Global Stocks Extend Lower, USD Stable Yields Chosen Up The Fed views showed that the short end of the curve performed poorly in a bear flattener. The curve flattened at -72 bps and then unwinds to a -70 bps. The future is in sight FOMC Expectations for a hawkish trim in the rate path on Wednesday Stocks and bonds with few buyers are heavy. Also, concerns over the future earnings from Alphabet (Amazon), Alphabet (Alphabet) and Meta were a concern. The US100 The slumped rate was -1.96% Stocks and bonds in Europe were generally lower than expected. ECB BoE rate decisions.
- China: domestic orders and consumption and manufacturing PMI drove higher (>50). A rebound in non-manufacturing activity was more decisive than expected by economists – but helped by a seasonal surge in spending for the Lunar New Year holiday.
- Japan Dec factory output inches down, retail sales beat forecasts
- German retail sales down 5.3% m/m in December & December import prices -1.6% m/m, +12.6% y/y.
- The USD Index – firmHowever, ed has been rising to 102.32 Assuming that the Fed keeps its higher for longer stance.
- EUR – drifts to 1.0827.
- JPY – rise slightly at 20-DMA i.e. 130.4.
- GBP – It is difficult to break 1.2450.
- Stocks – US100 -1.96% at 11229, US500 Take off -1.30% and…