BIS Warns Fed and ECB: Rethink Interest Rates to Control Inflation 
Dollar Surges as Trump Imposes New Tariffs, Global Markets React 
Trump Pauses Tariffs on Mexico, Canada; China Tariffs Proceed as Planned 
Global Currencies Stabilize as U.S. Tariff Uncertainty Persists 
U.S. Manufacturing Expands Amid Tariff Uncertainty 
Trump Orders Creation of U.S. Sovereign Wealth Fund, Eyes TikTok Purchase 
Trump Threatens Higher China Tariffs as Trade Talks Loom 
South Korea’s Retail Sales Decline Amid Political Unrest and Weak Consumer Spending 
Trump’s 25% tariffs on Canada and Mexico amp up the risk of a broader trade war 
EU Warns of Trade War as Trump Threatens New Tariffs 
Scholz Warns Against Trade Barriers as EU Eyes Response to U.S. Tariffs 
Stock Market Dips as Trump’s Tariff Plans Spark Uncertainty 
Trump and Xi Set for Crucial Trade Talks Amid Tariff Tensions 
Australian Retail Sales Dip in December After Black Friday Surge 
Mexico Strikes Back with Tariffs as Trade War Escalates with U.S. 
The S&P 500 closed higher Tuesday as investors balanced strong earnings with rising US-China trade tensions. The Dow gained 142 points (0.3%), the S&P 500 climbed 0.72%, and the Nasdaq surged 262 points (1.4%).
President Trump postponed 25% tariffs on Canada and Mexico but imposed a 10% duty on Chinese goods, prompting Beijing to retaliate. China imposed tariffs on US coal, LNG, crude oil, and automobiles while restricting rare earth exports, escalating trade war concerns. Beijing also blacklisted PVH Corp (NYSE:PVH) and Illumina (NASDAQ:ILMN) and launched an antitrust probe into Alphabet (NASDAQ:GOOG).
Wall Street remains cautious about Fed rate cuts, with Morgan Stanley now predicting only one in 2025. Meanwhile, earnings reports drove market movements. PepsiCo (NASDAQ:PEP) dropped 4.5% on weak revenue growth, while Spotify (NYSE:SPOT) soared 13.3% on strong Q4 results. Palantir (NASDAQ:PLTR) surged 24% on AI-driven revenue forecasts. Estee Lauder (NYSE:EL) fell 16% due to weak Asian retail sales, and Merck (NYSE:MRK) slipped 9% after pausing Gardasil shipments to China.
All eyes are on Alphabet’s post-market earnings, with investors eager for AI spending updates amid competition from China's DeepSeek.
Oil prices dipped as trade tensions threatened economic growth. WTI crude fell 0.49% to $72.80 per barrel. Despite global concerns, OPEC+ upheld production plans, keeping output cuts in place until April.
Markets remain volatile as earnings and economic policies shape investor sentiment.
