ADDX GO Market Morning Wrap - 23rd Jan

Stock Market

On the 22nd, U.S. stocks closed higher across the board, with the Nasdaq leading gains, rising nearly 1.3%. The S&P 500 briefly surpassed the 6,100 mark during intraday trading. The Nasdaq Composite climbed 1.28% to close at 20,009.34, marking the first time this year it ended above the 20,000 level. Japan's Nikkei 225 also surged 1.6% to close at 39,646.25. However, Hong Kong's major indices tumbled, with the Hang Seng Index shedding 1.63% to fall below the 20,000-point threshold.

Key Events:

Former President Donald Trump announced support for investment under the “Stargate Initiative,” pulling in $500 billion in funding, boosting related stocks. By the close, Arm Holdings (ARM.US) surged nearly 16%, Oklo Inc (OKLO.US) rose over 9%, Oracle (ORCL.US) climbed more than 7%, and Microsoft (MSFT.US) gained over 4%. However, Trump's move faced criticism from his close ally, Elon Musk.
Netflix reported Q4 revenue and profit that beat Wall Street estimates, sending its stock up nearly 10% by the end of the session.
On the 23rd, China's State Council Information Office will hold a significant meeting, expected to bring over 400 billion yuan in medium-to-long-term funds into the market.
A ByteDance board member stated at an event that a deal ensuring TikTok’s continued operation in the U.S. could be finalized as early as this week.

Forex

The U.S. Dollar Index rose 0.1% on 22nd, closing at 108.168. Surveys indicate that most investors anticipate one or two rate cuts from the Federal Reserve this year. Meanwhile, the EURO STOXX 50 Index gained 39.87 points, or 0.77%, to close at 5,205.83.

Key Events:

The European Central Bank (ECB) is moving forward with plans to cut interest rates, signaling resilience against the early shocks of Donald Trump’s return to White House-related economic policies. ECB President Christine Lagarde, speaking at the World Economic Forum in Davos, reiterated that Eurozone inflation is still expected to reach 2% this year, paving the way for further economic easing.
Ahead of the Bank of Japan’s (BoJ) policy decision on Friday, the yen saw a slight decline. Analysts believe BoJ Governor Kazuo Ueda’s recent comments hint at a potential 25-basis-point rate hike this week.

Cryptocurrency

Bitcoin fell below $104,000 per coin on the 22nd, sliding over 2.30% during the day.

Key Events:

Goldman Sachs CEO reaffirmed that Bitcoin does not threaten the dominance of the U.S. dollar, a topic reignited by former President Trump’s statements about strategic Bitcoin reserves.
BlackRock CEO Larry Fink suggested that if more funds allocate just 2–5% of their portfolios to cryptocurrencies, Bitcoin could soar to $700,000.

Market Events and Most Anticipated Earnings Releases

$ARM $ORCL