Global Market Update
Canadian Markets
The Canada’s TSX booked gains on Monday amid heightened global focus on the inauguration of U.S. President-elect Donald Trump. Market participants were closely monitoring potential executive actions Trump pledged to undertake immediately, including measures on immigration, energy, and tariffs. These anticipated policies created a wave of speculative trading and cautious optimism in various sectors.
American Markets
U.S. stock markets remained closed in observance of Martin Luther King Jr. Day, leaving global markets to dictate the day’s trading sentiment. Market sentiment has become overwhelmingly positive as Trump takes office, as investors are hoping for more upside, to be supported by Trump’s new economic polices to drive growth and cut consumer prices.
European Markets
In European markets rose across the board as Trump’s tariffs are delayed, as the positive trading session was supported by strong performances in banking and technology sectors. Investors are currently pricing in up to four ECB rate cuts this year, which is boosting market sentiment.
UK stocks also rose sharply as the FTSE 100 hovered near record highs as investor confidence remained robust, on improving sentiment around a post-Brexit economic environment. At the start of 2025, UK consumer confidence declined, as shown by S&P Global’s Consumer Sentiment Index (CSI). Factors such as employment concerns, stagnant income growth, and dwindling savings heightened financial pessimism among households. This led to more cautious spending behavior.
Crypto Currencies
Bitcoin surged to an unprecedented high following the launch of “TrumpCoin,” a new cryptocurrency introduced by the incoming administration on Friday. The digital asset attracted billions in trading volume within days, reflecting heightened investor interest and speculation about its potential integration into broader U.S. economic policies. The enthusiasm around this novel cryptocurrency further signaled a growing acceptance of digital assets as a mainstream investment option.
Corporate Stock News
- AGF Management: Target price raised to CAD 13 (from CAD 11) by TD Securities; Buy rating.
- Apple: Target price maintained at $250 by Raymond James; Buy rating.
- Banco Santander: Reviewing its presence in Britain, two decades after acquiring Abbey National.
- Bombardier Inc.: Target price reduced to C$126 (from C$127) by CIBC due to risks from U.S. export tariffs and underperformance forecasts.
- Calibre Mining Corp: Ventum Financial resumed coverage with a Buy rating and a target price of C$3.30, citing potential production growth.
- Canadian National Railway: Target price increased to CAD 178 by Scotia Capital.
- Commerzbank: Exploring significant job cuts to fend off a potential acquisition attempt by Italy’s UniCredit.
- Costco: Teamsters authorized a potential nationwide strike as contract negotiations near the Jan. 31 deadline.
- Donald Trump’s Crypto Token: Surged to a market cap of $11.7 billion as bitcoin hit a record high; markets optimistic about Trump’s pro-business agenda as he returns to the White House.
- Finlay Minerals: Stock surged following the termination of a PIL option.
- Ford: U.S. regulators opened a probe into 129,222 vehicles over issues with its hands-free BlueCruise technology.
- Morgan Stanley: Target price set at USD 151 by Jefferies & Company; Buy rating.
- Netflix: Target price elevated to USD 950 by Evercore ISI; Buy rating.
- Telefonica: Appointed Marc Murtra, chairman of Indra, as the new CEO following a state fund’s recommendation.
STA Research (StockTargetAdvisor.com) is a independent Investment Research company that specializes in stock forecasting and analysis with integrated AI, based on our platform stocktargetadvisor.com, EST 2007.
