Market Roundup
• US CPI (YoY) (Jan) 2.4%, 2.5% forecast, 2.7% previous
• US Core CPI (MoM) (Jan) 0.3%, 0.3% forecast, 0.2% previous
• US Core CPI (YoY) (Jan) 2.5%, 2.5% forecast, 2.6% previous
• Canada New Motor Vehicle Sales (MoM) (Dec) 127.3K, 148.7K previous
• US Real Earnings (MoM) (Jan) 0.5%, -0.5% previous
• US Core CPI Index (Jan) 332.79, 331.81 previous
• US CPI Index, n.s.a. (Jan) 325.25, 325.41% forecast, 324.05 previous
• US CPI, n.s.a (MoM) (Jan) 0.37%, -0.02% previous
• US CPI Index, s.a (Jan) 326.59, 326.03 previous
• US Cleveland CPI (MoM) (Jan) 0.2%, 0.3% previous
• US U.S. Baker Hughes Oil Rig Count 409, 412 previous
• US U.S. Baker Hughes Total Rig Count 551, 551 previous
Looking Ahead Economic Data (GMT)
•No Data Ahead
Looking Ahead Events And Other Releases (GMT)
•No Event Ahead
Currency Summaries
EUR/USD : The euro edged lower on after data showed a less-than-expected increase in inflation in January, suggesting the Federal Reserve could continue to hold rates steady in the near term.U.S. Labor Department data on Friday showed that the consumer price index rose 0.2% last month compared with an estimate of 0.3% from economists polled .Earlier this week, data suggested the U.S. labor market was stabilizing with a drop in the U.S. unemployment rate amid strong jobs growth in January and a less-than-expected decrease in the number of Americans filing new applications for unemployment.The euro was slightly lower 0.02% at $1.1868 against the dollar, but was set to gain 0.5% this week.. Immediate resistance can be seen at 1.1872(38.2%fib), an upside break can trigger rise towards 1.1974(Jan 30th high).On the downside, immediate support is seen at 1.1783(SMA 20), a break below could take the pair towards 1.1724(50%fib).
GBP/USD: The pound edged higher on Friday after a volatile week marked by political turmoil and broader market concerns over the long-term impact of artificial intelligence. Sterling had come under pressure earlier as the Epstein-related political controversy raised doubts about Prime Minister Keir Starmer’s political stability.Economic data showed the United Kingdom economy grew just 0.1% in Q4, matching the previous quarter’s pace, with growth partly constrained by uncertainty ahead of Finance Minister Rachel Reeves’ November budget.Markets are currently pricing in a 63.4% probability that the Bank of England will cut interest rates by 25 basis points at its March policy meeting. Immediate resistance can be seen at 1.3663(38.2%fib), an upside break can trigger rise towards 1.3733(Feb 4th high).On the downside, immediate support is seen at 1.3583 (SMA 20), a break below could take the pair towards 1.3512(50%fib).
USD/CAD: The Canadian dollar weakened against the U.S. dollar on Friday as investors digested cooler-than-expected U.S. inflation data for January. U.S. Labor Department data on Friday showed that the consumer price index rose 0.2% last month compared with an estimate of 0.3% from economists polled by Reuters.Earlier this week, data indicated the U.S. labour market was stabilizing, with the unemployment rate declining, strong job growth in January, and fewer-than-expected new unemployment claims.Stronger-than-expected U.S. jobs data released on Wednesday dampened expectations of near-term rate cuts by the Federal Reserve, weighing on gold and silver prices.Oil prices fell further, after a 3% slide on Thursday. U.S. West Texas Intermediate crude was down 0.7% to $62.41 a barrel, while Brent crude futures fell 0.4% to $67.19 .Immediate resistance can be seen at 1.3630(38.2%fib), an upside break can trigger rise towards 1.3664 (DMA20).On the downside, immediate support is seen at 1.3561(Daily low), a break below could take the pair towards 1.3483(23.6%fib).
USD/JPY: The U.S. dollar slipped on Friday as demand for the yen strengthened following Japan’s election outcome and supportive domestic policy signals.Investor optimism that Sanae Takaichi will pursue fiscally responsible policies has boosted confidence in Japan’s economic outlook, reinforcing expectations that the Bank of Japan will stay on its policy normalization path.Defying earlier expectations of weakness, the yen has rallied strongly this week and is on track for its biggest weekly gain in nearly 15 months, as Takaichi’s historic victory eased concerns over Japan’s fiscal stability and strengthened overall market confidence. Immediate resistance can be seen at 153.70(Daily high) an upside break can trigger rise towards 155.18(38.2%fib) .On the downside, immediate support is seen at 152.39 (38.2%fib) a break below could take the pair towards 151.40 (Lower BB).
Equities Recap
European shares slipped on Friday as worries over potential AI-related disruptions kept investors cautious, while mixed corporate earnings and economic data added to the subdued sentiment.
UK's benchmark FTSE 100 closed up by 0.42 percent, Germany's Dax ended up by 0.25 percent, France’s CAC finished the day down by 0.35 percent.
Wall Street indexes ended mixed in volatile trading on Friday as investors weighed softer-than-expected January U.S. inflation data, boosting hopes for potential interest rate cuts.
Dow Jones closed up by 0.10 % percent, S&P 500 closed up by 0.05 % percent, Nasdaq settled down by 0.22% percent.
Commodities Recap
Gold prices surged over 2% on Friday and were on track for a weekly gain, as softer-than-expected U.S. inflation revived expectations of Federal Reserve rate cuts, outweighing pressure from stronger jobs data earlier in the week.
Spot gold rose 2.1% to $5,022.06 per ounce by 01:30 p.m. ET (1830 GMT) and was up 1.2% for the week, after falling about 3% on Thursday to its lowest level in nearly a week.
U.S. gold futures GCcv1 for April delivery settled about 2% higher at $5,046.30 per ounce.
Oil prices ended slightly higher on Friday after softer U.S. inflation data eased demand concerns, offsetting supply pressures as OPEC+ signaled a potential resumption of production increases.
Brent crude futures closed 23 cents, or 0.3%, higher at $67.75 a barrel, while U.S. West Texas Intermediate crude settled 5 cents, or 0.08% higher at $62.89.
