The Swiss Alps will host the world's most powerful gathering of political and business leaders next week as the World Economic Forum's annual meeting convenes in Davos-Klosters. For investors, the five-day event from January 19-23, 2026, offers a rare window into the thinking of policymakers and executives whose decisions shape markets worldwide.

The Trump Factor

President Donald Trump's attendance dominates the narrative heading into Davos 2026. This marks his third in-person appearance at the forum—and his first since 2020—leading a delegation that White House officials describe as the largest in American history.

The U.S. contingent includes:

  • Scott Bessent - Treasury Secretary
  • Howard Lutnick - Commerce Secretary
  • Chris Wright - Energy Secretary
  • Jamieson Greer - U.S. Trade Representative
  • David Sacks - AI and Crypto Policy Czar
  • Michael Kratsios - White House Science and Technology Policy Director
  • Mehmet Oz - Centers for Medicare and Medicaid Services Administrator
  • Steve Witkoff - Special Envoy to the Middle East

Trump's main participation is expected on Tuesday, January 21. White House officials have indicated he may touch on both domestic economic issues and international developments, including a potential announcement about the second phase of the Gaza ceasefire.

Market-Moving Topics to Watch

Trade Policy Signals

Perhaps no issue matters more to markets than the direction of U.S. trade policy. The fate of Trump's tariff agenda remains partially in the hands of the Supreme Court, which could rule on the legality of certain measures in the coming weeks.

Investors will parse Trump's Davos remarks for any signals about:

  • The future of USMCA and North American trade relations
  • Potential de-escalation or escalation with China
  • New tariff initiatives or modifications to existing policies
  • Views on the strong dollar and currency intervention

Treasury Secretary Bessent's conversations with global counterparts will be particularly important, as currency and trade issues often dominate bilateral meetings at Davos.

AI and Technology Governance

With AI czar David Sacks in attendance, technology governance will feature prominently on the U.S. agenda. The forum's theme of "A Spirit of Dialogue" comes as nations grapple with competing approaches to AI regulation.

Key questions include:

  • Will the U.S. push for international AI standards aligned with American interests?
  • How will Washington approach data governance and cross-border data flows?
  • What signals will emerge about crypto and digital asset regulation?

Technology investors should pay close attention to any policy announcements that could affect the AI buildout or regulatory environment for tech companies.

Energy and Climate

Energy Secretary Chris Wright's presence signals the administration's focus on energy dominance. With U.S. LNG exports surging and domestic oil production at record levels, Davos offers a platform to discuss energy security with European allies who remain dependent on American supplies.

Energy investors should watch for:

  • Announcements about LNG export infrastructure
  • Discussions of energy partnerships with European nations
  • Signals about the administration's approach to climate commitments

Geopolitical Developments

The Middle East, Venezuela, and Greenland all loom as potential discussion topics. Special Envoy Witkoff's inclusion in the delegation suggests Middle East diplomacy could feature prominently.

Markets are particularly sensitive to:

  • Iran-related developments that could affect oil prices
  • Progress or setbacks in Gaza ceasefire negotiations
  • Any escalation in tensions over Greenland or other territorial issues

The Global Risks Report Context

The World Economic Forum released its Global Risks Report 2026 earlier this week, setting a sobering backdrop for the gathering. The report identified "geoeconomic confrontation"—the use of sanctions, tariffs, and economic coercion—as the top global risk for 2026, surpassing misinformation, societal polarization, and climate concerns.

This framing underscores the tensions that will permeate Davos discussions. European and Asian leaders are grappling with how to navigate a more transactional U.S. approach to trade and security, while American officials will likely defend their policies as necessary responses to unfair practices.

Beyond the U.S. Delegation

More than 3,000 participants from approximately 130 countries will attend Davos 2026. Notable presences include:

  • Leaders from six of seven G-7 nations
  • CEOs from virtually every major global industry
  • Central bankers and finance ministers from major economies
  • Technology leaders navigating AI and digital transformation

For investors, the private conversations and panel discussions often yield insights that don't make headlines but shape corporate strategy and policy direction for months to come.

How to Trade Around Davos

Historical patterns suggest that Davos itself rarely produces dramatic market moves—the event is more about signaling and relationship-building than concrete policy announcements. However, several tactical considerations apply:

Expect Volatility

Comments from high-profile attendees can move markets, particularly in thin trading conditions. Be prepared for headline-driven swings, especially in currencies, commodities, and sectors sensitive to policy developments.

Watch the Side Meetings

Bilateral meetings between trade officials often produce the most actionable news. Treasury Secretary Bessent's conversations with counterparts from China, Japan, and Europe deserve close attention.

Consider Sector Exposures

Energy, technology, and financial services companies often figure prominently in Davos discussions. Any sector-specific policy signals could affect valuations.

Don't Overreact

Davos pronouncements frequently prove less significant than initial market reactions suggest. Maintain perspective and avoid dramatic portfolio changes based on single comments or speeches.

The Week's Calendar

Markets are closed Monday, January 19 (MLK Day), with the forum opening in Davos. Key dates:

  • Tuesday, January 21: Trump's main Davos appearance, Netflix earnings
  • Wednesday, January 22: Panel discussions continue, Fed Beige Book
  • Thursday, January 23: Forum concludes, jobless claims data

Key Takeaways

  • Trump leads the largest-ever U.S. delegation to Davos, January 19-23
  • Trade policy signals will be the most market-sensitive topic
  • AI governance, energy, and geopolitics also on the agenda
  • The WEF Global Risks Report identifies geoeconomic confrontation as 2026's top risk
  • Investors should prepare for headline-driven volatility while maintaining perspective