An overview of the annual meeting of the World Economic Forum (WEF), which is held under the slogan “Cooperation for the Smart Age” in Davos, Switzerland, on January 20, 2025.
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US President Donald Trump took office for only a few days, but his impact on the markets was already great.
American stocks made consecutive weekly gains last week, as the Standard & Poor’s index set 500 new records on Friday.
This comes after he called on the American president to reduce interest rates and cheap oil prices in a speech on Thursday at the World Economic Forum in Davos, Switzerland. Investors are also betting on possible tax cuts and the abolition of organizational restrictions during the era of the new president, which led to the rise of shares.
However, not everyone is optimistic about looking at the future, as some – like the CEO of JP Morgan Chase, Jimmy Damon – indicate that the markets may be exaggerated.
After a week of interviews with business leaders, legislators and investors in the Swiss ski resort, here is what the most important industrial names of CNBC said:
Larry Fink, CEO and Chairman of Black Rock
He explained: “I think that if we want to unleash all this private capital, we will achieve tremendous growth, (but), at the same time, some of this unleashed will release new inflationary pressures.” “I think this is the danger that has not been taken into account in the market.”
Ted Beck, CEO, Morgan Stanley
Beck said that he believes that companies’ profits can raise growth in the markets during the next 12 to 24 months, as it “continues its strength.”
He said: “This is a type of indicator … How many companies are now talking about recession, and how many companies are talking about inflation? I feel that profits seem very optimistic.”
And most importantly, I know that we love to look at the index, but the index is dominated by six technological companies – which, by the way, all achieve a great performance – but if you look at the possibilities of canceling the organizational restrictions in the energy sector, he added: “In the services sector Finance, these sectors are still not expensive complications. “
“If you are an investor and think about customization over the next 12 to 18 months, then there may be clouds at the indicator level, but (do) really want to think where I can expose the sector?”
Christine Lagarde, President of the European Central Bank
She also said she was not “excessively worried” about the risk of inflation from abroad to Europe, adding that she expects the European Central Bank to continue to reduce interest rates gradually as the price growth rate moves towards the target.
“We are definitely interested in seeing the United States growing, because growth in the United States has always been a positive factor for the rest of the world,” said Lagarde.
Nikolai Tangin, CEO, Investment Department at Norgis Bank
He added: “I do not think that you must provide any advice to the United States, but if you look at the risks facing financial markets, I think inflation is definitely one, and all of it is driven by customs duties.” Tanjin said on Tuesday. “Geopolitical tensions in general have a negative impact on financial markets and financial returns.”
Tangen added that “purely financially”, Trump’s arrival will be “very positive” to many American companies.
Jimmy Damon, CEO, GB Morgan Chase
Damon said he believed that the prices of American assets are “somewhat amputated” at their current levels.
“With any scale, they are among the highest 10% or 15%,” said Dienon Landro Ross Sorkin on Wednesday, referring to the American stock markets. “It is high and needs somewhat good results to justify these prices.
He added: “We all hope to achieve this, and the presence of strategies supporting growth helps to achieve this, but there are negatives that can surprise you.”
David Solomon, CEO of Goldman Sachs Bank
Solomon said that the markets are in the demand for risk, and that there is a feeling of optimism in stocks due to the new American administration and because of technological progress.
“I think people are optimistic, and the path will not be smooth and ideal, but people are optimistic that we will run a more inclined agenda. We will free some investments, and we will move forward to open the way for the private sector a little but more, and that should be constructive.”
“It is difficult to aruse about the fact that the complications of stocks are high … I think the stock markets show a feeling of optimism at the present time, but it also shows a feeling of optimism about growth and technology, especially this wave of artificial intelligence. Of course it will not be a straight line, but some technology that We see it, and the opportunities available for this technology to improve productivity are exceptional opportunities.
Khaldoun Al Mubarak, CEO of Mubadala Company
“A continuation of the trends that we witnessed in 2024 as a positive year in most markets … I see that a continuation in 2025, I see a continuation of the strong driving winds in the basic markets, the United States and Asia, especially the growths led by growth. The blessed said to the CNBC Dan channel Murphy on Monday: “In Asia.”
He added, “I see a continuation of good comfortable winds in technology, health care, financial services and life sciences,” he added. “So I would like to say, perhaps the same words that I used almost last year: optimistic with caution. When I look at 2025, it will be an exciting year.”
Ray Dalio, founder of Bridgeter
Ray Dalio, the founder of Bridgewateer, told CNBC that price ratios to profits were high in the American market, but there may be a greater room for the height of the beneficiaries of artificial intelligence.
“We have already come a long way … I think the sectors that are great sectors lead this project, artificial intelligence, etc.”.
“I don’t think it has been applied to artificial intelligence applications, or to the uses of artificial intelligence … I think artificial intelligence applications are less than their true value.”
Brian Mounehan, CEO of Bank of America
“Our research team believes that there is room for launch this year, and they expect the market to rise. Not as much as last year, and the unusual thing is that you had two consecutive years of very strong growth, but that was guessing its fruits. He said: a few years of very extraordinary times .
“I think that if you look at the main thing for companies in general, including financial services and banking work, it is the issue of organization,” Mounehan added.
Sergio Ermoti, CEO, UBS
The head of the Central Bank said that the customs definitions proposed by US President Donald Trump could prevent the decline in inflation and keep interest rates high Lander Ross Sorkin said on Tuesday.
“Inflation is much more difficult than we were saying,” Ermoti said.
“Perhaps customs duties will not really help reduce inflation. Therefore, I don’t expect (interest) prices will decrease at the speed that people believe,” he said.
CS Venkatkakarishnan, CEO of Barclays Bank
Fenkatarakrichnan, who achieves his British bank about 40% of his revenues in the United States, said he was “optimistic” about the activity of American deals this year.
“I think there are two things that lead this. The first is that interest rates have reached a relatively stable level. Our economists call for a reduction in the interest rate once in the United States during the next year.” Tell Andrew Ross Sorkin.
“It is still high, but it is stable, so you can at least plan better, because you do not have fluctuations in interest rates. The second is with a change in management (American), it should be easier for mergers.” To happen. “
Vinkatrakrichnan added that he expects President Trump to reduce organizational restrictions, which will be “generally good for business morale and useful for business opportunities.”
Rachel Reeves, British Finance Minister
The UK needs to attract more honorable investments to enhance economic growth, Reeves He told CNBC.
He added: “My message to American investors and global investors is also: Britain is open to business, and we want your investments.”
Trump’s threats also discussed global customs tariffs.
“I understand that President Trump is concerned about the countries that have large and continuous surpluses in the trade balance with the United States, and this is not the case for the United Kingdom,” said Reeves.
“We are not part of the problem here. Therefore, in the United Kingdom, we have increased trade with President Trump last time he was in office.”
Christian Singing, CEO of EQT
On the ground, Sending, CEO of Swedish Special Stocks, told Karen Tsu and Steve Seedgek of CNBC, on the ground.
He said: “We had a record year in 2024, as we have made investments worth more than $ 20 billion.” “We have made exit by more than 10 billion dollars, and this is a kind of preparation until 2025, (Matthew) I think many market participants are now ready to deal, whether in private stocks, family offices or strategic buyers. Of course, if you look To the global capital markets, you will find that the initial public subscription market is wide open, and credit markets are strong, so we are somewhat optimistic about next year.
