Wall Street Awaits Q4 Earnings Amid High Expectations for Tech and Financials 
Market Roundup
•US Average Hourly Earnings (YoY) (Dec) 3.9%, 4.0% forecast, 4.0% previous
•US Average Weekly Hours (Dec) 34.3, 34.3 forecast, 34.3 previous
•US Government Payrolls (Dec) 33.0K, 30.0K previous
•US Manufacturing Payrolls (Dec) -13K, 5K forecast, 25K previous
•US Nonfarm Payrolls (Dec) 256K, 164K forecast, 212K previous
•US Participation Rate (Dec) 62.5%, 62.5% previous
•US Private Nonfarm Payrolls (Dec) 223K, 135K forecast, 182K previous
•US U6 Unemployment Rate (Dec) 7.5%, 7.7% previous
•US Unemployment Rate (Dec) 4.1%, 4.2% forecast, 4.2% previous
•Canada Avg hourly wages Permanent employee (Dec) 3.7%, 3.9% forecast
•Canada Building Permits (MoM) (Nov) -5.9%, 1.3% forecast, -4.1% previous
•Canada Employment Change (Dec) 90.9K, 24.9K forecast, 50.5K previous
•Canada Full Employment Change (Dec) 57.5K, 54.2K previous
•Canada Part Time Employment Change (Dec) 33.5K, -3.6K previous
•Canada Participation Rate (Dec) 65.1%, 65.1% previous
•Canada Unemployment Rate (Dec) 6.7%, 6.9% forecast, 6.8% previous
•US Michigan 1-Year Inflation Expectations (Jan) 3.3%, 2.8% forecast, 2.8% previous
•US Michigan 5-Year Inflation Expectations (Jan) 3.3%, 3.0% forecast, 3.0% previous
•US Michigan Consumer Expectations (Jan) 70.2, 73.3 previous
•US Michigan Consumer Sentiment (Jan) 73.2, 74.0 forecast, 74.0 previous
•US Michigan Current Conditions (Jan) 77.9, 75.1 previous
•US U.S. Baker Hughes Oil Rig Count 480, 482 previous
US U.S. Baker Hughes Total Rig Count 584, 589 previous
Looking Ahead Economic Data(GMT)
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Looking Ahead Events And Other Releases (GMT)
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Currency Summaries
EUR/USD: The euro fell sharply against the dollar on Friday after data showed the world's largest economy created more jobs than expected last month, reinforcing expectations that the Federal Reserve will pause its rate-cutting cycle at its policy meeting later this month. A Labor Department report showed the U.S. economy added 256,000 jobs in December, much higher than economists' forecasts for an increase of 160,000. The November jobs number was revised downward to 212,000.The unemployment rate, meanwhile, dipped to 4.1%, compared with expectations of a 4.2% reading, while average hourly earnings increased 0.3% last month after gaining 0.4% in November. In the 12 months through December, wages advanced 3.9% after rising 4.0% in November. The single euro zone currency was last down 0.6% at $1.024 , falling for a second straight week. Immediate resistance can be seen at 1.0274(38.2%fib), an upside break can trigger rise towards 1.0326(50%fib).On the downside, immediate support is seen at 1.0217(23.6%fib), a break below could take the pair towards 1.0197(Lower BB).
GBP/USD: Sterling fell for the fourth consecutive day on Friday, as the pair was driven lower by stronger-than-expected U.S. jobs data. U.S. job growth unexpectedly accelerated in December, with the unemployment rate dropping to 4.1%, indicating a solid labor market finish to the year. This reinforced expectations that the Federal Reserve will hold interest rates steady this month. Nonfarm payrolls rose by 256,000, marking the largest gain since March, while revisions to October and November data showed 8,000 fewer jobs added than initially reported. The pound was down 0.53%, after briefly touching $1.2194 , its lowest since November 2023. Immediate resistance can be seen at 1.2320(38.2%fib), an upside break can trigger rise towards 1.2373(Jan 9th high).On the downside, immediate support is seen at 1.2194(23.6%fib), a break below could take the pair towards 1.2100(Psychological level)
USD/CAD: The Canadian dollar weakened against the U.S. dollar on Friday after stronger-than-expected U.S. jobs data bolstered expectations that the Federal Reserve will pause its rate-cutting cycle. Meanwhile, Canada's economy added 90,900 jobs in December, far exceeding forecasts of a 25,000 increase. Following the data, investors now see a 60% chance of a Bank of Canada rate cut at its policy decision on January 29, down from 71% before the report. For the entire year, expectations for rate cuts were reduced to 46 basis points from 61 basis points. The loonie was trading 0.2% lower at 1.4425 to the U.S. dollar , after moving in a range of 1.4376 to 1.4442. Immediate resistance can be seen at 1.4477 (23.6%fib), an upside break can trigger rise towards 1.4535(Higher BB).On the downside, immediate support is seen at 1.4344(50%fib), a break below could take the pair towards 1.4273 (61.8%fib).
USD/JPY: The U.S. dollar initially strengthened against the yen on Friday but lost some ground after stronger-than-expected U.S. payrolls data raised concerns about a more cautious approach to interest rate cuts by the Federal Reserve this year. U.S. job growth accelerated unexpectedly in December, and the unemployment rate dropped to 4.1%, signaling a strong finish to the year for the labor market. As a result, markets now anticipate the Fed will reduce interest rates by just 30 basis points this year, down from the previous expectation of a 45 basis point cut before the data release. The dollar rose to its highest since July against the yen after the data and was last up 0.1% at 158.27 yen. Immediate resistance can be seen at 158.66 (23.6%fib) an upside break can trigger rise towards 159.00(Psychological level). On the downside, immediate support is seen at 157.01(38.2%fib) a break below could take the pair towards 155.80 (50%fib).
Equities Recap
European shares fell sharply on Friday, marking their steepest decline in three weeks, after a strong U.S. jobs report fueled fresh inflation concerns and reinforced expectations that the Federal Reserve will take a cautious stance on rate cuts.
UK's benchmark FTSE 100 closed down by 0.86 percent, Germany's Dax ended down by 0.50 percent, France’s CAC finished the day down by 0.79 percent.
U.S. stocks dropped, with the S&P 500 erasing its 2025 gains, as a positive jobs report reignited inflation concerns and strengthened expectations that the Federal Reserve will take a cautious approach to interest rate cuts this year.
Dow Jones closed down by 1.66 percent, S&P 500 closed down by 1.55 percent, Nasdaq settled down by 1.64percent.
Commodities Recap
Gold prices rebounded on Friday as uncertainty surrounding the incoming Trump administration's policies lifted safe-haven appeal, even as a stronger-than-expected U.S. employment data reinforced expectations the Federal Reserve might not cut interest rates as aggressively this year.
Spot gold was up 0.6% at $2,686.24 per ounce as of 01:57 p.m. EST (1857 GMT), while U.S. gold futures settled 0.9% higher at $2,715.00.
Oil prices surged nearly 3% on Friday, reaching a three-month high, as markets reacted to the most extensive U.S. sanctions yet aimed at curbing Russian oil and gas revenue, raising concerns about potential supply disruptions.
Brent crude futures were up $2.53, or 3.3%, to $79.45 a barrel by 1:16 p.m. EST [1816 GMT], after crossing $80 a barrel for the first time since Oct.7.
U.S. West Texas Intermediate crude futures advanced $2.38, or 3.2%, to $76.30, also a three-month high.
