U.S. President Donald Trump appears on television during a newscast on the floor of the New York Stock Exchange (NYSE) in New York, U.S., Tuesday, Jan. 21, 2025.
Michael Nagle | Bloomberg | Getty Images
This report is from today's CNBC Daily Open, our international markets newsletter. CNBC Daily Open brings investors the latest news wherever they are. Like what you see? You can subscribe Here.
What you need to know today
Trump will announce an investment in AI infrastructure
President Donald Trump on Tuesday announced a joint venture – Stargate – As part of OpenAI, Oracle and Softbank Investment have committed to investing an initial $100 billion to $500 billion over the next four years in artificial intelligence infrastructure in the United States.
Trump's SEC Launches 'Crypto Task Force'
The The Securities and Exchange Commission announced Acting Chairman Mark Uyeda launched 'cryptography task force' aimed at “developing a comprehensive and clear regulatory framework for crypto assets.” The SEC added that the panel will be tasked with developing a clear set of rules while also addressing coin registration issues. The announcement caused Bitcoin's value to increase by approximately 2.4% to over $106,000.
Netflix records excellent results, raises prices
Netflix shares rose sharply after the company announced its fourth quarter results exceeded revenue and earnings expectations and surpassed 300 million paid memberships in the quarter. The company will do it increase prices on most of its U.S. plans. It will also raise prices in Canada, Portugal and Argentina.
Markets are rising on Trump's tariff delay
Stock exchanges on Wall Street deepened on Tuesday as investors assessed that Trump's comments and actions on international trade were somewhat milder than initially thought. On his first day back in the Oval Office, the president did not approve the new tributes, sending Dow Jones Industrial Average an increase of over 500 points, or 1.24%. The S&P500 gained 0.88%, a Nasdaq Composite increased by 0.64%. In Europe, pan-European Stoxx 600 closed about 0.4% higher.
(PRO) A stock market that makes no sense
The stock market is again reaching record highs, but the investment landscape is full of contradictions that are difficult to balance, according to Deutsche Bank macro strategist Henry Allen. He pointed to several parts of the market where investors appear to be betting on the more optimistic of possible outcomes, despite some evidence that they should be more cautious.
The most important thing
“I always say that tariffs are the most beautiful words in my dictionary,” President Donald Trump said at his inauguration.
However, Trump's first day in the Oval Office was not conducive to immediate action on this front.
Although he has announced that he is “considering” imposing 25% tariffs on Canada and Mexico, as well as a 10% tariff on China. By comparison, the 47th president threatened to impose a global tariff of 10%-20% and as many as 60% tariffs on China as part of the campaign.
Investors appear to have made good use of Trump's first day with Tuesday's gains in key U.S. benchmarks.
“President Trump's policy announcements on tariffs on Inauguration Day were milder than expected,” Alec Phillips, chief U.S. political economist at Goldman Sachs, said in a note to clients. “Right now, it's a lower priority than we would have expected.”
For its part, China has tried to dissuade Trump from imposing tariffs – said Deputy Prime Minister Ding Xuexiang at the World Economic Forum in Davos that “protectionism leads nowhere. (A) trade war has no winners.”
Ding referred to a 2017 speech by Chinese President Xi Jinping: “Pursuing protectionism is like locking yourself in a dark room. Wind and rain may not appear outside, but light and air are also unacceptable.”
Tariffs could undermine Trump's arguments for a “golden age” for the US Last year, Morgan Stanley's chief economist warned that tariffs in 2026 “will significantly reduce U.S. economic growth.”
You could say that with Trump, tariffs will potentially sow the wind and reap the storm.
— CNBC's Alex Harring, Brian Evans, Evelyn Cheng and Lee Ying Shan contributed to this report.