Trump’s tariff delay stimulates markets

This report is from today’s CNBC Daily Open, our international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Do you like what you see? You can subscribe here.

President Donald Trump on Tuesday announced a joint venture — Stargate — with OpenAI, Oracle and Softbank invest committing to invest an initial $100 billion and up to $500 billion over the next four years in AI infrastructure in the United States.

Kevin O’Leary says the law prevents him from buying TikTok
Canadian investor Kevin O’Leary is still interested in a deal with TikTok, but not possible under current lawhe told CNBC. On Monday, Trump delayed the imposition of a law for 75 days that would effectively ban TikTok in the United States, allowing “an opportunity to determine the appropriate course of action.”

Netflix sees stellar results and raises prices
Netflix shares rose sharply after the company announced its fourth quarter results which surpassed revenue and profit expectations and surpassed 300 million paid memberships during the quarter. the company raise the prices of most of its US plans. It will also increase prices in Canada, Portugal and Argentina.

Markets rise on Trump’s tariff delay
Stocks on Wall Street advanced on Tuesday as investors assessed that Trump’s comments and first-day actions on international trade were a little softer than initially believed. The president stopped short of authorizing new taxes on his first day back in the Oval Office, sending the Dow Jones Industrial Average up more than 500 points, or 1.24%. He S&P 500 gained 0.88%, and the Nasdaq Composite rose 0.64%. Asian markets were more mixed, with Japan and South Korea making gains, but Chinese markets were in negative territory.

(PRO) A bag that makes no sense
The stock market is once again trading near all-time highs, but the investment landscape is full of contradictions that are difficult to balance. according to Deutsche Bank macrostrategist Henry Allen. He pointed to several parts of the market where investors appear to be betting on the most optimistic possible outcome, despite some evidence that they should be more cautious.

Although he announced that he was “considering” 25% tariffs on Canada and Mexico, as well as a 10% tariff on China. For reference, the 47th president had threatened to impose a 10% to 20% global tariff and a massive 60% tariff on China during the election campaign.

Investors seem to have taken Trump’s first day well, and major US benchmarks rose on Tuesday.

“President Trump’s Inauguration Day tariff policy announcements were more benign than expected,” Alec Phillips, Goldman Sachs’ chief U.S. political economist, said in a note to clients. “For now, it’s a lower priority than we would have hoped.”

China, for its part, has tried to dissuade Trump over the tariffs. with Vice Premier Ding Xuexiang saying at the World Economic Forum in Davos that “protectionism leads nowhere. (A) trade war has no winners.”

Ding referenced Chinese President Xi Jinping’s 2017 speech: “Pursuing protectionism is like locking yourself in a dark room. Wind and rain can be kept out, but so can light and air.”

Tariffs could put a dent in Trump’s argument for a “golden age” for the US. Last year, Morgan Stanley’s chief economist warned that tariffs would “greatly” reduce US growth in 2026.

You could say that with Trump, the tariffs will potentially be himself sowing wind and reaping whirlwinds.

—CNBC’s Alex Harring, Brian Evans, Evelyn Cheng and Lee Ying Shan contributed to this report.