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On Friday, US stock markets closed mixed. The Dow Jones (US30) declined by 0.58% (-0.74% for the week), while the S&P 500 (US500) edged up 0.03% (-0.65% for the week). The tech-heavy Nasdaq (US100) gained 0.34% (-0.41% for the week). Energy companies led the day’s gains, and the technology segment was bolstered by Nvidia (+1.5%) and AMD (+2.3%) following signals from China regarding potential orders for H200 AI chips. Conversely, a sharp 17% drop in Intel shares, triggered by a weak forecast and news of operational challenges, weighed on the semiconductor sector and pulled down Broadcom, limiting overall gains. Macroeconomic data provided a conflicting picture: the University of Michigan consumer sentiment index was revised upward to a multi-month high, yet preliminary S&P Global PMIs pointed to a moderate slowdown in both services and manufacturing.

Geopolitical tensions escalated as US President Donald Trump threatened Canada with 100% tariffs on all exports to the US if Ottawa moves forward with a trade agreement with China, labeling such a move a “strategic error.” This follows Canada’s recent steps toward Beijing, including agreements to increase Chinese EV imports. Prime Minister Mark Carney stated he expects China to lower tariffs on Canadian canola following his recent meeting with Xi Jinping, the first visit by a Canadian leader to Beijing in eight years.

The Mexican peso (MXN) strengthened past the 17.4 mark against the dollar, returning to its June 2024 highs after a brief correction. Previously, the currency faced pressure from a global flight to safety amid US-Europe trade frictions sparked by Trump’s statements on Greenland. The peso’s recovery highlights its fundamental resilience, supported by the Bank of Mexico’s hawkish stance. The suspension of the easing cycle, with the key rate held at 7%, provides attractive real yields and continues to draw foreign investor interest into local debt instruments.

European equity markets mostly trended lower on Friday. Germany’s DAX (DE40) rose by 0.18% (-0.16% for the week), while France’s CAC 40 (FR40) fell 0.07% (+0.22% for the week). Spain’s IBEX 35 (ES35) dropped 0.67% (+0.23% for the week), and the UK’s FTSE 100 (UK100) slipped 0.07% (-0.90% for the week). In a sudden pivot at the Davos conference, President Trump temporarily walked back threats of tariffs against European countries that opposed the US acquisition of Greenland, citing a “framework deal” with NATO. While this eased immediate political tension, uncertainty regarding Washington’s long-term strategy remains. Macro data showed steady private-sector expansion in the Eurozone, as reflected in PMIs, reinforcing expectations that the ECB will maintain its current policy.

Silver (XAG) made history by breaking the $ 108-per-ounce threshold, driven by a weakening dollar, geopolitical strife, and economic uncertainty. The US dollar came under pressure as markets worried Europe might leverage its vast US assets in response to the Greenland crisis. Beyond macro factors, silver’s rally was fueled by a massive short squeeze, robust retail demand, and China’s tightening of export controls on industrial metals.

On Monday, US Natural Gas prices (XNG) surged by over 17%, exceeding $6/MMBtu for the first time since late 2022, as a historic winter storm gripped the nation. Prices have nearly doubled in the last two weeks, the largest gain on record, due to forecasts for sustained arctic temperatures. Inventory reports showed a larger-than-expected withdrawal of 120 billion cubic feet, and analysts anticipate further drawdowns as heating demand intensifies.
Asian markets showed mixed performance last week. Japan’s Nikkei 225 (JP225) rose by 0.86%, while the FTSE China A50 (CHA50) fell by 2.99%. Hong Kong’s Hang Seng (HK50) gained 0.41%, and Australia’s ASX 200 (AU200) closed the week down 0.27%.

The Singapore dollar (SGD) has strengthened to approximately 1.27 against the US dollar, marking its highest level since October 2014. This appreciation is fueled by capital inflows into safe-haven assets and market expectations that the Monetary Authority of Singapore (MAS) will maintain its current policy stance. The currency remains in steady demand due to its “safe haven” status, underpinned by Singapore’s AAA-rated bond market, high stock market dividend yields, and predictable economic policy amid heightened global uncertainty.

• S&P 500 (US500) 6,915.61 +2.26 (+0.03%)
• Dow Jones (US30) 49,098.71 −285.30 (−0.58%)
• DAX (DE40) 24,900.71 +44.24 (+0.18%)
• FTSE 100 (UK100) 10,143.44 −6.61 (−0.07%)
• USD Index 97.46 -0.90% (-0.92%)

News feed for: 2026.01.26

• German Ifo Business Climate (m/m) at 11:00 (GMT+2); – EUR (MED)
• US Durable Goods Orders (m/m) at 15:30 (GMT+2). – USD (MED)

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