Inflation, fueled by tariffs, stands as one of the biggest market risks in 2025, according to the world's largest sovereign wealth fund. Speaking at the World Economic Forum in Davos, Nicolai Tangen, CEO of Norges Bank Investment Management highlighted the inflationary potential of U.S. trade policies, noting that tariffs, reduced labor supply, and other proposals could sustain elevated inflation levels. Tangen said Trump's policies could financially benefit U.S. companies, describing them as "very exciting" for investors and highlighting a resurgence in "animal spirit" among American CEOs.