Fawad Razaqzada
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Crude oil turns lower as Mexican tariffs delayed
Against a backdrop of rising OPEC+ supply and the potential for increased non-OPEC supply growth, mainly in the US, the crude oil forecast remains modestly bearish.
GBP/USD forecast: Tariffs, US jobs and BoE rate decision in focus – Currency Pair of the Week
Although the pound has fallen along with other major currencies, it may be able to regain its poise with Trump suggesting that a deal "can be worked out" with the UK. This means the risks to the GBP/USD forecast are less pronounced than the likes of the Canadian dollar or the euro.
US dollar forecast: USD/JPY rebounds ahead of more central bank action next week - Forex Friday
The US dollar forecast remains modestly bullish in our view, because of Trump’s inflationary policies. The fact that it has weakened a little in recent days is more of a reflection of the relief rally that some currencies like the euro have enjoyed.
EUR/USD forecast takes a boost on Trump’s softer tariffs tone
The key takeaway point was that he used a much softer tone regarding tariffs, while wanting to bring down interest rates and crude oil prices. His words helped to soothe investor nerves further, allowing the likes of the euro, yuan and Canadian dollar to rise against the US dollar, with the latter also weighed down by a bigger-than-expected rise in jobless claims data. The EUR/USD forecast has therefore taken a boost.
Nasdaq 100 forecast: Tech stocks continue to thrive amid AI optimism
The Nasdaq 100 forecast remains bullish for now. Sentiment is positive mainly because the technology sector is continuing to remain the gift that keeps on giving. The latest wave of optimism has been fuelled by advancements in artificial intelligence and solid corporate earnings.
GBP/USD forecast: Cable finds relief but risks remain tilted to downside
The risk on trade has also benefited the pound, but it is far too early to say whether the GBP/USD forecast has turned bullish.
Crude oil outlook: WTI bounces off lows but selling could resume
With China’s improving economic conditions, demand concerns have reduced and in the short-term there is little risk of an oil glut forming, but the slightly longer term outlook is a bit murky with the potential for another supply war to emerge between US shale and OPEC+ producers.
Japanese yen forecast: USD/JPY and CAD/JPY in focus ahead of BoJ
The narrowing interest rate differentials between Japan and the rest of the world has been a key theme in the improving Japanese yen forecast in the last couple of weeks.
3 things we learned from Trump's Inauguration Speech
Today Donald Trump has promised a 'new golden age' after he was sworn in as 47th president of the US. He declared that this era “begins right now," adding that America will be respected under his leadership as a "peacemaker and a unifier." But "We will drill, baby, drill."
DAX outlook: Could Trump disrupt European markets?
With the US out, it has understandably been a quiet day so far in Europe where major indices were trading mixed but holding onto their recent impressive gains. Some of the major European indices hit new record highs last week, including the high-flying German DAX index.
FTSE analysis: Could Trump disrupt record-hitting European stock markets?
The upcoming week could kick off with a bang, even though Wall Street will sit Monday out due to Martin Luther King Day. Donald Trump is set to begin his second term as US President on the same day, ensuring a headline-filled start to the trading week.