United States

With Trump's Commerce Secretary, Wilber Ross, currently speaking in his confirmation hearing, it is convenient that overnight Barclays released a report looking at steel demand in the US as a result of Trump's proposed stimulus projects, an area that will be of substantial focus by Ross as he seeks to revitalize the moribund US steel sector.

That said, Barclays notes that while the potential demand from US infrastructure is there, it notes that it is skeptical on implementation for two main reasons. One is the rising risk of protectionism:

In a speech at the World Economic Forum in Davos, Switzerland, Joe Biden took aim at president-elect Trump and Russian president Putin in what is likely his final public appearance as US vice-president.

The speech was long on scaremongery and war rhetoric and short on 'fact', as The Wall Street Journal reports, Mr. Biden said cooperation between the U.S. and Europe formed “the bedrock of the success the world enjoyed in the second half of the 20th century."

• Business euphoria over Trump gives way to caution, confusion (Reuters)
• Biden Lashes Out at Trump Over Comments on NATO (WSJ)
• Number of House Democrats Skipping Inauguration Grows (WSJ)
• Rising U.S. shale-oil output threatens OPEC’s production pact (MW)
• China urges U.S. to bar Taiwan delegation from Trump inauguration (Reuters)
• IEA Sees Significant Gains in U.S. Shale Oil as Prices Rise (BBG)
• Tom Price to Face Questions on Stock Trades, Obamacare (WSJ)

European shares decline led by a plunge in Pearson shares, S&P futures were modestly in the green as Asian and EM stocks gained. The dollar rebounded against most major currencies after retreating 1.3% on Tuesday to the lowest in a month following Trump's "strong dollar" comments and halted a seven-day drop against the yen.

British education group, and the world's largest education company, Pearson PLC lost a quarter of its market cap in an instant this morning after it issued a dire warning about the state of the textbook business, cut profit forecast, and warned of an "unprecedented" decline in its North American business. It also put its stake in the iconic Penguin Random House book business for sale in a bid to raise cash, not long after selling the Financial Times to the Nikkei.