Ipek Ozkardeskaya
Swissquote Bank Ltd
Three US tech giants revealed their Q4 results yesterday, after the bell and the results were mixed. Meta jumped 15% in the after hours trading, Amazon gained a bit more than 2.5% while Apple shares tumbled almost 3%. Today, Exxon and Chevron are due to announce how well they did last quarter.
On the macroeconomic front, the Bank of England (BoE) kept its rates unchanged yesterday but opened the door to rate cuts mentioning ‘good news on inflation’. Cable rebounded despite a dovish takeaway from the MPC meeting as the US dollar fell sharply despite better-than-expected ISM manufacturing survey. In the euro area, inflation fell slower than expected in January. Combined with a softer US dollar, the EURUSD jumped from 1.0780, a few pips above the 100-DMA. The Swedish Riksbank also held rates steady yesterday and gave the happy news that a rate cut will be coming in H1.
The US is expected to have added less than 200K jobs this January, for around the same pay growth of 4.1% and unemployment rate is seen ticking slightly higher to 3.8%. A reasonably weak number should revive the Federal Reserve (Fed) doves, while a strong number should melt the March rate cut expectations.
This report has been prepared by Swissquote Bank Ltd and is solely been published for informational purposes and is not to be construed as a solicitation or an offer to buy or sell any currency or any other financial instrument. Views expressed in this report may be subject to change without prior notice and may differ or be contrary to opinions expressed by Swissquote Bank Ltd personnel at any given time. Swissquote Bank Ltd is under no obligation to update or keep current the information herein, the report should not be regarded by recipients as a substitute for the exercise of their own judgment.
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