The global currency and commodities markets are witnessing significant movements as the week concludes. On Friday, the GBP/USD extended its weekly uptrend, trading at a two-week high above 1.2400. Similarly, the EUR/USD pair maintained its position close to multi-week highs around the 1.0500 barrier. The pound sterling's strength can be attributed to better-than-expected preliminary January PMI data from the UK, shifting market focus to macroeconomic data releases from the United States.
In the United States, investors eagerly await the release of preliminary Manufacturing and Services PMIs for the current month. The anticipation surrounding these figures has led to increased attention on US macroeconomic indicators, which could influence future market trends.
Gold markets also experienced notable activity on Friday, with XAU/USD pushing higher due to easing fears over aggressive US tariffs on China. Gold prices clung to daily gains above $2,770, approaching the record-high of $2,790 set in late October. This upward trend reflects investor confidence in gold as a safe haven amidst uncertain economic conditions.
In the cryptocurrency market, Dogelon Mars (ELON) continued its impressive rally, with prices rising over 18% this week. The surge in ELON's value highlights the growing interest in alternative digital currencies as investors seek diversification in their portfolios.
Market participants are closely monitoring interest rate expectations for this year in both the Eurozone and the United States. The US Federal Reserve is anticipated to implement two interest rate cuts of 25 basis points each this year. Meanwhile, the European Central Bank (ECB) is expected to enact four rate cuts of 25 basis points. These potential adjustments reflect central banks' efforts to stimulate economic growth amid ongoing global uncertainties.