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\n\t\t\t\t\t\t\t\t\tThe week has already started with major market volatility, and more of it is expected over the next five working days.\t\t\t\t\t\t\t\t<\/p>\n<\/p><\/div>\n
Markets will be digesting the latest round of tariff threats from US President Trump and a potential US government shutdown this week, in addition to ongoing geopolitical tensions.<\/p>\n
Add to that the Federal Reserve meeting and rate decision, and more inflation data, and we\u2019re in for a rollercoaster ride this week.\u00a0\u201cBuckle up for a huge week ahead,\u201d said the Kobeissi Letter, which warned of \u201csignificant volatility this week.\u201d<\/p>\n
US President Trump threatened<\/a> Canada with 100% tariffs over the weekend if the country went ahead with a deal with China. However, Canadian Prime Minister Mark Carney said<\/a> on Sunday his country has no intention of pursuing a free trade deal with China, quelling some investor fears.<\/p>\n Meanwhile, there are increasing odds that the US government is heading for a partial shutdown this week as Senate Democrats vow to oppose a funding package.<\/p>\n \u201cGovernment funding expires at the end of the week, and Republicans are determined to not have another government shutdown,\u201d sources told<\/a> CNBC.<\/p>\n<\/blockquote>\n On the economic data front, January\u2019s Consumer Confidence report is due on Tuesday, providing insight into consumer sentiment.<\/p>\n The Fed\u2019s interest rate decision is due on Wednesday. There is currently 97% odds that rates will remain unchanged, according<\/a> to CME predictions markets.<\/p>\n December\u2019s Producer Price Index (PPI) Inflation data is due on Friday, adding more fuel to the economic fires. This measures the average change over time in the selling prices received by domestic producers for their output, reflecting price changes for goods and services.<\/p>\n Buckle up for a huge week ahead:<\/p>\n 1. Markets React to 100% Canada Tariff Threat \u2013 Tonight<\/p>\n 2. Markets React to 75% Chance of Govt Shutdown \u2013 Tonight<\/p>\n 3. January Consumer Confidence data \u2013 Tuesday<\/p>\n 4. Fed Interest Rate Decision and Press Conference \u2013 Wednesday<\/p>\n 5. Microsoft, Meta,\u2026<\/p>\n \u2014 The Kobeissi Letter (@KobeissiLetter) January 25, 2026<\/a><\/p>\n<\/blockquote>\n Additionally, four of the \u201cMagnificent 7\u201d report quarterly earnings this week, with Microsoft, Meta, and Tesla on Wednesday, and Apple on Thursday.\u00a0Stock futures were already falling on Monday, ahead of this week\u2019s turbulent waters.<\/p>\n Crypto markets were deep in the red during the Monday morning trading session in Asia. Total capitalization had dropped 1.8% on the day in a fall to $3 trillion.<\/p>\n Bitcoin led the losses, falling back to $86,000, its lowest level for five weeks, before a minor recovery to $87,700. The asset is currently teetering on key support levels, which, if broken, could result in a fully fledged bear market.<\/p>\n Ether prices continued to weaken, with the asset falling below $2,800 briefly and not showing much of a recovery. The altcoins were a predictable<\/a> bloodbath.<\/p>\n Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.<\/span><\/span><\/p>\n<\/div>\n<\/div>\n <\/p><\/div>\n\n
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Crypto Market Outlook<\/h2>\n
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