Forex markets remained relatively steady following the January US CPI release, with the slightly softer-than-expected headline reading failing to trigger major repositioning. The moderation in inflation was largely driven by lower energy prices, while underlying pressures showed only gradual improvement. The data did little to materially alter Fed expectations. A March hold is effectively locked […]
Risk aversion reasserted itself across global markets overnight as NASDAQ led US equities sharply lower once again, with AI disruption fears resurfacing as the primary catalyst. Asian markets followed and traded broadly lower. The vulnerability in equities was mirrored in fixed income markets. Safe-haven demand pushed US Treasuries higher, sending the 10-year yield tumbling and
Forex markets are relatively subdued today, with most major pairs and crosses confined within yesterday’s ranges. After recent volatility, positioning appears balanced as traders await a stronger catalyst to drive the next move. Sterling is modestly firmer despite weaker-than-expected UK GDP data. December growth came in soft and the fourth quarter barely managed a positive
Risk sentiment was mixed in Asia today as Japan returned from holiday with Nikkei extending its post-election surge and briefly breaching the 58,000 mark for the first time on record. The breakout, however, lacked follow-through, with the index quickly trimming gains and hinting that near-term momentum may be stretched. Elsewhere in the region, trading was
January’s highly anticipated US non-farm payroll report delivered a decisive upside surprise, with job growth nearly doubling expectations and marking the strongest monthly gain since mid-2025. The data decisively push back against recent concerns that the labor market was deteriorating rapidly. Rather than rolling over, hiring appears to be regaining momentum at the start of
Dollar stayed heavy in early US trade, but muted price action suggested there was little reaction to the disappointing retail sales data. Elsewhere, conditions were also listless. US stock futures edged sideways and broader risk sentiment stayed calm. While the retail sales miss was discouraging, traders appear content to hold positions steady. Attention remains firmly
Japan remained the focal point of the Asian session as the Nikkei surged to yet another record high, extending gains fueled by post-election political optimism. What stood out, however, was that Yen extended its recovery alongside rising equities, a notable shift from its usual role as a pure risk proxy. The currency’s resilience suggests a
Dollar is softer across the board today as its recent rebound appears to be losing momentum. The move lacks a single defining trigger, instead reflecting a convergence of sentiment shifts and near-term positioning adjustments. One important backdrop is the stabilization in risk appetite. After markets spent much of last week grappling with AI-related disruption fears
Japan dominated the Asian session as markets reacted to Prime Minister Sanae Takaichi’s decisive election victory over the weekend. The scale of the win, which delivered a supermajority in parliament, triggered a powerful relief rally in domestic equities and set the tone for the broader region. Nikkei surged to a fresh record above 57,000 before
After days dominated by fears of an intensified tech rout and structural disruption from artificial intelligence, markets ended the week on a steadier footing. While volatility picked up meaningfully, Friday’s price action made clear that talk of an imminent trend reversal remains premature. Investors responded to midweek stress not by abandoning equities wholesale, but by
Market sentiment appears to be stabilizing after this week’s sharp tech-led selloff. US equity futures are edging higher and cryptocurrencies are recovering modestly, suggesting the worst of the near-term liquidation pressure may have passed, at least for now. The calmer tone is feeding through into FX markets, where activity has slowed markedly. Most major pairs
Risk aversion intensified overnight, with US equities posting broad-based losses. DOW and S&P 500 both closed more than 1.2% lower, while NASDAQ underperformed again, sliding nearly 1.6%. Notably, S&P 500’s break below near-term support zone around 6800 is technically significant. It suggests the tech-led selloff may be spilling over into more traditional sectors, raising the
Risk-off sentiment intensified in US tech sector overnight, with another down day in the NASDAQ. The move reflected growing unease rather than a single catalyst, as investors continue to reassess the implications of artificial intelligence for earnings, valuations, and capital discipline. That weakness carried into Asia, where Japanese and Korean equities saw steep declines. So
Euro is trading steadily today despite inflation data coming in weaker than expected. The muted market reaction suggests investors are comfortable looking through near-term softness, focusing instead on the broader policy and inflation backdrop. Indeed, recent data point to inflation likely undershooting the ECB’s own forecasts in the near term. That said, medium-term inflation expectations
Yen selloff returned to focus in Asian trading today as investors positioned ahead of Japan’s snap election this weekend. continues to enjoy solid public support. Although recent polls show a modest dip in approval, her standing remains strong enough to anchor expectations of electoral success. More importantly for markets, her ruling Liberal Democratic Party appears
Forex markets are trading relatively steady as the US session gets underway, with no strong directional conviction emerging. Early risk-on momentum from Asia has faded, leaving major pairs consolidating rather than extending moves. The initial lift in sentiment came from Asia following the announcement of a US–India trade deal, which helped support higher-beta currencies. Australian
Australian Dollar surged broadly in Asia session, drawing fresh strength from a hawkish RBA rate hike that reinforced expectations of further tightening later this year. The move gave the Aussie an extra tailwind on top of an already constructive regional backdrop. Risk appetite in Asia has been firm, with the latest boost to sentiment coming
