Global stock markets climbed on Tuesday as Donald Trump wasted no time in starting his second term as US president with a raft of announcements affecting the global economy.

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Oil prices slumped however on the prospect of more drilling in the United States, while the dollar lost much of its initial gains.
Wall Street's major indices rose at the opening bell, having been shut on Monday for the Martin Luther King holiday, which coincided with Trump's inauguration.

Briefing.com analyst Patrick O'Hare spoke of a "Trump bump" in trading.
"This bump follows yesterday's inauguration," he said, noting that Trump had "wasted no time with a slate of executive orders that unwound a lot of the Biden administration's policies".On becoming president, Trump signed an executive order that indicated he could resume his hardball approach to global diplomacy and trade.
He also spoke about the possibility of imposing a 25-percent tariff on Canadian and Mexican goods, which sent their currencies tumbling. 
Canadian and Mexican stock markets were marginally higher in Tuesday trading.
"What was missing in yesterday's executive orders, however, was any declaration of a decisive tariff action against China," said O'Hare."Instead, President Trump said existing trade agreements should be reviewed for any recommended revisions."

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That helped Chinese markets push higher, with Hong Kong gaining nearly one per cent. A top Chinese official said on Tuesday that no country would emerge victorious from a trade war.afp
"Protectionism leads nowhere and there are no winners in a trade war," Vice Premier Ding Xuexiang said in a speech at the World Economic Forum in Davos, Switzerland.

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Trump also gave social media app TikTok 75 days to find a buyer for its US business, after it missed a deadline on Saturday ordering its Chinese owners ByteDance to sell its US subsidiary to non-Chinese buyers or be banned.
Wall Street received an initial Trump bump after his November re-election, with investors excited about the prospect of tax cuts and deregulation. 
However, they pulled back in December over fears Trump's plans to slap tariffs on key US trading partners would spark inflation and dim the prospect of further cuts to interest rates.

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Oil prices slumped on Tuesday after the Trump administration declared a "national energy emergency" to significantly expand drilling in the world's top oil and gas producer.

"Mr Trump’s full-throated yell for US producers to 'Drill, baby, drill!' is not new. And it's perfectly logical that prices should fall at the prospect of increased supply," said David Morrison, Senior Market Analyst at Trade Nation.
The main US oil contract, WTI, fell by 2.5 per cent.

 Key figures around 1430 GMT 

New York - Dow: UP 0.4 per cent at 43,661.58 points
New York - S&P 500: UP 0.5 per cent at 6,027.95
New York - Nasdaq Composite: UP 0.5 per cent at 19,734.15
London - FTSE 100: UP 0.1 per cent at 8,530.70 
Paris - CAC 40: UP 0.4 percent at 7,764.91
Frankfurt - DAX: UP 0.1 percent at 20,014.46
Tokyo - Nikkei 225: UP 0.3 per cent at 39,027.98 (close)
Hong Kong - Hang Seng Index: UP 0.9 per cent at 20,106.55 (close)
Shanghai - Composite: DOWN 0.1 per cent at 3,242.62 (close)
Euro/dollar: DOWN at $1.0393 from $1.0404 on Monday
Pound/dollar: DOWN at $1.2294 from $1.2302
Dollar/yen: DOWN at 155.46 yen from 155.67 yen
Euro/pound: UNCHANGED at 84.56 pence
West Texas Intermediate: DOWN 2.5 per cent at $75.47 per barrel
Brent North Sea Crude: DOWN 1.6 percent at $78.89 per barrel
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