Latest Finance-Economy News
IMF Raises 2026 Global Growth Forecast to 3.3%
The IMF projects global GDP growth at 3.3% for 2026, up 0.2 points from October, matching 2025 levels, driven by technology and adaptability offsetting trade headwinds. US growth revised to 2.4%, euro area at 1.3%, China at 4.5% due to lower tariffs.
Inflation expected to ease to 3.8% globally, with US slower to target.
Trump Imposes 10% Tariffs on European Nations for Greenland
President Trump announced 10% tariffs on Denmark, Norway, Sweden, France, Germany, UK, Netherlands, and Finland from Feb 1, rising to 25% in June, tied to Greenland purchase. EU considers retaliatory tariffs on $108B US goods.
This triggered global bonds dip and market selloff.
Global Bonds Dip After Japan Selloff and Tariff Threats
Global bonds fell following Japan's triggered selloff amid Trump's tariff threats on Europe. S&P futures down 1.5%, Nasdaq more, Russell 2000 nearly 2% on geopolitical concerns.
Markets unhedged, least equity hedges since 2018.
Netflix Considers All-Cash Bid for Warner Bros.
Netflix eyes all-cash bid for Warner Bros., ramping up debt and pressure on Paramount amid earnings season testing Trump's policies. This comes as corporate America faces geopolitical risks.
Fifth Third Bancorp results in line, US Bancorp outlook topped estimates.
US Markets Lower on Geopolitical Tensions and Fed Outlook
Futures sharply lower with S&P off 1.5% on Trump comments and geopolitics. Analysts see couple more Fed cuts amid disinflation, supportive fundamentals for H1 2026.
Earnings provide early test of policy ripples.
Global FDI Rose 14% to $1.6T in 2025, Developed Economies Surge
Global FDI increased 14% to $1.6T in 2025, with developed economies up 43% to $728B led by Europe. Developing economies down 2% to $877B, least developed countries hit hardest.
Concentration in tech sectors widens divides.
Logistics Emerges as Strategic Growth Enabler in 2026
51% of 3,500 supply chain execs plan supplier diversification as top 2026 change amid trade volatility. 54% expect faster trade growth, driven by AI (43%), new markets (46%).
Calls for coordinated infrastructure investment.
2026 US Economy Faces Higher Volatility, Slower GDP Growth
US set for higher volatility and slower GDP due to slackening labor market and tariff impacts. This aligns with IMF's gradual US inflation return to target.
Policymakers urged to restore buffers.
Key Economic Data Releases for January 21, 2026
Australia employment, Canada PPI, China FDI, NZ inflation, US GDP final Q3, jobless claims on tap. BoJ expected to hold at 0.75% amid inflation pressures, may signal hikes.
India PMIs and Mexico activity also due.
FDI Outlook for 2026 Uncertain Amid Geopolitical Risks
Modest FDI rise possible in 2026 if financing eases, but real activity subdued by tensions and fragmentation. Need to reduce uncertainty, boost cooperation for sustainable projects.
France, US, Korea lead hosts.
Davos Insights: AI, Markets, and Policy Risks for 2026
Discussions at Davos highlight 2026 market surprises, AI productivity reevaluation risks financial corrections. Trump attacks on allies, Greenland push add to geopolitics.
Tech investment offsets trade shifts.
Euro Area Growth at 1.3% in 2026 Per IMF
IMF sees euro area GDP at 1.3% in 2026, 1.4% in 2027 amid global resilience. Tariff threats may prompt EU retaliation, heightening policy uncertainty.
Inflation falling faster outside US.