Trump's State of the Union: Global Tariffs Effective, Nvidia Earnings Report Upcoming.

New Tariff Increase by Trump

On February 20, the U.S. Supreme Court ruled that the government's large-scale tariff policy was "overreaching." In response, President Trump announced a new executive order to impose a 10% import tariff on goods from all countries and regions, effective February 24, 2026.

Upcoming State of the Union Address

President Trump is scheduled to deliver the State of the Union address on February 24, outlining his administration's policy priorities for the coming year and discussing the economic situation. Justices from the Supreme Court, who ruled the tariffs illegal, will also be present.

U.S. Economic Indicators

The U.S. Producer Price Index (PPI) for January will be released on Friday at 21:30, providing further insights into inflation trends. HSBC economists predict a month-on-month increase of 0.3%, with the annual growth rate slowing from 3.0% in December to 2.8%.

Federal Reserve Rate Expectations

Investors have fully priced in two 25 basis point rate cuts this year, with the first expected in July. However, analysts from LBBW suggest that the Fed's meeting minutes indicate a risk of only one rate cut this year.

Hong Kong's New Budget Announcement

The Hong Kong government will release its new budget on February 25. Financial Secretary Paul Chan noted that increased overall revenue, including stamp duty, due to a thriving financial market will allow the government to return to surplus earlier than expected. However, capital accounts are still projected to record a deficit due to increased investment in public works.

Upcoming Earnings Reports

Nvidia and Other Major Companies

Nvidia (NVDA), the world's largest company by market capitalization, will report its earnings after the U.S. market closes next Wednesday. The company faces high expectations and must exceed analyst estimates to reassure investors about the sustainability of AI investments.

Analysts expect Nvidia's Q4 earnings per share to grow by 71%, with revenue projected at $65.9 billion. For the upcoming fiscal year, the average EPS estimate is $7.76, a 66% increase.

Other Companies Reporting

Other companies set to report earnings include Hims & Hers Health (HIMS), Standard Chartered (02888.HK), Tempus AI (TEM), and Rocket Lab (RKLB).

Apple Annual Shareholder Meeting

Apple (AAPL) will hold its annual shareholder meeting on February 24, where shareholders will vote on board re-elections, executive compensation, and the appointment of Ernst & Young as the public accounting firm.

MSCI China Index Adjustments

MSCI will implement its quarterly index adjustments on February 27, which will include the addition of four Hong Kong stocks: Hesai Technology (02525.HK), Pony.ai (02026.HK), SenseTime (00020.HK), and Yangtze Optical Fibre (06869.HK). Six stocks will be removed from the index.

Economic Data and Events

The U.S. will release December factory orders at 23:00, and the Conference Board's Consumer Confidence Index will also be published.

In summary, significant economic events and earnings reports are on the horizon, with potential impacts on market sentiment and investment opportunities.