Here’s what to know for January 25:
The US currency fell against the euro and looked vulnerable across the board despite strong US manufacturing data that breathed some life into markets that would otherwise consolidate in anticipation of key developments for the US markets. next days. Markets are awaiting US and NZD inflation data on Thursday, as well as growth updates for the US economy.
First, business activity in the euro area returned to modest growth by surprise in January, helping to boost the single currency. The EUR/USD pair rose 0.09% to 1.0881, just below the 9-month high of 1.0927 hit on Monday, supported by survey data supporting the view that the eurozone economy is performing well at despite intense price pressures. At the beginning of the week, the euro appreciated following statements by the heads of the European Central Bank (ECB), who stated that the institution would raise interest rates by 50 basis points in February and March, and that it would continue to do so in the following months. .
The dollar hit nearly a week’s highs against the yen, before giving back those gains but holding above its lowest level since May, which it visited before the Bank of Japan’s monetary policy review. However, the BOJ kept policy unchanged allowing for a move higher in USD/JPY which touched 131.11 on the day.
GBP/USD was one of the worst performing pairs, falling 0.34% on the day to 1.2263 after a survey showed British private sector economic activity fell in January at its fastest rate in two years.
For its part, the USD/CAD pair closed largely sideways, having ranged from a low of 1.3346 to a high of 1.3413, while US stocks were volatile, causing choppy trading in the forex market on Tuesday. .
For its part, the 10-year US debt yield fell 4 basis points to 3.47%, and the WTI fell 1.8% to $80.15 per barrel. Gold fell 0.3% to $1,933.3/oz. Bitcoin was little changed on the day, trading at $22,973, stabilizing after rising nearly a third since early January.
In today’s session, inflation data from Australia and New Zealand will be key.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.