Market Roundup
• US PPI (MoM) (Dec): 0.5%, 0.2% forecast, 0.2% previous.
•Canada GDP (MoM) (Nov): 0.0%, 0.1% forecast, -0.3% previous.
•US Core PPI (MoM) (Dec): 0.7%, 0.2% forecast, 0.0% previous.
•US PPI (YoY) (Dec): 3.0%, 2.7% forecast, 3.0% previous.
•US PPI ex. Food/Energy/Transport (YoY) (Dec): 3.5%, 3.5% previous.
•US Core PPI (YoY) (Dec): 3.3%, 2.9% forecast, 3.1% previous.
•US PPI ex. Food/Energy/Transport (MoM) (Dec): 0.4%, 0.2% previous.
•Canada GDP (MoM) (Dec): 0.1%, 0.0% previous.
•US Chicago PMI (Jan): 54.0, 43.5 forecast, 42.7 previous.
•Canada Budget Balance (Nov): -8.02B, -2.28B previous.
•Canada Budget Balance (YoY) (Nov): -26.39B, -18.37B previous.
• U.S. Baker Hughes Oil Rig Count: 411, 412 forecast, 411 previous.
• U.S.. Baker Hughes Total Rig Count: 546, 544 previous.
Looking Ahead Economic Data (GMT)
•No Data Ahead
Looking Ahead Events And Other Releases (GMT)
•No Events Ahead
Currency Summaries
EUR/USD : The euro dipped against dollar on Friday after German jobless numbers hit 12-year high.The number of unemployed people in Germany hit a 12-year high, surpassing the 3 million mark this month, even after Europe's biggest economy brushed off trade turmoil and outperformed economists' growth expectations last quarter.Labour office figures on Friday highlighted the lag in the jobs market from the economic stagnation of the last few years, with 177,000 more people out of work than in December, bringing the total to 3.08 million. The unemployment rate jumped by 0.4 percentage points to 6.6% in seasonally unadjusted terms.On a positive note, German gross domestic product grew by 0.3% in the fourth quarter compared with the previous three months, beating the consensus forecast of 0.2%. On an annual basis, the statistics office confirmed its first estimate of 0.2% growth. Immediate resistance can be seen at 1.1934(38.2%fib), an upside break can trigger rise towards 1.2000(Psychological level).On the downside, immediate support is seen at 1.1845 (38.2%fib), a break below could take the pair towards 1.1745(50%fib).
GBP/USD: The pound fell on Friday as dollar firmed in the wake of the Warsh announcement and inflation data, continuing to show signs of stabilizing after recent weakness. U.S. President Donald Trump announced former Federal Reserve governor Kevin Warsh as his choice to become the next chair of the central bank, while a reading on inflation was stronger than expected. U.S. producer prices increased by the most in five months in December amid some pass-through from import tariffs, suggesting inflation could pick up in the months ahead and allow the Federal Reserve to keep interest rates steady for a while.The PPI for final demand jumped 0.5% last month, the biggest rise since July, after an unrevised 0.2% gain in November, the Labor Department's Bureau of Labor Statistics said. Economists had forecast the PPI climbing 0.2%.Immediate resistance can be seen at 1.3723(38.2%fib), an upside break can trigger rise towards 1.3819(Daily high).On the downside, immediate support is seen at 1.3609(50%fib), a break below could take the pair towards 1.3537(SMA 20).
USD/CAD: The Canadian dollar weakened against its U.S. counterpart on Friday stronger dollar and soft Canadian GDP data weighed on loonie. Canada's economic growth stalled in November as an expansion in services was offset by weakness in goods-producing industries, data showed on Friday, as Canada's economy slows down after almost a year of tariffs and trade uncertainty.Gross domestic product was flat month-on-month in November, after a 0.3% contraction in October, Statistics Canada said. The U.S. dollar gained on Friday after former Federal Reserve Governor Kevin Warsh was selected to be the next Fed chair, and as the U.S. currency recovered from a sharp selloff earlier in the week that analysts say was overdone in the short-term. Immediate resistance can be seen at 1.3622 (Daily high), an upside break can trigger rise towards 1.3704(38.2%fib).On the downside, immediate support is seen at 1.3609(38.2%fib), a break below could take the pair towards 1.3485(23.6%fib).
USD/JPY: The U.S. dollar firmed against yen on Friday after former Federal Reserve Governor Kevin Warsh was selected to be the next Fed chair. President Donald Trump on Friday chose Warsh to head the U.S. central bank when Jerome Powell's leadership term ends in May. Warsh is seen as likely to support lower interest rates but would stop well short of the more aggressive easing associated with some of the other potential nominees.The dollar also added to gains after data on Friday showed that U.S. producer prices increased more than expected in December, with businesses appearing to pass on higher costs from import tariffs. The yen has undergone a sharp rally in the past week as Japanese policymakers hint at possible coordinated currency market intervention with the United States to defend the currency that had tumbled to near 18-month lows. Immediate resistance can be seen at 154.14(50%fib) an upside break can trigger rise towards 156.36(38.2%fib) .On the downside, immediate support is seen at 152.09(50%fib) a break below could take the pair towards 151.28 (Lower BB).
Equities Recap
Europe’s main share index closed higher on Friday, posting its longest monthly winning streak since 2021, as investors weighed corporate earnings and news of Trump’s Fed nomination.
UK's benchmark FTSE 100 closed up by 0.51 percent, Germany's Dax ended up by 0.94 percent, France’s CAC finished the day up by 0.68 percent.
US stocks declined on Friday after U.S. President Donald Trump tapped former Federal Reserve governor Kevin Warsh as the next chair of the central bank.
Dow Jones closed down by 0.36 % percent, S&P 500 closed down by 0.43 % percent, Nasdaq settled down by 0.94% percent
Commodities Recap
Gold slipped on Friday and was on track for its sharpest daily drop since 1983 after U.S. President Donald Trump announced his pick for Federal Reserve chair, while silver plunged nearly 30%, heading for its worst day on record.
Spot gold dropped 9.5% to $4,883.62 per ounce at 1:57 p.m. ET (1857 GMT) after prices climbed to a record peak of $5,594.82 on Thursday.U.S. gold futures for February delivery settled 11.4% lower at $4,745.10.
Oil prices slipped slightly on Friday, consolidating recent gains and staying near six-month highs amid ongoing U.S.-Iran tensions.
Brent crude futures settled at $70.69 a barrel, down 2 cents or 0.03%. The March contract expires later on Friday. U.S. West Texas Intermediate crude finished at $65.21 a barrel, down 21 cents or 0.32%.
