Good morning! Maduro is out, but what (or who) is in? That remains an open question, which many traders are trying to answer now. But besides the apparent takeover of Venezuela, here is also turmoil in the Middle East. We cover that today as some traders see something happening.
On top of that we are taking a closer look on TrumpRX as well as a possible government shutdown.
Stay ahead of the game with out forward-looking morning brief!
Top Movers
#1 The Struggle For Power Is On
After the US military took Maduro from Venezuela to face American justice, there is a question of who will lead Venezuela now.
Trump on his press conference said that the US will run Venezuela for the foreseeable future. However, at least officially, there needs to be a head of the Venezuelan state. For now, traders are betting on Maduro's VP, Delcy Rodriguez, but plenty can happen by the end of the year.
#2 No Elections
As the power struggle goes on, traders are skeptical we will see an election in Venezuela anytime soon.
During the press conference, Trump was not shy to admit that the US might run Venezuela for years as it rebuilds the critical infrastructure and extracts oil. While Trump promised the profits will go towards the Venezuelan people, we all know how such things go. However, it's hard to imagine Venezuelans will be worse off than under Maduro - the country has been a total disaster.
#3 Why Not Both?
In the meantime, Iran is experiencing the largest anti-government protest in a long while.
However, as always, there are 2 sides to the story. One thing remains sure though - not only did Trump warn Iran that any violence against the protesters will be met with an American response (presumably a strike), but also military equipment is being flown to Europe, indicating the US is getting ready to act if necessary.
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#4 Trump Pharmacy Is Coming
After a brief slump in odds, traders once more see strong chances Trump will launch his pharmacy project this month.
For now all we see is a landing page with a promise of a launch this month. Trump is no Elon, but he is also liberal when it comes to deadlines. He even said recently that he has none.
#5 Another Shutdown Averted?
After the historically long shutdown, chances are we will avert the next one.
The record shutdown from last year was ended by a continuing resolution till the January 30th - if the Congress fails to agree on another continuing resolution or a proper budget bill, we can see another partial shutdown by the end of the month.
However traders are skeptical. Are you?
Wrap up
That’s all for today - did you catch any of the moves? See you tomorrow for another Morning Brief!
This is not official investment or life advice. Do your own research. This are only my opinions and I encourage anyone to do their own research before putting any money anywhere.