Sector Earnings and All Eyes on Trump’s inauguration and his initial policy




Week Ahead: 20 Jan, 2025

·       A softer CPI report, combined with strong bank earnings and robust results from TSMC, helped U.S. stock markets rebound from their recent lows. In the coming weeks, earnings reports from the tech sector will be closely watched.

·       Meanwhile, reports of potential gradual tariff adjustments on China by the incoming Trump administration supported a recovery in Greater China equity markets after a week of sell-offs. However, caution remains due to recent Chinese economic data.

·       Trump’s inauguration, along with his initial policy decisions and tech sector earnings (as shared earlier), will be key events to watch in the coming weeks.

 

Medium Term:

·       S&P 500 (SPX): The S&P 500 traded back within the 5832-6100 range. We maintain a neutral stance on the index's direction.

·       The index needs to remain above the key technical support level of 5780-5832 to sustain its bullish momentum.

·       Straits Times Index (STI): The STI traded within the 3,700-3,850 range during the week. We continue to closely monitor demand and supply dynamics to assess potential directional moves.

·       Hang Seng Index (HSI): The China A50 Index (grey line) continues its upward trend.

·       The Hang Seng Index (candlestick) has rebounded above the 61.80% retracement level of the recent rally. We are closely monitoring for further positive technical signals to confirm a reversal of the current short-term downtrend.


Long Term:

·       S&P 500 (SPX) trend remains upward

·       Hang Seng Index (HSI) trend remains upward

·       Straits Times Index (STI) trend neutral to upward trend.


Headlines Next Week:
- US Corp Earnings: Netflix, Charles Schwab, P&G, J&J, Abbott, General Electric, Texas Instruments, American Express
- US Corp Earnings: SG REITs
- US Trump’s Inauguration, S&P PMI Surveys
- China LPR Fixing
- SG CPI, Ind Prod, MAS Policy

Disclaimers apply


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