Next Week Outlook: Trump Returns to Davos, BOJ Rate Decision Looms

Next week (starting Jan. 18), former President Trump will lead a record U.S. delegation to the World Economic Forum (WEF) in Davos, where he will deliver a speech titled *How Can We Cooperate in an Increasingly Competitive World?* Key topics expected to dominate discussions include tariff policy, U.S. military involvement in Venezuela, and the proposed move to acquire Greenland. Separately, the U.S. Supreme Court is set to hear a case involving Federal Reserve Governor Jerome Powell—whom Trump has sought to replace—while a ruling on the legality of Trump’s tariffs could also be issued next week. Below is the upcoming macro event and data release schedule: **Monday** - Trump leads U.S. delegation to the WEF Annual Meeting in Davos - China releases 2025 full-year GDP growth rate, Q4 annualized GDP rate, and full-year GDP total **Tuesday** - ECB President Christine Lagarde and BlackRock CEO Larry Fink participate in a WEF panel discussion **Wednesday** - Trump delivers his WEF speech: *How Can We Cooperate in an Increasingly Competitive World?* **Thursday** - ECB publishes minutes of its December monetary policy meeting - U.S. releases initial jobless claims (Jan. 17 cutoff) - U.S. data: November core PCE price index, personal spending rate - U.S. final Q3 real GDP, core PCE price index (annualized quarterly), real personal consumption expenditure (quarterly) - Japan releases December core CPI (annual rate) - Bank of Japan (BOJ) announces interest rate decision and Jan. 23 economic outlook report; BOJ’s Kuroda and Iwata hold monetary policy press conference **Friday** - U.S. releases final January University of Michigan Consumer Sentiment Index and final January 1-year inflation expectations