GoAI Market Wrap - 24th Jan

Stock Market

Friday Eastern Time saw mixed performance across the major indices, with the Nasdaq and S&P 500 rising slightly while the Dow fell nearly 0.6%.

 

At close: Dow Jones -0.58% to 49,098.71, S&P 500 +0.03% to 6,915.61, Nasdaq +0.28% to 23,501.24.

 

On a weekly basis, all three indices recorded their second consecutive week of losses. For the week, the Dow fell 0.53%, the S&P 500 dropped 0.35%, and the Nasdaq fell less than 0.1%.

 

Goldman Sachs tumbled nearly 4% and Caterpillar fell over 3%, weighing heavily on the Dow. Meanwhile, Nvidia (+1.5%) and AMD (>2%) served as the primary support for the Nasdaq and S&P 500.

 

In contrast, Intel shares plummeted 17% after the chipmaker issued disappointing first-quarter guidance.

 

The U.S. dollar came under pressure again Friday, heading for its worst week since last June. The U.S. Dollar Index (DXY) fell 0.78% on the day to close at 97.593.

 

Gold and silver prices reached historic milestones fueled by geopolitical unease. Gold futures closed at a record high of $4,976/oz, with a weekly gain of over 8%—the largest weekly percentage jump since 2020. Silver futures closed above $100/oz for the first time.

 

Driven by forecasts of rare severe cold and heavy snow, U.S. natural gas prices surged 4.6% on Friday, bringing the cumulative weekly gain to 70%, the largest weekly increase in history.

Global Hotspots

Trump Administration Considering Full Blockade of Cuban Oil Imports

 

Reports indicate the Trump administration is considering a total embargo on oil imports to Cuba. The plan is reportedly supported by Secretary of State Marco Rubio, though a final decision has not been made. Internal critics are concerned a full blockade could trigger a humanitarian crisis.

 

U.S. Announces New Round of Sanctions on Iran-Related Entities and Tankers

 

On January 23, the U.S. Treasury’s OFAC announced sanctions against multiple entities and vessels linked to Iran’s energy and shipping systems, specifically targeting networks assisting in the export of Iranian oil and derivatives.

 

EU to Suspend Plan for Counter-Tariffs on €93 Billion of U.S. Goods

 

The EU will delay retaliatory tariffs on €93 billion (~$109 billion) of U.S. goods for another six months. The move follows President Trump’s withdrawal of tariff threats against EU nations that opposed his acquisition of Greenland.

Company News

U.S. Oil Firms: Operations in Venezuela Could Expand Rapidly if Conditions Permit

 

Oilfield services provider SLB stated it could quickly scale up in Venezuela given necessary licenses and safety compliance. SLB is currently the only international service firm with physical operations there, supporting Chevron. Competitor Halliburton also expressed intent to re-enter the market once commercial, legal, and payment certainties are resolved.

 

UBS to Offer Crypto Investment Options to Select Private Banking Clients

 

UBS is reportedly vetting partners to provide cryptocurrency investment options to certain private banking clients, marking a significant move into digital assets for the world’s largest wealth manager.

 

Citi May Announce New Round of Layoffs in March

 

Citigroup is expected to announce further job cuts in March, likely affecting Managing Directors and senior-level employees across multiple business units.

 

Danone Expands Infant Formula Recall

 

French group Danone is implementing a targeted recall of a limited number of infant formula batches in specific markets. The company cited updates to regulatory guidance from food safety authorities as the reason for the withdrawal.

 

Toyota Recalls 162,000 Tundra and Tundra Hybrids in the U.S.

 

The recall involves multimedia displays that may get stuck on a camera view or display a black screen, potentially affecting driver visibility.

Forex & Commodities

WTI March crude futures settled at $61.07/barrel, +2.88%; Brent March crude futures settled at $65.88/barrel, +2.84%.

 

COMEX gold futures rose $69.70 (+1.42%) to $4,983.1/oz; COMEX silver futures rose $6.89 (+7.15%) to $103.26/oz.

Key Events

German Lawmaker Urges Gold Repatriation: “Trump Policies Unpredictable”

 

German lawmaker Marie-Agnes Strack-Zimmermann (FDP) stated Friday that Germany should bring its gold reserves home from the U.S. to mitigate strategic risks, citing the "unpredictability" of the Trump administration.

Cryptocurrency (24h change)

Bitcoin -0.21% to $89,304.95.

 

Ethereum -0.06% to $2,946.16.

 

XRP +0.07%, BNB +0.06%, Solana -0.68%, Dogecoin +0.02%, Cardano +0.12%.

Crypto Key Event

UBS Pivot: Bitcoin and Ethereum Investment for Private Clients

 

UBS Group (UBS.US) is moving toward allowing select Swiss private banking clients to trade Bitcoin and Ethereum. Sources indicate the service may eventually expand to the U.S. and Asia-Pacific markets as the firm screens potential crypto-sector partners.