News & Insight • Weekly Newsletters

23 January 2026 | William Buckhurst

That Was The Week That Was

MACRO NEWS

The TACO trade (Trump Always Chickens Out) was back in full swing as he backtracked on Greenland. The US Supreme Court also did not rule on the legality of tariffs imposed by the White House last year and with the court now preparing for a 4-week recess it is unlikely there will be any ruling before February 20^th.

Japanese Prime Minister Sanae Takaichi dissolved Parliament and confirmed the election will be held on February 8^th.

UK headline inflation accelerated in December, as CPI rose to 3.4% from 3.2% from November, ahead of consensus. This represented the first rise in headline inflation since July, although it was dismissed as a temporary phenomenon as it is still expected to decline in the first half of 2026. UK economic data showed an unchanged unemployment rate of 5.1% in the three months to November. Annual earnings growth came in at 3.6% for the private sector and overall wage growth of 4.5% was affected by public sector earnings came in at 7.9%.

UK borrowing showed a welcome deceleration in December, as the ONS revealed that public sector net borrowing requirement was £11.6bn was well below the £13.5bn expected. In addition, the figures for November were revised lower to £10.9bn from £11.7bn. The data was boosted by strong corporation and self-assessment income tax receipts. Spending was modestly higher driven by increased benefits and pay rises.

Precious metals continue to hit all-time highs, with Gold near to $5,000/oz and Silver bringing up its ton. The best price rise of the week was natural gas due to US worries about winter frost.

COMPANY NEWS

The biggest M&A action in London for some time as Beazley rose 42.7% after it received a takeover proposal from Zurich Re at a price of 1280p valuing Beazley at £7.7bn. Hiscox shares rose over 9% in sympathy.

UK listed credit data company, Experian, fell 4.6% after announcing trading was in line with expectations even with the US is seeing growth of 10% (70% total group).

Ashtead Technology rose 14.2% after issuing a positive trading statement highlighting organic revenue growth of 3% up from 1%, ahead of market expectations. In addition, strong free cash flow had seen debt fall.

Netflix reported results which beat expectations, but shares fell 2% as revenues rose 17.6% to over $12bn and subscribers exceeded 325m people. In addition, it halted its buy back for the takeover of Warner Bros.

Berkshire Hathaway plans to divest its 26.7% stake in Kraft Heinz that it has held for over a decade.

Capital One, the US credit card issuer reported results which showed good growth. The company also announced the acquisition of Brex Inc, the AI powered issuer that specialises in start-up lending for $5.15bn.

UK based money transfer services company Wise Group rose 16% after issuing a positive trading statement noting figures slightly better than expected.

It was reported that Nestlé is forging ahead with the sale of a stake in its €5bn water business, which includes the well-known brands Perrier and San Pellegrino.

Intel shares fell sharply as, despite solid 3% revenue growth over the last quarter, it cited supply constraints. They noted that these constraints would improve (via better yields, cycle times, general execution, etc.).

GE Aerospace declined 7% following results that showed a 10% beat to expectations, but guidance was in line with consensus, but the market wanted more.

Senior Engineering rose 8.8% after posting a strong upgraded trading update ahead of expectations. They noted that they have successfully reduced the cost base.

OUR SURVEY SAYS…

The latest UK consumer confidence survey, compiled by GfK, came in…you’ve guessed it…negative. In fact, this week marks ten years that the number has been negative or flat. Yet during that period we’ve seen (admittedly not stellar) economic growth, wage growth and a UK stock market that has almost doubled. Are surveys any use for investors?

Throughout early 2009, PMI surveys were overwhelmingly pessimistic on orders, employment and output; yet this turned to be one of the great buying opportunities for equities when markets bottomed post the GFC in March 2009. Equally, Conference Board CEO Confidence Surveys were extremely high in late 1999 an early 2000 just before the dot-com crash and a painful 3-year bear market for equities. The old adage “Statistically Significant, Substantively Dubious” springs to mind.

DAVOS HIGHLIGHTS

Even with the great, the good and the not so good appearing in Switzerland the highlight was a pair of specs as Emmanuel Macron's aviator sunglasses drove the shares of their maker, iVision Tech almost 75% higher this week after the French president's look during his speech went viral.

More importantly the Davos World Economic Forum revolved around President Trump as he appeared to dial down on the rhetoric regarding the possible use of force to secure Greenland and of his 10% tariff ultimatum. He urged European leaders to allow the US to take control of Greenland saying “you can say yes and we will be very appreciative. Or you can say no and we will remember.”

Following a meeting between the President and Nato Secretary General Mark Rutte, the President announced a deal involving the rights over Greenland the wider arctic which could involve mineral rights. “It’s the ultimate long-term deal as it puts everybody in a really good position, especially as it pertains to security and to minerals.”

THE WEEK AHEAD

The main day this week is Wednesday where the Fed makes its interest rate decision and then the Chairman speaks.

Company wise UnitedHealth Group, Cranswick and Union Pacific report on Tuesday, and Microsoft and Meta kick off the Mag 7 on Wednesday, alongside ASML, Lam Research, IBM and GE Vernova. Apple, Lloyds Banking Group, 3I Group, easyJet, Visa, SAP, Thermo Fisher, KLA Corp, Sanofi and Arthur J. Gallagher on Thursday. American Express and Sumitomo Mitsui Financial report on Friday.

THE WEEK IN HISTORY

1841: China cedes Hong Kong Island to Britain during the First Opium War.

1945: Franklin D. Roosevelt is sworn in for an unprecedented and never-to-be-repeated fourth term as US President.