Collinson Forex Daily Market Commentary and Weekly Calendar

Monday, January 29, 2024


Daily Market Commentary

Equity markets took a turn for the better in the last week, with good economic news supporting confidence in the markets. US annualised GDP growth blew past expectations, expanding by 3.3%, while PCE inflation was flat, in line with expectations. The ECB left rates unchanged and may look to cut interest rates by Q2, 2024. The good economic news led to US equity markets trading around record levels, while bond yields remained steady. The coming week sees a proverbial avalanche of economic data releases, with European GDP growth numbers and inflation data, across the European zone. The Federal Reserve and the Bank of England are set to meet, to decide on monetary policy, but both are expected to leave rates unchanged, although close attention will be paid to the associated commentaries. The week will also be highlighted by Jobs reports in the US, culminating in the Non-Farm Payroll number, released Friday. The USD has been well supported and the EUR will open the week trading around 1.0850, while the GBP looks to regain 1.2700.

Commodity currencies have drifted as support for the reserve rises. The AUD has slipped below 0.6600, while the NZD fell under 0.6100, with inflationary pressures decreasing. Growth, inflation and Central Banks will all come into the spotlight in this coming weeks trade.

Weekly Market Commentary

29/1 NZ Trade Exports/Imports, Sweden GDP/Retail Sales

30/1 Dallas Fed Manufacturing Index, Japan Employment, Australian Retail Sales, France GDP, Austria GDP/PPI, Spain GDP/CPI, German GDP, Italy/Portugal GDP, EU GDP/Consumer Confidence

31/1 S&P Case Shiller Home Price Index, US Consumer Confidence, Jolts Jobs Report, Bank of Japan Minutes, Japan Industrial Production/Retail Sales, NZ Business Confidence, Australia CPI, China Manufacturing/Non-Manufacturing PMI, Japan Consumer Confidence/Home Sales, German Retail Sales, France CPI, German Employment, US Weekly Mortgage Applications, German CPI, ADP Jobs Report

1/2  China Manufacturing PMI, FOMC Meeting, Australia Manfacturing PMI, Australia Building Permits, Chicago PMI, Australia Commodity Prices, EC Meeting, UK/France/German/EU Manufacturing PMI, EU CPI, Bank of England Rate Decision, Challenger Jobs Report, US Weekly Jobless Claims

2/2 US/Canada Manufacturing PMI, ISM Manufacturing PMI, NZ Consumer Confidence, NZ Building Permits, Australia PPI, France Industrial Production, Non-Farm Payrolls, US Employment, University of Michigan Economic Sentiment

PLEASE NOTE THE VIEWS EXPRESSED IN THIS COMMENTARY ARE THOSE OF THE AUTHOR AND NOT COLLINSON & CO

Paul Bettany   I   Collinson Forex Limited    Collinson & Co.  Private Banking   

I   Mobile +64 0406-744-923  

Countries: NZ  0800 338 838 I AU  1800 143 415 I UK 0800 028 5834 

I US 1888 625 7833