- U.S. stock indices closed notably higher following a series of positive news. The S&P 500 rose by over 0.5%, the Nasdaq by 0.9%, and the Dow Jones by more than 0.6%.
- The main drivers of optimism were macroeconomic data: GDP growth reached 4.4%, while initial jobless claims came in below earlier forecasts. U.S. PCE inflation stood at 2.8%, still considered slightly elevated.
- The Bank of Japan, as expected, kept the short-term interest rate at 0.75%, while raising core inflation forecasts and highlighting rising inflation risks.
- Although core inflation in Japan is slowing, it remains above the Bank of Japan’s target, reaching 2.4% in December compared with 3% in November. It is also worth noting that the PMI hit its highest level in 17 months, signaling a return of Japanese industry to a growth path.
- The People’s Bank of China (PBOC) set today’s USD/CNY reference rate at 6.9929, higher than the projected 6.9481.
- Asian stock markets ended the week in positive mood: Japan’s Nikkei 225 gained 0.29%, Hong Kong’s Hang Seng rose 0.33%, China’s Shanghai Composite increased by 0.27%, and Australia’s ASX 200 edged up 0.06%. South Korea’s KOSPI stood out with a 0.6% gain.
- In the currency market, the greatest volatility is seen in the USD/JPY pair, which is rising following central bank decisions and macroeconomic data releases.
- Oil markets are also experiencing heightened volatility. Brent and WTI contracts reacted to U.S. President Donald Trump’s warning about sending a “fleet” toward Iran, raising concerns over potential disruptions in supplies from this key oil producer.
- In the precious metals market, gold and silver are benefiting from geopolitical tensions. Gold, up 0.3%, hovers around $4,950 per ounce, while silver, rising 3%, has surpassed $99 per ounce.
- In the cryptocurrency market, Bitcoin is up around 0.3%, while Ethereum remains largely unchanged.
- Intel reported fourth-quarter results that beat analysts’ expectations, but the company warned that it expects significantly lower margins and revenues in the first quarter.
BREAKING: US100 jumps amid stronger than expected US NFP report
Market wrap: Oil gains amid US - Iran tensions 📈 European indices muted before US NFP report
📈 Gold jumps 1.5% ahead of NFP, hitting its highest level since Jan. 30
Economic calendar: NFP data and US oil inventory report 💡