Investing.com – US President-elect Donald Trump’s inauguration is expected to take center stage on Monday, with traders particularly on the lookout for more clarity around the potential impact of his sweeping policy plans. Trump is tipped to roll out several executive orders in the opening hours of new administration affecting a host of issues. Elsewhere, TikTok begins restoring service in the US as Trump says the app needs to be saved in the country, while the value of Trump’s memecoin spikes.
1. Trump’s inauguration
Donald Trump is set to be sworn in as the 47th president of the United States on Monday.
In the build-up to his return to the White House, Trump has promised to sign of a wave of executive orders on his first day back in office as part of an early push to act on his campaign promises.
Trump is expected to announce more than 200 of these actions, which are legally binding but can still be subject to legal review. The orders are tipped to address a broad sweep of issues, including immigration, environmental regulations, and corporate diversity policies.
One key move could see Trump launch mass deportations of illegal immigrants. Media reports have suggested that Trump, who has vowed to carry out the largest deportation program in US history, will call for raids in several major cities in the opening days of his second term in office.
Investors have been awaiting more clarity around Trump’s plans, especially their potential impact on inflationary pressures and possible Federal Reserve interest rate cuts this year. Stock markets are due to be closed on Monday in observance of the Martin Luther King Jr. Day holiday.
2. TikTok begins restoring US services
TikTok began restoring services for its 170 million users in the US on Sunday, as President-elect Donald Trump promised to revive access to the short-form video platform when he returns to power.
The return of TikTok came a little over 14 hours after the service was halted due to a national-security law requiring it to either rid itself of its Chinese ownership or shutter its operations in the US.
Speaking at a rally on Sunday, Trump said “we have to save” the popular app, which has faced scrutiny from US officials over concerns that it could be used by China’s government to track or propagandize American users.
Prior to the event, TikTok issued a message saying it was “back in the US”, and thanked Trump in particular.
Trump has said he would most likely grant TikTok a 90-day reprieve before the ban can come into effect, adding that he would like the US to “have a 50% ownership position in a joint venture”.
3. Trump memecoin dented after wife Melania launches rival token
Trump’s new cryptocurrency soared before the inauguration, but retreated in value after incoming US First Lady Melania Trump unveiled her own token.
“My NEW Official Trump Meme is HERE! It’s time to celebrate everything we stand for: WINNING!” Trump wrote in a post on his social media platform Truth Social.
The crypto industry has been buoyed since Trump’s election victory in November, with its proponents hoping he will help usher in a new era of digital asset adoption. Trump, who previously called Bitcoin “a scam”, has pledged that America would be “the crypto capital” of the world once he returned to office.
$Trump memecoins, which started selling for $10 each, traded as high as around $70 on Sunday, according to CoinMarketCap. But it pared back some of these gains after the launch of his wife’s coin, $Melania.
Meanwhile, Bitcoin notched a fresh record high on Monday, adding on to an advance in the price of the world’s most well-known cryptocurrency since Trump’s election win.
4. Earnings this week
Investors hoping for another strong year in equity markets powered by US corporate profits will get a clearer outlook this week, with a string of companies set to report fourth-quarter earnings.
Reports are due out from streaming giant Netflix (NASDAQ:NFLX), healthcare leader Johnson & Johnson (NYSE:JNJ), consumer goods powerhouse Procter & Gamble (NYSE:PG), and credit card issuer American Express (NYSE:AXP).
Earnings season kicked off last week with big banks posting strong profits. A surge in dealmaking and solid equity market performance boosted trading revenues at several major Wall Street lenders.
Overall, analysts expect S&P 500 companies to report a 10.4% year-over-year increase in fourth-quarter earnings, according to LSEG IBES data from January 15, cited by Reuters.
5. Oil dips
Oil prices slipped lower Monday, with traders taking risk off the table ahead of Donald Trump’s inauguration.
By 03:51 ET, the US crude futures (WTI) dropped 0.4% to $77.11 a barrel, while the Brent contract fell 0.4% to $80.47 per barrel.
Trump’s policy announcements on Monday reportedly could include the relaxation of curbs on Russia’s energy sector in exchange for a deal to end the Ukraine war. Oil has risen by 10% so far this month, amid worries about the impact of more Western sanctions on Russian crude.