Good morning. The S&P 500 closed at a record high yesterday for the first time since early December, fueled by comments from President Donald Trump calling for lower oil prices and interest rates.
The comments were part of Trump’s speech at the World Economic Forum in Davos, which is the focus of today’s newsletter.
BI was in the room to hear Trump’s message to global business leaders: Build in America or pay up.
What’s on deck
Markets: Companies are forecasting their Q4 earnings, but investors should probably take them with a grain of salt.
Tech: Inside TikTok’s wild weekend.
Business: Costco shareholders overwhelmingly reject anti-DEI proposal.
But first, Trump has something he wants businesses to know.
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The big story
Trump at Davos
President Donald Trump is making sure the whole world knows it: “America is back and open for business.”
Trump appeared via videolink to speak at the World Economic Forum in Davos on Thursday, where he addressed some of the world’s most powerful leaders. BI’s Spriha Srivastava was in the room to witness the audience go from laughter to silence in seconds.
“My message to every business in the world is very simple: Come make your product in America,” Trump said.
“If you don’t make your product in America, which is your prerogative, then, very simply, you will have to pay a tariff,” he added.
Trump has previously threatened to impose a 25% tariff on goods from Canada and Mexico, which he said could begin as early as February 1.
He also proposed a 60% tariff on China during his presidential campaign, but he said earlier this week he was considering a 10% tariff on goods from the country next month.
When Blackstone CEO Steve Schwarzman asked about Europe, Trump didn’t hold back, voicing his frustration with European regulatory enforcement actions against tech giants like Apple, Google, and Meta (who were major donors to his inauguration and whose CEOs were prominent guests).
“Whether you like them or not, they’re American companies, and they shouldn’t be doing that,” Trump said.
Trump has plans for the corporate tax rate.
Brian Moynihan, Bank of America’s CEO, asked how the Trump administration would prioritize GDP growth and reducing inflation amid his dozens of executive orders.
Trump said he would work to bring the corporate tax rate down to 15% from 21%, provided companies manufacture their products in the US.
The president also called out big banks, accusing them of discriminating against conservatives.
“Many conservatives complain that the banks are not allowing them to do business within the bank, and that included a place called Bank of America,” he said.
Bank of America responded publicly, saying it welcomes conservatives among its 70 million clients.
The president also thanked Saudi Arabia after it announced it would invest $600 billion in the US, but Trump added that he would be asking the crown prince “who’s a fantastic guy, to round it out to around $1 trillion.”
When Trump finished, Schwarzman remarked: “I’m sure the crown prince of Saudi Arabia will be really glad you gave this speech today.”
Trump’s speech reminded Spriha of how different his style is from the measured, diplomatic tone that usually defines Davos. Whether his message landed the way he intended, however, is another question.
BI’s Katie Balevic, Dominick Reuter, Noah Sheidlower, and Allie Kelly have the full rundown of Trump’s address.
Dan in Davos
Uf Widerluege! And that’s a wrap on Davos 2025.
It’s tough to truly judge this year’s event since it was my first time here, but I think it’s fair to say the vibe was a bit unique.
As much as the World Economic Forum is supposed to feel like the center of the business universe, everyone had at least one eye firmly on Washington this week.
It wasn’t just the new administration. The speed at which President Trump began implementing his policies kept everyone’s attention outside the Alps.
So what are the big takeaways from the week beyond President Trump?
There is a real belief that we’ll start to see ROI on those AI investments this year. It’s not 100% clear how that’ll come to fruition, but AI agents will likely play a key role, and businesses are starting to think about how to build commercial models around them.
Uncertainty around the new administration remains a business risk, but there’s optimism tariffs won’t be so strong they’ll stop businesses in their tracks.
And excitement around the return of the M&A and the IPO market is palpable, as exit opportunities will allow the wider business lifecycle to get moving again.
As things here wrap up, eyes are already turning to Davos 2026.
Plenty of companies have already locked down their spaces along the promenade — the main street in town where retail shops are transformed into a “haus” for businesses — for next year with more to follow. Restaurants and apartments also book up fast.
Here’s everything else you need to know about the last full day in Davos.
News brief
Top headlines
3 things in markets
1. Too early to tell on Q4. Companies are forecasting strong Q4 earnings, but it remains to be seen how the prospect of Trump’s tariffs is shaking things up. UBS says it’s possible that consumers and companies have adjusted spending ahead of tariffs. The firm shared advice for how investors can navigate the uncertainty.
2. A raise for Dimon. JPMorgan boosted CEO Jamie Dimon’s compensation to an eye-popping $39 million, following a record year of profitability for the bank. It breaks down to a $1.5 million base salary and a $37.5 million bonus, most of which is in equity.
3. Alt data’s trade-secrets fight is getting nasty. Carlyle-backed data provider Yipit sued two ex-employees in October, accusing them of stealing “secret information” to aid their new employer, Jefferies-owned M Science. Now, Yipit wants to add M Science and its CEO as defendants — and M Science clapped back with a lawsuit of its own. Onlookers worry about the fallout for the entire sector and its clients.
3 things in tech
1. Inside TikTok’s weekend of whiplash. The Supreme Court cleared the way for the long-awaited TikTok ban last Friday. The app went dark on Saturday. And on Sunday, it was back from the grave. BI’s Sydney Bradley and Dan Whateley spoke to employees, partners, and creators to chronicle an intense weekend.
2. Meta boycott? Yeah right. The calls for a boycott of Meta’s platforms — which came in response to the company scrapping DEI programs and third-party fact-checking — don’t seem to be having much impact. Data shows engagement has largely held firm, and its in-app revenue actually increased.
3. Amazon resumes new US green-card applications for foreign workers. A leaked memo obtained by BI revealed the e-commerce giant has restarted the process for international job seekers, after putting it on hold in 2023-2024 due to “labor market conditions.” The move may signal an improving job market.
3 things in business
1. CNN is cutting 200 TV jobs as it pivots to digital. The layoffs would impact 6% of CNN’s workforce, but CEO Mark Thompson told employees in a memo the overall head count would likely be similar thanks to new digital roles. Current and former staffers shared mixed reactions.
2. Costco shareholders rejected an anti-DEI proposal. While several companies have walked back diversity programs, Costco’s board unanimously supported theirs — voting against a proposal to report on the risks of the company’s DEI efforts. This comes just days after President Trump issued sweeping rules to end DEI initiatives at federal agencies.
3. DOGE gets feedback from across the aisle. Sen. Elizabeth Warren had some ideas on how to cut back on wasteful government spending, elaborating in a letter sent to DOGE leader Elon Musk. The senator has a list of 30 suggestions, and the pair are on the same page about reducing the defense budget.
In other news
What’s happening now
- American Express and Verizon report earnings.
- Two new giant pandas debut at the National Zoo in Washington, D.C.
The Insider Today team: Dan DeFrancesco, deputy editor and anchor, in New York. Grace Lett, editor, in Chicago. Ella Hopkins, associate editor, in London. Hallam Bullock, senior editor, in London. Amanda Yen, associate editor, in New York. Elizabeth Casolo, fellow, in Chicago. Lisa Ryan, executive editor, in New York.
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