Category: insight
3 Min read | February 06, 2025

Market Monitor January 2025

  • Commentary
  • Market Monitor
January 2025 market commentary from the NEI Investment Management Team.

Summary:

AI disruptions, central banks walking a tight-rope, and Canada’s tariff threat

Highlights

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2025 started with gyrations between optimism and uncertainties, driven by significant developments in the AI and technology sectors, monetary policy decisions, and renewed trade tensions. The emergence of a Chinese AI competitor, DeepSeek, raised concerns about market dominance in the U.S. semiconductor sector and future demand on electricity, while the Fed‘s interest rate stance influenced broader market sentiment. Additionally, President Trump’s revived tariff threats against the U.S.’s closest trade partners, including Canada and Mexico, added to economic uncertainty.

 

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