Asian Equities Gain on Trump-Xi Talks; Wall Street Closed
Asian markets opened higher on Monday, following gains in the United States after a positive conversation between President-elect Donald Trump and Chinese President Xi Jinping.
Market Movements
* Equities rose in Australia, Japan, and South Korea.
* US-listed Chinese shares surged 3.2% on Friday.
* US futures were slightly lower in Asian trading due to a holiday in the US.
Trump-Xi Conversation
The leaders reportedly discussed trade, TikTok, and fentanyl, setting the tone for relations during the early days of Trump's second term.
Positive Sentiment
Market sentiment improved after TikTok restored service in the US and Trump announced a halt to the forced sale of its Chinese owner.
Trump's Inauguration
Traders anticipate volatility in the coming weeks as Trump issues executive orders on immigration, energy, and regulation. Ahead of his inauguration, China will announce loan prime rates.
World Economic Forum
The annual World Economic Forum begins in Davos on Monday. Trump will address the gathering virtually three days after his inauguration.
Bank of Japan Decision
The Bank of Japan is expected to raise its key rate on Friday, according to economists.
Cryptocurrency Market
The Trump Memecoin caused a stir in the cryptocurrency market, raising concerns about conflicts of interest.
Currencies
The Bloomberg Dollar Spot Index remained steady. EUR/USD gained slightly, while USD/JPY and offshore yuan remained stable.
Commodities
Oil prices were steady ahead of Trump's inauguration. Spot gold declined slightly.
Key Events This Week
* China loan prime rates (Monday)
* World Economic Forum in Davos (Monday)
* Trump inauguration (Monday)
* UK jobless claims (Tuesday)
* Bank of Japan rate decision (Friday)