Investing.com — U.S. stock index futures edged lower in Asian trading on Monday following strong performance on Wall Street last week as investors became cautious ahead of President-elect Donald Trump's inauguration.
The stock market will be closed on Monday in observance of the Martin Luther King Jr. Day holiday. President-elect Trump will also be inaugurated on Monday.
It fell 0.2% to 6,022.25 points, and by 9:12 p.m. ET (2:12 p.m. Japan time) it was down 0.2% to 21,553.25 points. It fell 0.1% to 46,660.0 points.
President Trump plans several executive actions on his first day in office
As Trump prepares to take office, financial markets are bracing for potential volatility and closely monitoring his anticipated presidential actions and policy direction.
Investors are particularly focused on his proposals on trade, taxation and deregulation, which are expected to have a major impact on market trends.
Trump plans to sign more than 200 executive orders on his first day in office, addressing key issues such as border security and energy policy, according to media reports.
These measures include declaring a state of border emergency and initiating measures to secure the southern border. Additionally, he intends to completely unlock Alaska's energy resources, suggesting a shift in energy policy.
The stock market is showing cautious optimism, but President Trump's moves are expected to cause significant fluctuations. Analysts say investors will initially take a wait-and-see attitude while assessing the potential impact of the new administration's policies.
Wall Street ends the week with strong gains, all eyes on corporate earnings
On Friday, it rose 1% to 5,996.66 points, rose 0.8% to 43,487.83 points and rose 1.5% to 19,630.20 points.
December inflation data released last week boosted investor confidence, especially as President Trump's policies are expected to increase price pressures. The statistics also allayed some concerns over the Federal Reserve's gradual rate cuts.
Strong financial results announced by major banks last week also supported the positive mood.
Investors are now eagerly awaiting earnings reports from several major companies that are expected to provide insight into various sectors of the economy.
This week's major earnings reports include Netflix (NASDAQ:) and United Airlines Holdings (NASDAQ:) on Tuesday. Johnson & Johnson (NYSE:) and Procter & Gamble Company (NYSE:) on Wednesday. and verizon communications Inc (NYSE:) and american express Friday Company (NYSE:).
