21.01.26 - All eyes on Trump’s speech

The World Economic Forum WEF in Davos once again became the center of global attention today as US President Donald Trump delivered a closely watched speech.

Against the backdrop of rising geopolitical tensions, trade frictions, and fragile market sentiment, investors worldwide were looking for clarity, reassurance, or new signals.

Markets: Markets reacted positively during Trump’s remarks.

My View: This conflict is not solved. As a result, the positive market reaction may prove short-lived.. While the speech avoided fresh shock announcements, it also failed to provide concrete solutions. At least a military intervention is not on the table for the Greenland takeover bid.
However, core issues, trade policy uncertainty, geopolitical flashpoints, and strategic rivalries, remain unresolved. The tone may have been stabilizing at the first sight, but substance regarding the raising concerns was limited.

Therefore, the underlying drivers of uncertainty remain firmly in place. Temporary market rebounds driven by speeches or headlines should not be mistaken for a structural improvement in the outlook.

In a market where headlines change quickly and often drive prices, but investors should avoid constant shifts in positioning and stay the course. Short-term moves can create tactical opportunities, but mid- to longer-term positioning should still reflect high geopolitical risks, stretched valuations, and the risk of sharper downside moves.

Overall, no change in my view and any new investment calls done today.

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