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• Final December reading was 53.3
• 1-year inflation 4.2% vs 4.1% prior
• 5 year inflation 3.4% vs 3.2% prior
• Current conditions 52.4 vs 50.7 prior
• Expectations 55.0 vs 54.6 prior

This isn’t a great economic indicator as answers are increasingly politicized and the inflation numbers are volatile. There was a time when this was tier-2 economic data but it’s been slowly downgraded. It’s final moment in the sun was in covid when a jump in inflation expectations caused a panicky Fed to tilt towards deeper rate hikes. That jump was later revised away in an embarrassing moment for the Powell Fed.

As for this report, it corresponds with a better mood from consumers. Spending over the holidays was solid, though not spectacular.

This article was written by Adam Button at investinglive.com.

The waiting continues.

The US Supreme Court works in mysterious ways. The announced on Tuesday that this would be a ‘decision day’ but the court always has a large number of decisions to make and they don’t pre-announce which one it will be.

They technically have until June to make the tariff decision but because it was an expedited hearing with important economic effects, it’s expected in January or February. As for the exact date, there is a large amount of work before the Supreme Court in the week beginning January 19, so that’s a good bet.

Until then, we will continue to wait for ‘decision day’ announcements and then prepare accordingly.

For stocks with large tariff exposure, this is a tough trading paradigm because we don’t know what’s coming. For what it’s worth, the administration sounds pretty confident that it can quickly reconstitute tariffs but whether those hold up may depend on what the Court says about these tariffs and the reasoning, particularly if they rule it’s a ‘major question’, which is something that needs to go through Congress.

“Our ‌expectation is that ⁠we’re going to ​win, and if we don’t win,
then we know that we’ve got other tools ​that we could use that get us
to the same place,” Hassett said in an ⁠interview on CNBC earlier today.

Hassett specified that Section 301 would be part of the mix and that Greer is leading it (itself a bit of a clue). They’ve previously said it could also include Section 122 tariffs. See: How the White House will pivot if the Supreme Court strikes down current tariffs

Ultimately, I think this was a good dress rehearsal but if this continues into February, it’s going to get tiresome for markets as it adds unnecessary uncertainty.

The decision that was rendered today was on Bowe vs United States and the court ruled that federal prisoners are not barred from filing “do-over” claims in second or successive postconviction motions and that the Court has the jurisdiction to review such certification decisions.

This article was written by Adam Button at investinglive.com.

Prime Minister Sanae Takaichi may be looking to capitalize on high personal approval ratings and a honeymoon period to consolidate power in the lower house.

A Yomiuri report says she’s mulling dissolving the lower house for a snap election in mid or mid-February. Takaichi became the first woman ever to lead Japan’s dominant ruling party after winning leadership of the party in October and was sworn in as Prime Minister later that month.

However she leads an LDP-Ishin minority after long-time coalition partner Komeito withdrew support due to Takaichi’s hawkish views. Her ability to pass legislation is limited so she may be trying to be the first Japanese woman to win an election as Prime Minister, validating her position and consolidating power.

She is polling well right now so this isn’t a big surprise but she has an ambitious agenda and will need a stronger position in parliament to pass it. If dissolved, all 465 Lower House seats become vacant and a general election must be held within 40 days.

A big factor in the election may be the yen, which struggled badly in the second half of 2025 and is flirting with a 9-month low today.

The USD/JPY chart also flatters the yen’s performance as it hit a record low recently against the euro and the worst levels since the 1990s against the pound.

That weakness helps Japanese export competitiveness but it’s a dangerous game to play with imported inflation. Japanese bond markets are also increasingly vulnerable. Long-term borrowing costs have spiked to the highest in decades.

If Takaichi runs on increasing spending and wins the support to do that, we could see even more selling in Japanese bonds, something that risks a spiral and a crisis that could spread across borders.

Watch Japan very closely this year.

The number
one risk I see in the foreign exchange market in 2026 is Japan. The yen has
been struggling for the past six months and it’s close to a boiling point in
Tokyo. There were some stronger warnings about FX intervention late in
December. Japan is the most-indebted major economy in the world and the
demographics are terrible. The US is leaving a lot of uncertainty around its
alliance with Japan and China is eating its lunch in manufacturing.

There is
something of ‘boy who cried wolf’ situation around Japanese debt as people have
been calling for a crisis for 20 years but Japanese borrowing costs are hitting
30 year highs. These things can escalate quickly and could turn into an
international problem.

This article was written by Adam Button at investinglive.com.

Before we go into the expected scenarios and what you may consider trading, here’s where you can watch it live when it starts!

Supreme Court & Trump Tariffs: Watch Live

Before it starts, here is a glimpse of the wisdom of the crowd and what the supreme court, in its view, will decide.

Event Risk Window: 8:30 AM ET (NFP) and 10:00 AM ET (Supreme Court opinion release)

Markets are heading into a rare convergence of macro, legal, and positioning risk, with traders navigating both the December US non-farm payrolls report and a potentially market-moving Supreme Court decision on Trump-era tariffs.

While payrolls normally dominate a Friday morning, attention today is clearly split. Many desks are already treating the jobs report as a secondary catalyst, with positioning light and volatility suppressed ahead of the 10:00 AM ET Supreme Court window.

Will the court’s (opinion) be supportive of Trump and tarrifs? What prediction markets are signaling

One of the clearest real-time sentiment gauges is the Polymarket contract asking whether the Supreme Court will rule in favor of Trump’s tariffs.

As of this morning:

• Implied probability: ~25% that the Court upholds the tariffs

• Market consensus: ~75% chance the tariffs are struck down or meaningfully limited

• Trend: A sustained decline in odds since November, likely reflecting post-argument legal interpretation and positioning shifts

In short, the “smart money” in prediction markets is leaning heavily toward a negative ruling for the tariffs.

Why the Court’s Rulling on Trump Tarrifs Matters for Today’s Trading

Because expectations are already skewed, the risk is asymmetric.

Scenario 1: Tariffs Are Struck Down (Consensus Outcome)

If the Court rules against the tariffs, markets are likely to interpret this as the removal of a long-standing inflationary and supply-chain risk.

• Equities: Supportive, particularly for consumer discretionary and import-sensitive names

• Broad sentiment: Risk-on, but likely controlled rather than explosive due to expectations already being priced

• US Dollar: Potential downside pressure as tariff-driven inflation risk fades

In this scenario, the jobs report may act only as a secondary volatility layer, unless payrolls significantly surprise.

Scenario 2: Tariffs Are Upheld (Low-Probability Shock)

This is where volatility could accelerate.

Because markets are not positioned for this outcome, a ruling in favor of the tariffs could trigger rapid repricing:

• Equities: Sharp downside as cost pressures and policy uncertainty re-enter forecasts

• Sector rotation: Relative strength in domestic steel and materials, weakness elsewhere

• Dollar: Potential spike as inflation expectations and rate-path uncertainty reprice higher

Why NFP Still Matters, but Less Than Usual

The December payrolls consensus sits near +60K jobs with a 4.5% unemployment rate, and some analysts see upside risk. However, even a surprise print may struggle to dominate flows if traders are already bracing for the legal headline.

As Adam Button noted earlier, markets appear “locked and loaded” for the Supreme Court release, with both US and Canadian jobs data potentially taking a back seat.

Remember, the above are just for you to consider as you do your own research. And watch the price action, be careful of end of the week volatilty as market makers can stop hunt both bulls and bears, in case you’re trading this.

For deeper context on the legal timing and market implications, see our full breakdown here:👉 InvestingLive.com analysis: The Supreme Court scheduled Friday as an opinion day: what’s the trade?https://investinglive.com/news/the-supreme-court-scheduled-friday-as-an-opinion-day-whats-the-trade-20260106/

Bottom Line for Traders

Prediction markets suggest the tariffs are expected to fall. That means calm is priced in, shock is not.

From a decision-support perspective, today is less about prediction and more about reaction discipline. Watch the sequencing, respect volatility, and remember that when probabilities cluster this tightly, the minority outcome carries the most risk.

We will also be watching the Nasdaq order flow and what it can tell us.

This article was written by Itai Levitan at investinglive.com.

Just a post noting this data release.

I’ll be back with detail in a separate post. Link here (added).

China December 2025:

CPI 0.8% y/y, close to a 3-year high

• expected 0.9%, prior 0.7%
• +0.2% m/m vs. expected 0%, prior -0.1%

PPI -1.9% y/y

• expected -2.0%, prior -2.2%
• +0.2% m/m vs. expected +0.1%, prior 0.1%

This article was written by Eamonn Sheridan at investinglive.com.

The Canada December jobs statistics show:

• Employment change: 8.2 K vs -5.0K estimate, +53.6K prior

• Unemployment rate: 6.8% vs 6.6% estimate, 6.5% prior

• Full-time employment change: 50.2K vs -9.4k last month

• Part-time employment change: -42.0K vs 63.0K last momth

• Participation rate: 65.4% vs 65.1% last month

• Avg hourly wages (permanent, YoY): 3.7% vs 4.0% last month

Highlights:

• Employment was essentially flat in December, rising by 8,200 (0.0%), after three strong monthly gains from September through November.

• The employment rate —the percentage of the population aged 15 years and older who are employed—held steady at 60.9%.

• Full-time employment increased by 50,000 (+0.3%), while part-time employment fell by 42,000 (-1.1%), partially reversing gains from October and November.

• Over the past 12 months, part-time employment grew faster (+2.6%) than full-time employment (+0.7%).

• Private sector, public sector, and self-employment levels showed little change in December.

• The unemployment rate rose by 0.3 percentage points to 6.8% in December, partially reversing declines from the prior two months.

• The number of unemployed increased to 1.6 million, up 73,000 (+4.9%) on the month.

• The participation rate increased by 0.3 percentage points to 65.4%, reflecting more people entering or re-entering the labor force.

• On a year-over-year basis, the participation rate was unchanged.

Summary: 2025 labour market trend (Canada)

• The Canadian labour market faced headwinds through most of 2025, with hiring slowing amid economic and trade uncertainty, particularly related to U.S. tariffs.

• From January to August, employment was essentially flat, the employment rate declined, and the unemployment rate rose to a multi-year high of 7.1%, driven mainly by weaker hiring rather than layoffs.

• Job finding rates deteriorated early in the year, while layoff rates remained near historical norms, indicating softer labour demand rather than widespread job losses.

• Job vacancies declined, and employers reported less difficulty filling positions, pointing to a cooling labour market.

• Youth were disproportionately affected, with youth unemployment and student joblessness reaching their highest levels in more than a decade (excluding pandemic years).

• Conditions improved late in the year, with employment rebounding from August to November and the employment rate recovering to 60.9%.

• The unemployment rate fell to 6.5% in November before edging higher to 6.8% in December, reflecting renewed labour force participation rather than renewed job losses.

This article was written by Greg Michalowski at investinglive.com.

• Prior 1.307m
• Building permits 1.412m vs 1.350m expected
• Prior 1.330m

This is still old data as government shutdown in October delayed many key economic reports. The last report was in September where it showed housing starts falling to the lowest level since May 2025.

There’s been persistent housing market weakness due to high mortgage rates and softening labor market. Trump said in a Truth Social post today that he has ordered $200 bn in MBS purchases to lower mortgage rates.

Trump said that large-scale MBS buying would narrow mortgage spreads, push borrowing costs lower, and reduce monthly mortgage payments. He described the move as part of a broader strategy to reverse what he characterised as damage inflicted on housing affordability over the past several years.

This article was written by Giuseppe Dellamotta at investinglive.com.

• Prior was +64K (revised to +56K)
• October was -105K (revised to -173K)
• Unemployment rate 4.4% vs 4.5% expected
• Prior unemployment rate 4.6%
• Unrounded unemployment 4.375% vs 4.564% prior
• Participation rate 62.4% vs 62.5% prior
• U6 underemployment rate 8.4% vs 8.7% prior
• Average hourly earnings +0.3% m/m vs +0.3% expected
• Average hourly earnings +3.8% y/y vs +3.6% expected
• Average weekly hours 34.2 vs 34.3 expected
• Change in private payrolls +37K vs +64K expected
• Change in manufacturing payrolls -8K vs -5K expected
• Government payrolls +27K vs -5K in November

The market was pricing in a 12% chance of a January rate cut before the data and a 40% chance of a cut at the March meeting. For the year, there were 54.7 bps of easing priced in. The US 10-year yield was at 4.187% and USD/JPY was trading at 157.57.

The US dollar is mostly lower on this as it reacts to the headline and the poor revisions. I would argue that the market was priced for an upside surprise given that most of the pre-jobs employment numbers were upbeat. The good news in the report is the fall in the unemployment rate, which — without rounding fell nearly 0.2 pp, though a chunk of that was due to people dropping out of the labor force.

This article was written by Adam Button at investinglive.com.

The U.S. dollar is moving to the upside, with the Dollar Index climbing to its highest level in about a month and notable strength against the JPY (up 0.45%). The greenback is also higher vs the other major currency pairs with USD up 0.11% vs the EUR and 0.19% vs the GBP.

The AUDUSD is trading down -0.33% (higher USD) as it reacts to:

• Weak Trade Data: Australia’s trade surplus narrowed sharply to AUD 2.94 billion in November (well below the AUD 4.9 billion forecast). This was driven by a 2.9% drop in exports.

• China Inflation Miss: China, Australia’s largest trading partner, released December CPI data showing only a 0.8% rise, missing the 0.9% forecast. This suggests weak demand from China, which is always a bearish signal for the Aussie.

• Cooling Inflation: Recent Australian CPI data showed a slowdown to 3.4%. While this is good for consumers, it has led markets to scale back expectations for a February interest rate hike from the RBA, removing a key support for the currency.

Meanwhile, the NZDUSD is lower by -0.45%

The NZD is currently trading near its lowest levels since early December, influenced by:

• Technical Breakdown: The NZD/USD pair recently broke through support levels (around 0.5750) and is currently facing “Strong Sell” technical signals as momentum shifts downward.

• RBNZ Stance: The Reserve Bank of New Zealand (RBNZ) has signaled that its easing cycle likely ended in 2025, but Governor Anna Breman has pushed back against near-term rate hikes. This “on-hold” stance makes the NZD less attractive compared to a rebounding US Dollar.

• Geopolitical Jitters: Heightened tensions in South America and between China and Japan are weighing on the “Kiwi,” which typically suffers when global risk appetite declines.

Treasury yields are edging higher helping to support the USD with the:

• 2 year yield at 3505, up 1.7 basis points.
• 5 year yield 3.7499% +1.4 basis points
• 10 year yield 4.15%, +0.2 basis points
• 30 year yield 4.847%, -1.0 basis points

In commodities,

• Gold is trading up $13.77 or -0.31% that $4464
• Silver is trading up $0.64 or 0.84% at $77.62.
• Oil is trading up $0.51 at $58.29
• Bitcoin is trading down $747 and $90,284

U.S. stock futures are mostly higher early Friday as markets head into a potentially pivotal day, with investors watching two major risk events: a possible Supreme Court ruling on President Trump’s tariffs and the December nonfarm payrolls report. The Supreme Court is scheduled to meet today, fueling speculation that a decision on the legality of several sweeping tariffs could come soon. While the court does not pre-announce rulings—and a decision could still be weeks or months away—the issue remains a meaningful overhang for markets given the potential implications for U.S. companies, global trade flows, and government tariff revenue.

Attention is also firmly on the December jobs report due at 8:30 a.m. ET. Labor market data will be closely scrutinized for signs of cooling that could support the case for further interest-rate cuts later this year. Economists surveyed by the Wall Street Journal are looking for job growth of roughly 73,000 in December, with the unemployment rate expected to tick lower to 4.5%. Any meaningful deviation from expectations could spark volatility across rates, equities, and FX.

Looking at the major indices, the futures are implying

• Dow industrial average rose 2.11 points
• S&P index is up 7.04 point
• NASDAQ index is up 40 points

This article was written by Greg Michalowski at investinglive.com.

It’s the first ‘big day’ of the year in a year that feels much longer than 9-days already.

The non-farm payrolls report is due at the bottom of the hour along with the Canadian jobs report. Before the report is released, read

• Preview: December non-farm payrolls by the numbers. Finally past the shutdown fog

The consensus is 60K jobs with a 4.5% unemployment rate. The jobs report is always a roll of the dice but the preview outlines why I think risks are skewed towards a higher number.

The Canadian number is always volatile and the prior was +53.6K so there’s likely to be a pullback. The consensus is -5K.

Both of those events may only see a limited market reaction as traders hold their breath for 10 am ET, when the Supreme Court might release its tariff decision.

See:

• The Supreme Court scheduled Friday as an ‘opinion day’. What’s the trade
• How the White House will pivot if the Supreme Court strikes down current tariffs

This article was written by Adam Button at investinglive.com.

Headlines:

• What is the distribution of forecasts for the US NFP?
• Who’s got the most bullish NFP forecast this time around?
• Non-farm payrolls seen accelerating as unemployment rate holds steady – JP Morgan
• US payrolls to stay supported but unemployment rate seen increasing further – Citi
• Trump: I have cancelled previously expected second wave of attacks on Venezuela
• Oklo jumps 20% in pre-market as Meta unveils nuclear deals to power data centers
• What are the interest rate expectations for the major central banks at the start of 2026?
• French stocks eye fresh record highs to start the day in Europe
• Here’s why the rest of the world has to keep an eye on China’s deflation story
• Germany November industrial production +0.8% vs -0.4% m/m expected
• Swiss unemployment rate keeps steady in December but the trend remains clear

Markets:

• USD leads, JPY lags on the day
• European equities higher; S&P 500 futures up 0.1%
• US 10-year yields up 0.6 bps to 4.189%
• Gold down 0.1% to $4,470.54
• WTI crude oil up 0.8% to $58.25
• Bitcoin down 1.1% to $90,168

It’s all about the US labour market report as we look to wrap up the week. And that’s the main event that market players were gearing towards in European morning trade today.

There wasn’t too much happening during the session, coming off Asia trading where we saw China miraculously staving off deflation – at least by the number – in 2025. The dollar firmed across the board in European trading but the gains are relatively measured.

USD/JPY is the notable gainer, moving up by 0.5% to 157.66, while EUR/USD is just down slightly by 0.2% to 1.1640 on the day. Besides that, USD/CAD is up 0.1% to 1.3875 while AUD/USD is down 0.3% to 0.6677 currently. All in all, the moves are light with no real convictions just yet before we get to the non-farm payrolls.

In the equities space, risk sentiment looks to be steadier in Europe but more so on edge in general. Major indices in Europe continue to scale up with the DAX and CAC 40 pressing fresh record highs and looking to end the week with a flourish. Meanwhile, US futures are more tepid with S&P 500 futures just up 0.1% as AI valuation concerns continue to linger after yesterday’s action.

Besides that, there wasn’t much else taking place with precious metals holding relatively steadier compared to the volatile price action we’ve been seeing to start the new year. Gold is just marginally lower to $4,470 while silver is up “only” by 1% to $77.92 in a slight rebound after an early drag that carried over from yesterday.

Well, it’s all on the US jobs report now as well as the Supreme Court rulings for today, in which the court may release opinions in argued cases during a scheduled sitting at 1500 GMT. On the latter though, do keep in mind that the court does not announce ahead of time which rulings it intends to issue. So, whether or not we’ll see Trump’s tariffs get mentioned remain to be seen. But in any case, just keep a look out on that.

This article was written by Justin Low at investinglive.com.

For InvestingLive.com Traders and Investors
Date: January 9, 2026
Session: Pre-Market / Early US Session
Asset: Nasdaq-100 Futures (NQ)

Nasdaq Futures Today: From Apparent Weakness to Structural Strength

Earlier in the session, Nasdaq futures appeared vulnerable. Price briefly pushed below recent value, creating the impression that a bearish breakdown might be developing. That initial read, however, proved misleading.

While the headline chart now shows a straightforward rally, the more important story sits beneath the surface. Order flow revealed a sequence of events that pointed to institutional defense, ineffective selling, and a gradual transition from rotational trade into a developing trend.

This shift did not happen suddenly. It unfolded step by step, and understanding that process matters for positioning and risk management.

1. The Turning Point in Nasdaq So Far Today: A Failed Test Near 25,650

The most important moment of the session came during the dip below yesterday’s value area.

Price moved under the 25,660 zone and appeared set to test the well-advertised liquidity level near 25,650. That test never happened.

Instead, selling pressure was absorbed above the level. Buyers stepped in early, preventing price from completing the expected downside auction.

In order flow terms, this is a meaningful signal. When price approaches an obvious downside target and fails to trade there, it often reflects impatient demand. Strong participants were not waiting for cheaper prices. They were willing to transact earlier than expected.

That behavior left late sellers exposed and set the stage for a reversal in control.

2. Nasdaq Bulls Reclaiming Control: VWAP and Value Area High

Following the failed downside attempt, market behavior shifted decisively.

The move back through VWAP was not a slow grind. It was supported by expanding volume, consistent with short covering layered on top of fresh directional buying.

The more important confirmation came with the reclaim of 25,698, yesterday’s Value Area High and a key reference throughout the session.

From an order flow perspective, this marked a clear change in narrative.

• Prior resistance transitioned into support

• Selling attempts above that level lost effectiveness

• Value stopped rotating lower and began migrating higher

At that point, the market moved away from balance and into continuation.

3. The Current Phase in Nasdaq Futures: Controlled, Stair-Step Continuation

Before we dive into what is happening on Nasdaq futures today, let’s look at the 4 hr chart within the last weeks, for an overview of where price is at.

After the initial squeeze higher, Nasdaq futures transitioned into a healthier structure.

Rather than accelerating vertically, price has been advancing in a measured, stair-step fashion. On lower timeframes, pullbacks have been shallow and quickly absorbed. Sellers remain active, but their participation has not resulted in sustained downside progress.

This type of ineffective selling is commonly seen in durable trends. Importantly, value has continued to build higher alongside price, suggesting acceptance of higher prices rather than rejection.

This is not emotional momentum. It is controlled acceptance.

Key Levels and Forward Scenarios for Nasdaq Futures Today

Nasdaq futures are now pressing through the 25,750 area and approaching a meaningful cluster of overhead references.

Primary Upside Magnet:
25,780 to 25,790
This zone includes a prior Point of Control and a key structural reference from earlier in the week.

What matters from here is behavior, not direction alone. Strong trends often pause or consolidate near composite levels. The focus shifts to whether selling pressure becomes effective or continues to be absorbed.

Bullish structure remains intact while:

• Price holds above the prior breakout zone near 25,720

• Pullbacks remain shallow and value continues to migrate higher

A sustained acceptance back below those levels would suggest a return to balance. At this stage, the evidence does not support that outcome.

Nasdaq Trader Takeaway

Today’s Nasdaq rally was not random and not purely technical. It was built on a failed downside auction, early buyer intervention, and a clean reclaim of key value levels.

As long as selling pressure continues to be absorbed and price holds above reclaimed value, the directional bias remains bullish. That said, the easiest portion of the move has likely passed. New positioning near resistance requires patience, selectivity, and confirmation rather than urgency.

This analysis is based on proprietary order flow and orderFow Intel and is intended as decision support, not financial advice. Trade at your own risk.

This article was written by Itai Levitan at investinglive.com.