Economic News

Business sentiment in Germany deteriorates more than expected, weighing on the EUR. The DAX looked beyond the numbers, however.

It’s a relatively busy day ahead, with business sentiment figures for Germany in focus. Expect COVID-19 news updates and U.S stimulus talks to remain key drivers, however.

It’s a busy week ahead for the markets. 4th quarter GDP figures, the FED, U.S politics, COVID-19 news, and corporate earnings will be in focus in the week.

Mortgage rates hit reverse after a spike in the previous week. Concerns over a continued rise in new COVID-19 cases and low vaccination rates pinned back yields.

U.S. manufacturing activity surprisingly surged to its highest level in more than 13-1/2 years in early January.

Amidst low vaccination rates across the bloc, the Euro area receives more bad news on the vaccine front. Containment measures are unlikely to ease soon.

It was a mixed week for the majors. Economic data and COVID-19 vaccination rates and new infection rates were in focus along with the ECB’s press conference.

It was a particularly busy week for the markets. Economic data from the U.S impressed, with expectations of sizeable stimulus also driving support for riskier assets.

Existing home sales surge

Meanwhile, oil is down by about 3% amid rising coronavirus cases in China.

Wall Street traders are keeping an eye on Washington as policymakers start to lay the foundation of President Joe Biden’s coronavirus relief package.

Private sector activity contracted at a faster pace than expected in January. The impact of COVID-19 containment measures were evident, however.

CNBC is reporting that President Joe Biden’s First COVID-19 package is already facing hurdles in Congress.

Following some cautious comments from the ECB President, private sector PMIs for January will be a gauge for the markets.

Moderate weekly jobless claims decline raises the risk that the economy shed jobs for a second straight month in January.

Meanwhile, Housing Starts and Building Permits reports indicate that the housing market remains in a good shape.

As the COVID-19 pandemic rages on and economies suffer, the need for a single dose vaccine becomes even greater. Economic divergence is to be exptected.

Hong Kong stocks ended lower, snapping a five-day winning streak, as investors locked in profits following sharp gains.

Earnings season continues with Baker Hughes, Union Pacific and Citrix reporting before the bell. Intel, IBM and CSX report after the closing bell.

Economic data from the Eurozone and the U.S and the ECB press conference will provide direction. COVID-19 news and chatter from Capitol Hill will also influence.