Market Roundup
• Canada Core Retail Sales (MoM) (Nov) 1.7%, 1.0% forecast, -0.6% previous
•Canada Retail Sales (MoM) (Nov): 1.3%, 1.2% forecast, -0.3% previous.
• Canada Core Retail Sales (MoM) (Nov): 1.7%, 1.0% forecast, -0.6% previous.
• Canada Retail Sales (MoM) (Nov): 1.3%, 1.2% forecast, -0.3% previous.
• Canada Retail Sales (MoM) (Dec): -0.5%, 1.3% previous.
•US S&P Global Services PMI (Jan): 52.5, 52.9 forecast, 52.5 previous.
•US S&P Global Manufacturing PMI (Jan): 51.9, 51.9 forecast, 51.8 previous.
•US S&P Global Composite PMI (Jan): 52.8, 52.7 previous.
•US Michigan 1-Year Inflation Expectations (Jan): 4.0%, 4.2% forecast, 4.2% previous.
•US Michigan Consumer Expectations (Jan): 57.0, 55.0 forecast, 54.6 previous.
•US Michigan Consumer Sentiment (Jan): 56.4, 54.0 forecast, 52.9 previous.
•US Michigan 5-Year Inflation Expectations (Jan): 3.3%, 3.4% forecast, 3.2% previous.
•US Michigan Current Conditions (Jan): 55.4, 52.4 forecast, 50.4 previous.
• US Leading Index (MoM) (Oct): -0.1%, -0.2% forecast, -0.3% 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 rose against dollar on Friday as dollar weakened as investors assessed any potential trade jitters resulting from frictions with the U.S. over Greenland.Global markets were shaken this week after U.S. President Donald Trump's latest set of threats to implement progressively increasing tariffs on eight European national until Washington was allowed to buy Greenland. Though he walked back on the threat, citing an agreement with NATO, investors remain vigilant of tariffs being used as a bargaining tool. On the data front,Euro zone business activity growth remained steady this month as softer expansion in services was offset by a slower contraction in manufacturing, while price pressures increased, a survey showed. The HCOB Flash Eurozone Composite PMI, compiled by S&P Global, held at 51.5 this month . It remained above the 50.0 level that separates growth from contraction for a 13th straight month. Immediate resistance can be seen at 1.1829(Daily high), an upside break can trigger rise towards 1.1890(23.6%fib).On the downside, immediate support is seen at 1.1787 (38.2%fib), a break below could take the pair towards 1.1703(50%fib).
GBP/USD: Sterling rose on Friday after stronger-than-expected UK retail sales and business activity figures supported sterling across the board. Sales volumes rose by 0.4% in December from November, the Office for National Statistics said. This was the first increase since September and marked a brighter end to an otherwise drab final quarter for shops. The preliminary S&P Global UK Composite Purchasing Managers' Index for January hit its highest level since April 2024, jumping to 53.9 from 51.4 in December, Friday’s data, alongside reports earlier in the week that showed the labour market weakened and inflation accelerated, has put the outlook for interest rate decisions by the Bank of England back into focus. The BOE is expected to hold rates steady when it next meets in February. Markets fully price in a quarter-point rate cut by June. Immediate resistance can be seen at 1.3646(Daily high), an upside break can trigger rise towards 1.3696(23.6%fib).On the downside, immediate support is seen at 1.3566(38.2%fib), a break below could take the pair towards 1.3451(50%fib).
USD/CAD: The Canadian dollar extended its weekly gain against the U.S. dollar on Friday as the greenback posted broad-based declines and domestic data showed that retail sales rose in November.Canadian retail sales increased by 1.3% in November from October and were up 3.1% on an annual basis. Preliminary estimates for December showed retail sales declining 0.5% and manufacturing sales up 0.5%.The price of oil , one of Canada's major exports, rose 2.7% to $60.98 a barrel on concerns of supply disruptions in the Middle East.The Bank of Canada will keep its overnight interest rate on hold through 2026, according to an even stronger majority of economists polled by Reuters than one month ago, on expectations the economy will grow steadily with inflation largely contained. Immediate resistance can be seen at 1.3799(Daily high), an upside break can trigger rise towards 1.3819(5038.2 pair towards 1.3604(Lower BB).
USD/JPY: The U.S. dollar fell sharply on Friday as traders evaluated the possibility of an intervention to support the currency. The Japanese currency suddenly swung from a loss to a gain versus the dollar before U.S. trading hours. In U.S. afternoon trading it sharply extended gains. This was after the New York Federal Reserve performed dollar/yen rate checks around midday, a source familiar with the matter told Reuters. Earlier, the Bank of Japan had signaled readiness to continue raising still-low borrowing costs in a politically charged atmosphere, ahead of a snap election next month. Earlier, Japanese Finance Minister Satsuki Katayama said she was watching currency markets closely, but declined to comment on speculation. Immediate resistance can be seen at 157.23(38.2%fib) an upside break can trigger rise towards 158.00(Psychological level) .On the downside, immediate support is seen at 155.76(38.2%fib) a break below could take the pair towards 155.07 (50%fib).
Equities Recap
European shares closed lower on Friday and posted weekly declines as investors remained cautious and weighed potential trade tensions stemming from U.S. frictions over Greenland.
UK's benchmark FTSE 100 closed down by 0.07 percent, Germany's Dax ended up by 0.18 percent, France’s CAC finished the day down by 0.07 percent.
The Dow Jones Industrial Average closed lower on Friday, while the S&P 500 finished mostly flat, as Intel’s sharp drop on a weak outlook dampened investor risk appetite at the end of a volatile week.
Dow Jones closed down by 0.58 % percent, S&P 500 closed up by 0.03 % percent, Nasdaq settled up by 0.28% percent
Commodities Recap
Spot gold was 0.6% higher at $4,964.81 anounce, after touching a record of $4,988.17 earlier. U.S. gold futures for February delivery settled 1.4% higher at$4979.70.
Oil prices closed at a more than one-week high on Friday after U.S. President Donald Trump intensified pressure on Iran with additional sanctions on oil-transporting vessels and announced a naval deployment toward the Middle East.
Brent crude futures rose $1.82, or 2.8%, to settle at $65.88 a barrel, the highest since January 14. U.S. West Texas Intermediate crude gained $1.71, or 2.9%, at $61.07, also a more than one-week high.
