Key Events Around Globe That Investors Must Know: Jan 16

Foreign Holdings of US Treasuries at All-Time High in November, but China Pulls Back

Foreign holdings of U.S. Treasuries hit record highs in November, rising after two straight months of declines as market sentiment improved after the U.S. federal government ended the longest-ever shutdown in history.

The U.S. government shuttered on October 1, staying closed for a record 43 days. The shutdown ended on November 12, with President Trump signing a funding bill into law to reopen the government. Holdings of U.S. Treasuries rose to an all-time peak of $9.355 trillion in November, up from October’s $9.243 trillion, data from the Treasury Department showed. Compared with a year earlier, Treasuries owned by foreigners were up 7.2% in November.

Weekly US Jobless Claims Fall Unexpectedly, But Labor Market Treading Water

The number of Americans filing new applications for unemployment benefits unexpectedly fell last week, but the drop was likely due to ongoing challenges adjusting the data for seasonal fluctuations around this time of the year.

The labor market remains in what economists and policymakers have termed a “low-hire, low-fire” state. Economists say President Donald Trump’s aggressive trade and immigration policies have reduced both demand for and supply of workers. Businesses also are unsure of their staffing needs as they invest heavily in artificial intelligence, which is curbing hiring.

Initial jobless claims dipped to a seasonally-adjusted 198,000 in the week ended on January 10, compared to a downwardly-revised mark of 207,000 in the preceding week. Economists had anticipated the number would edge up to 215,000.

Meanwhile, the four-week moving average, which aims to account for weekly fluctuations in the jobless claims figures, inched down to 205,000 from 211,500.

German Economy breaks2-Year Slide With Modest 2025 Growth

The German economy expanded for the first time in three years in 2025 as consumers and a government spending surge begin to fuel a so far sluggish recovery.

Europe’s biggest economy became stuck in stagnation when its vast industrial sector got priced out of key export markets and consumers chose to save rather than spend.

Chancellor Friedrich Merz has launched a huge spending plan to boost economic prospects but it is taking time to feed into the economy.

“After two years of recession, the German economy edged back into growth. The growth is primarily attributable to increased household consumption and government expenditure,” said Ruth Brand, President of the Federal Statistical Office.

The economy grew by 0.2% both in the final quarter of 2025 and the year as a whole. The full-year increase was in line with the forecast by analysts polled by Reuters.

Saudi Arabia’s Inflation Rate Rises to 2.1% in December

Saudi Arabia’s headline inflation rate increased to 2.1% year-on-year in December, slightly higher than expected but still low compared to other emerging markets.

The December figure exceeded both analyst consensus of 2.0% and forecasts of 1.9%. On a month-on-month seasonally adjusted annualized basis, prices rose by 3.0%, marking the fastest pace of increase in eight months.

Despite this slight uptick, Saudi Arabia’s inflation remains relatively weak when compared to other emerging market economies. Analysts expect the inflation rate to decrease throughout 2026.

Source: HSL Prime Daily, 16 Jan 2026

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