The World Economic Forum (WEF) held its annual meeting in Davos, Switzerland, and President Trump used the event to outline his Greenland policy as well as to announce the creation of the Board of Peace. Gross domestic product (GDP) for the third quarter was also revealed this week in addition to the Core PCE Price Index.

On Wednesday, Donald Trump announced that he would not use force to obtain Greenland and announced the Board of Peace, which was aimed at ending the conflict in Gaza. He also said that the group could look to intervene in conflicts elsewhere.

On Thursday, the final GDP reading for the third quarter of 2025 came in at 4.4 percent. This was slightly higher than the projected 4.3 percent, and President Trump indicated GDP for the fourth quarter of 2025 jumped to 5.3 percent.

The Core PCE Price Index came in at 0.2 percent, which implies that inflation was 2.8 percent on an annualized basis in November. While the reading matched analyst expectations, it also means that inflation is still running well above the Fed’s target. Finally on Thursday, it was revealed that 200,000 people made claims for unemployment benefits over the past seven days.

On Friday, the Flash Manufacturing PMI and the Flash Services PMI came out. The manufacturing PMI came in at 51.9 while the services PMI came in at 52.5. This indicates that both sectors expanded in December.

The S&P 500 was down 0.7 percent this week to close at 6,915. This was a drop of 48.88 points for the index that has been relatively flat for the month of January. For the week, the index made a low of 6,796 on Wednesday before reversing and making a high of 6,933 on Thursday.

The Dow was down 0.89 percent this week to close at 49,098, which was a drop of 441 points. On Tuesday afternoon, the market made a low of 48,475 before reversing and making a high of the week on Thursday of 49,592.

Finally, the Nasdaq was also down this week finishing off 122 points to close Friday’s trading at 25,605. This was a loss of 0.48 percent for the tech-heavy index that has been relatively choppy over the past few months as markets try to figure out what is going on with the AI sector.

In international news, Canada announced its latest CPI figures on Monday morning. Inflation eased 0.2 percent over the past month, which means that inflation was 2.5 percent on an annualized basis. On Wednesday morning, Great Britain announced that inflation had increased by 0.2 percent to 3.4 percent.

On Thursday, New Zealand reported that inflation rose by 0.6 percent over the past three months. Finally, the Bank of Japan (BOJ) on Thursday announced its latest rate decision. The BOJ decided to keep the status quo of just below 0.75 percent.

The upcoming week should be another interesting one as there is a lot of news on the schedule. On Tuesday, the CB Consumer Confidence report comes out while the Fed releases its January rate decision on Monday. It’s expected that the Fed will keep the Fed Funds rate at 3.75 percent. Finally, the Price Producer Index (PPI) for December is scheduled to come out on Friday after a 16-day delay due to the government shutdown.