The U.S. and China are the world's primary economic superpowers... And we all know just how much leverage these countries have over the rest of the globe.
A Country of 56,500 Brings Chaos to U.S. Markets
By Ethan Goldman, junior analyst, Chaikin Analytics
The U.S. and China are the world's primary economic superpowers...
And we all know just how much leverage these countries have over the rest of the globe.
For example, China continued to weaponize its dominance in the metals markets throughout 2025 – including rare earth materials.
We've seen how President Donald Trump uses tariffs as both an economic and political tool.
You'll remember how Trump's "Liberation Day" tariff announcements sent shockwaves across the globe. And you'll probably remember the S&P 500 Index dropping nearly 12% in the days that followed.
So it makes sense that the market would fear another round of tariffs...
This past weekend, Trump took to his Truth Social platform to suggest new tariffs on eight European countries.
Trump stated a 10% tariff would go into effect February 1 if those countries didn't allow a "complete and total purchase" of Greenland. He also said that the tariffs would increase on June 1 to 25% if a deal wasn't complete by then.
Again, the U.S. has a ton of leverage in the global economy. And Trump hasn't been shy about using that leverage against anyone – including America's European allies.
Of course, the EU isn't happy about Trump's saber-rattling over Greenland...
The EU has an economic weapon of last resort up its sleeve. And it refers to this weapon as the "trade bazooka."
As you may expect, the EU firing that trade bazooka could inject more volatility into our markets. And the whole situation has seen some big twists and turns...
It's a new way to potentially double your portfolio in 2026 by predicting the biggest jumps on 5,000 stocks, BEFORE they occur. It shows how a colossal "divide" coming to U.S. stocks this year has opened the best opportunity in 21 years to apply this breakthrough new strategy today – including two free recommendations in a historic event backed by five Wall Street legends. Watch now, before it goes offline.
Gold could soon soar past $27,000 an ounce... as a strange new financial reset, being called the "Mar-a-Lago Accord," rolls out. It's causing insiders to make unprecedented moves: shifting billions overnight, flying precious metals on commercial flights, and making bank staff work overnight to move their money into gold. According to one top analyst, you must move YOUR money into his No. 1 gold stock now to secure your wealth and potentially reap massive profits in the process. Get the full story here.
U.S. Investors Are Facing Fresh Uncertainty in 2026
This so-called "trade bazooka" is formally known as the EU's "anti-coercion instrument." The bloc created it in 2023 to protect it from economic pressure from outside countries.
It allows the EU to place broad restrictions on its economic and financial markets in response to what it deems "coercion."
Now, the definition of coercion isn't set in stone. The EU decides if an act is coercion on a case-by-case basis.
But it might be hard for the EU to see new tariffs as anything else.
Folks, it's uncertain if the EU would actually turn its trade bazooka toward the U.S.
If this happened, the EU could levy new taxes on U.S. tech firms or restrict investments in its markets. The bloc could also enact retaliatory tariffs on the U.S... and that's even without using the trade bazooka.
Meanwhile, the markets saw the immediate fallout from Trump's threats on Tuesday...
As regular readers know, we measure the broad market S&P 500 Index with the SPDR S&P 500 Fund (SPY). And we measure the tech-heavy Nasdaq 100 Index with the Invesco QQQ Trust (QQQ).
After the long weekend, both funds ended Tuesday with a big collapse of more than 2%.
Meanwhile, investors flocked to "safe haven" assets like gold. Shares of the SPDR Gold Shares (GLD) – the largest physically backed gold exchange-traded fund ("ETF") in the world – surged by nearly 4% on Tuesday.
Then yesterday, stocks clawed back some gains as Trump downplayed using force to acquire Greenland... and later said he would call off the tariffs.
Folks, I don't have a crystal ball. I don't know how things will ultimately end up with Greenland and the EU.
And we all know that the situation can change fast when it comes to geopolitical chaos like this. That includes how the market reacts to the next big headline... just like we saw yesterday and on Tuesday.
But panicking and letting your emotions take control isn't the right move.
Here at the PowerFeed, we've said previously that investors will likely face plenty of volatility this year. So it's critical to stay disciplined.
Remember to keep your personal politics and your emotions out of the picture... particularly when the next big geopolitical headline crops up.
Good investing,
Ethan Goldman
Market View
Major Indexes and Notable Sectors
# Hld: Bullish Neutral Bearish
Dow 30
+1.22%
5
19
6
S&P 500
+1.15%
112
268
120
Nasdaq
+1.35%
23
54
29
Small Caps
+1.98%
696
927
269
Bonds
+0.76%
Energy
+2.42%
6
16
0
— According to the Chaikin Power Bar, Small Cap stocks are more Bullish than Large Cap stocks. Major indexes are all bearish.
* * * *
Sector Tracker
Sector movement over the last 5 days
Energy
+1.44%
Industrials
+1.27%
Materials
+1.01%
Real Estate
+0.39%
Consumer Staples
+0.26%
Health Care
+0.25%
Utilities
-0.35%
Information Technology
-0.62%
Consumer Discretionary
-0.7%
Financial
-1.27%
Communication
-1.72%
* * * *
Industry Focus
Software & Services
6
77
56
Over the past 6 months, the Software & Services subsector (XSW) has underperformed the S&P 500 by -16.57%. Its Power Bar ratio, which measures future potential, is Very Weak, with more Bearish than Bullish stocks. It is currently ranked #21 of 21 subsectors.
Indicative Stocks
ABTC
American Bitcoin Cor
AGYS
Agilysys, Inc.
AI
C3.ai, Inc.
* * * *
Top Movers
Gainers
MRNA
+15.84%
INTC
+11.72%
SNDK
+10.63%
TDY
+9.81%
WDC
+8.49%
Losers
APP
-5.83%
KHC
-5.72%
ORCL
-3.36%
TGT
-3.02%
SRE
-2.77%
* * * *
Earnings Report
Earnings Surprises
PLD Prologis, Inc.
Q4
$1.49
Beat by $0.80
TRV The Travelers Companies, Inc.
Q4
$11.13
Beat by $2.34
HAL Halliburton Company
Q4
$0.69
Beat by $0.14
TDY Teledyne Technologies Incorporated
Q4
$6.30
Beat by $0.47
KMI Kinder Morgan, Inc.
Q4
$0.39
Beat by $0.02
* * * *
You have received this e-mail as part of your subscription to PowerFeed. If you no longer want to receive e-mails from PowerFeed, click here.
You're receiving this e-mail at ahmedwithnour@gmail.com.
For questions about your account or to speak with customer service, call +1 (877) 697-6783 (U.S.), 9 a.m. - 5 p.m. Eastern time or e-mail info@chaikinanalytics.com. Please note: The law prohibits us from giving personalized financial advice.
Any brokers mentioned constitute a partial list of available brokers and is for your information only. Chaikin Analytics, LLC, does not recommend or endorse any brokers, dealers, or investment advisors.
Chaikin Analytics forbids its writers from having a financial interest in any security they recommend to our subscribers. All employees of Chaikin Analytics, LLC (and affiliated companies) must wait 24 hours after an investment recommendation is published online – or 72 hours after a direct mail publication is sent – before acting on that recommendation.
This work is based on SEC filings, current events, interviews, corporate press releases, and what we've learned as financial journalists. It may contain errors, and you shouldn't make any investment decision based solely on what you read here. It's your money and your responsibility.
0 التعليقات:
إرسال تعليق