Articles

New Zealand’s services sector has emerged from a prolonged slump, adding to signs that domestic growth momentum is rebuilding into 2026.

Summary:

• Services sector expanded for the first time since February 2024

• PSI rose to 51.5, a 4.3-point lift from November

• New orders and activity drove the improvement

• Employment remained in mild contraction

• Combined with PMI, data point to firmer late-2025 growth

New Zealand’s services sector moved back into expansion territory in December for the first time since early 2024, offering a tentative but meaningful signal that domestic activity is stabilising. The latest BNZ – BusinessNZ Performance of Services Index (PSI) rose to 51.5 in December, up sharply from November and above the 50.0 threshold that separates contraction from expansion.

While the headline improvement is encouraging, the index remains below its long-run average of 52.8, underscoring that momentum is still modest. Even so, December’s reading marked the end of the longest sustained downturn in the services sector since the survey began, with contraction persisting for 21 consecutive months.

Details within the report point to a broadening, albeit uneven, recovery. Three of the five sub-indices moved into expansion. New Orders and Business Activity led the improvement, climbing to 52.5 after four months of contraction, while Activity/Sales followed closely at 52.2. Stocks and Inventories also edged higher into expansion at 51.9, suggesting firms are beginning to prepare for improved demand conditions.

Labour market dynamics, however, remain a clear constraint. The Employment sub-index stayed in contraction at 49.6, highlighting ongoing caution among firms when it comes to hiring, despite improved activity indicators.

Sentiment measures continue to reflect lingering challenges. Just over half of respondents reported negative conditions, though this proportion eased compared with previous months. Firms cited weak demand, subdued confidence, and elevated living and operating costs as persistent headwinds, alongside seasonal disruptions linked to Christmas shutdowns.

More positively, businesses also pointed to seasonal summer demand, improving consumer confidence as interest rates fall, stronger tourism flows, and new contracts as emerging supports. BNZ economists noted that when the PSI rebound is combined with the recent surge in manufacturing activity, the data signal firmer GDP growth into the end of 2025 and improving momentum heading into the new year.

The rebound in services activity, alongside a strong manufacturing PMI, supports a more constructive near-term growth outlook for New Zealand and reduces downside GDP risks into early 2026.

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

• Boris Vujcic selected as ECB Vice President
• Canada December CPI 2.4% y/y vs 2.2% expected
• Deutsche Bank sees US dollar risks around the Greenland noise

Markets:

• Gold up $75 to $4669
• Silver up 5% to $94.68
• Bitcoin down 2.3%
• S&P 500 futures down 0.9%
• NZD leads, JPY lags

It was a holiday in the USA and that dampened trading and news to start the week. Eyes remained on the fallout from Trump’s treat to put tariffs on several EU countries if the US isn’t given Greenland. The escalation had stock futures worried but after a drop to -1.2% early in US trading, there was some modest recovery.

There was less of an upturn in the US dollar as the market grows increasingly concerned about the large stockpile of USD holdings in Europe and the potential for a real schism. Some once-unthinkingable outcomes are suddenly within the range of possibilities but we will keep watching for developments, particularly from Congress in the hours ahead.

The lone notable news of the day was Canadian CPI. The headline ran hot while the core numbers were cooler. Within the report there were signs of strengthening in airfares and restaurant prices, both good signs for the Canadian consumer but despite that, the loonie still underperformed its commodity peers. No doubt, the US-Canada trade angst is a part of that. USD/CAD did fall after the data though, hitting a six-day low, something I spoke with Reuters about.

The geopolitical drama is undoubtedly leading to the bid in precious metals with gold touching a fresh record today and silver nearing $95/oz. Bitcoin wasn’t able to join in the trade as risk aversion weighed.

Eyes in the session ahead will be on Japan as the rumored election was called and there is already talk of more spending. Japanese yields continue to rise and the yen couldn’t benefit from broader USD weakness today despite the wave of risk aversion.

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

It’s been a rough start to the year for natural gas as prices have fallen back to October levels but help is on the way with a cold forecast for the eastern USA.

That has February natural gas up 15% today, through only to a one-week high. The strong start to the gas withdrawal season has been curbed by higher production, leading to prices fall below $4 for February gas and below $3 from March through May.

In the next three years there is slate to be a large jump in demand due to US LNG facilities coming online but there are fresh questions about whether that will materially tighten the market or be met with more-intense pumping.

The good news for gas is that low oil prices make some oil-weighted wells less economical and that could dampen supply and drilling budgets for 2026, particularly with gas prices depressed once again.

Today is so-called ‘blue Monday’, which is fake ‘day’ but is supposed to be most-depressing day of the year. It’s certainly a cold one where I am in Canada and those cold long-range forecasts don’t help.

In the bigger picture, Europe is suddenly worried about the supply of natural gas from the United States being weaponized in the same way that Russia used its gas exports. That event caused a near-existential crisis in Europe and this one would be doubly so.

Eyes will be on Davos this week as Trump travels to Europe and will meet with European counterparts. The stakes certainly got raised and broader markets are concerned. It’s a US holiday but S&P 500 futures are down 0.9% to start the week and gold hit another fresh record high. The US dollar is under pressure as the market grows concerned about a fresh EU-US trade war.

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

• Prior was 2.2%
• Inflation m/m -0.2% vs +0.1% prior
• BOC core 2.8% vs 2.9% prior
• BOC core m/m -0.4% vs -0.1% prior
• Core CPI % m/m +0.2% vs +0.2% prior
• CPI median +2.5% vs +2.8% expected
• CPI trim +2.7% vs +2.8% expected
• CPI common +2.8% vs 2.8% prior
• Ex gasoline +3.0% vs +2.6% prior

The market has been pricing in a chance of a rate hike this year and those odds just ticked a bit higher after this inflation report. Notably, there is somthing of a technical change with this report as the HST (Canada’s VAT) tax began in Dec 14, 2024 and that fell out of the calculation.

Year over year, higher restaurant prices were the largest contributor to faster growth in the all-items CPI, which echos signs of a strong consumer. Grocery store prices also rose 5.0% y/y.

In November, headline inflation held steady with a modest 0.1% monthly rise, while core inflation metrics signaled cooling. Both CPI median and trim decelerated to 2.8%, coming in slightly below expectations. This downward pressure was primarily driven by lower prices for travel and accommodation, alongside slower growth in rent costs, providing generally positive data for the Bank of Canada.

However, these service-sector declines were offset by rising goods prices, most notably at the grocery store. Food inflation accelerated to 4.7% year-over-year—the steepest rise since late 2023—fueled by sharp spikes in staples like frozen beef (+17.7%) and coffee (+27.8%).

Canadian inflation has followed a dramatic volatility curve since 2021. After surging due to post-pandemic supply shocks, headline CPI peaked at a generational high of 8.1% in June 2022. Aggressive interest rate hikes successfully forced a broad deceleration throughout 2023 and 2024, bringing overall inflation back near the 2% target by 2025.

However, the “last mile” has proven difficult; while headline numbers have stabilized, essential costs like groceries and shelter remain stubbornly elevated entering 2026.

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

Headlines:

• Silver jumps to a new all-time high as Trump threatens tariffs over Greenland
• Nasdaq futures extend losses as Trump declares trade war over Greenland. What’s next?
• Another start to the week, another one with Trump making the headlines
• Trump and TACO: Will it be different this time?
• One last chance to preserve the old world order?
• European officials continue to hit back at Trump over Greenland tariffs threat
• EU says no planned meeting between von der Leyen and Trump in Davos for now
• Japan prime minister Takaichi makes announcement to call for snap election
• Japan prime minister Takaichi says ready to take necessary action on speculative FX moves

Markets:

• CHF leads, USD lags on the day
• European equities lower; S&P 500 futures down 1.0%
• Gold up 1.6% to $4,670.12
• WTI crude oil down 0.7% to $59.00
• Bitcoin down 2.5% to $92,989

Once again, it’s another start to the week with Trump making all the headlines. This time around, he delivered a tariffs threat to European countries “meddling” with Greenland affairs as he steps up geopolitical tensions in the region. All this of course before he travels to Davos for the World Economic Forum later this week.

Trump threatened 10% tariffs on all goods starting 1 February, with the potential to escalate that to 25% come 1 June after.

And that’s keeping markets on the defensive with the risk mood looking sour to start the new week. US markets might be closed but equity futures are battered with S&P 500 futures down 1%. In Europe, major indices in the region are also bleeding by over 1% as geopolitical risks now transfer over to economic risks.

In the major currencies space, the dollar is lower across the board as the narrative here just adds to the debasement trade. EUR/USD is up 0.3% to 1.1626 with USD/CHF down 0.6% to 0.7983 with the Swiss franc the most favoured amid the risk-off flows.

USD/JPY had some back and forth but is sitting little changed near 158.00 on the day. That as Japan prime minister Takaichi confirms a snap election for 8 February in order to try and consolidate power after having began her term in October last year.

As traders stick with the currency debasement trade, the big winners are once again precious metals. Gold and silver and rallying strongly after a gap higher with the latter pushing gains of over 3% on the day above $93. The former is also posting solid gains of just under 2% around $4,670 as it remains the preferred option for traders and investors to diversify away from fiat currencies.

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

The post Ex-Dividend 19/01/2026 first appeared on IC Markets | Official Blog.

The post Ex-Dividend 20/01/2026 first appeared on IC Markets | Official Blog.

As a reminder, the World Economic Forum (WEF) is taking place in Davos this week. The event starts today until Friday but most of what we’ll be seeing on the agenda and on the sidelines are likely to take place from tomorrow onwards. You can check out the highlights of the agenda from earlier here: One last chance to preserve the old world order?

With global leaders set to get together, it’s going to be a bit of an awkward one now after Trump just threatened tariffs against European countries over the Greenland situation. In his words, the tariffs will be on “any and all goods” unless “a deal is reached for the complete and total purchase of Greenland”. 🤪

It will be a 10% levy starting from 1 February with it potentially jumping to 25% come 1 June after.

For now, the EU is still very much planning its retaliatory actions. And von der Leyen has to bring something to the table in any discussions with Trump on the matter. As things stand, Trump wants to play things out such as that he holds all the cards. However, we all know that this is all part of his negotiating tactic. Go big in the first ask and then water things down after.

That being said, the whole matter of Greenland might be a different situation than what we’ve seen before. So, we will have to see how serious this really is as compared to previous TACO episodes. Venezuela now serves as a precedent that anything goes.

The EU is reaffirming that there is no planned meeting yet between von der Leyen and Trump but that “engagement with the US is still continuing on all levels”. Adding that intensive consultations are now taking place among member states on a possible response to the US’ tariffs threat.

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

• Prior +2.1%
• Core CPI +2.3% vs +2.3% y/y prelim
• Prior +2.4%

The key statistic here is core annual inflation, which continues to hold above the 2% threshold for now. As such, that will keep the ECB sidelined in waiting on their next potential policy move. As mentioned before, the main sticking point at this stage is Germany mostly and that will continue to keep policymakers on edge as we get into the new year.

Looking at the breakdown, food price inflation remains elevated as well at around 2.5% with services inflation clearly still the standout at 3.4% in December. In looking at the contributions to the headline inflation number:

• Food, alcohol, & tobacco +0.49%
• Energy -0.18%
• Non-energy industrial goods +0.09%
• Services +1.54%

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

• Will not comment on forex levels
• But will take appropriate action if needed
• Still examining source of revenues to fund consumption tax cut
• Have to be mindful of movements in forex, interest rates in considering revenues to fund consumption tax cut
• Will keep an eye out on speculative forex moves, ready to take necessary action

Earlier, she also commented that she will “ensure sustainability of Japan’s fiscal state by lowering the debt-to-GDP ratio”. That will be tough considering how expansive her fiscal policies are and that is already the main reason why the Japanese yen has been battered for months on end since October.

The Takaichi trade summarised:

As she now calls for a snap election, will it be a case of buy the rumour, sell the fact as outlined here?

It will be interesting to see if this really backfires on Takaichi. But if that were to happen, expect yen shorts to be covered in a massive manner.

For now though, traders remain confident that things will not change in terms of policy heading for Japan. USD/JPY is down 0.1% to 157.93 today and continues to keep around the 158.00 level after a brief dip to 157.42 earlier in the day amid some safety flows.

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

IC Markets Global – Asia Fundamental Forecast | 19 January 2026

What happened in the U.S. session?

President Trump’s tariff threats on Europe over Greenland dominated overnight headlines, absent major U.S. data, fostering caution in futures trading while propelling gold higher; European stocks and U.S. indices faced the sharpest impacts, with safe-havens like gold rallying amid trade war fears.

What does it mean for the Asia Session?

Asian markets open Monday amid optimism from U.S.-Taiwan chip investments and metals rallies, but focus sharpens on China’s Loan Prime Rate for policy clues and UK jobs data for GBP effects, with oil and gold volatility adding layers to trading decisions. Position cautiously for data-driven moves.

The Dollar Index (DXY)

Key news events today

No major news event

What can we expect from DXY today?

The US dollar showed resilience, with the DXY index holding steady around 99.39 amid thin trading due to Martin Luther King Jr. Day closures in US markets. Strong recent economic data, including lower-than-expected jobless claims and positive manufacturing surveys, reduced expectations for near-term Federal Reserve rate cuts, supporting the currency’s third weekly gain

Central Bank Notes:

• The Federal Open Market Committee (FOMC) is widely expected to lower the federal funds rate target range by 25 basis points to 3.50%–3.75% at its December 9–10, 2025, meeting, marking the third consecutive cut after the October reduction to 3.75%–4.00%
• The Committee continues to pursue maximum employment and 2% inflation goals, with the labor market showing further softening as the unemployment rate rose to 4.4% in September 2025 amid modest job gains.
• Officials note persistent downside risks to growth alongside resilient activity, with inflation easing to 3.0% year-over-year CPI in September but remaining elevated due to tariff effects; core PCE stands at around 2.8% as of October.
• Economic activity grew at a 3.8% annualized pace in Q2 2025 per revised estimates, though Q3 and Q4 face headwinds from trade tensions, fiscal restraint, and data disruptions like the government shutdown.
• September’s Summary of Economic Projections forecasts 2025 unemployment at a median of 4.5%, with PCE inflation near 3.0% and core PCE at 3.1%, signaling a gradual disinflation path. Updates expected on December 10 may adjust for higher unemployment and lower growth.
• The Committee maintained its data-dependent approach, noting a softening labor market and inflation above the 2% target, while deciding to lower the federal funds rate target range by 25 basis points to 3.50%-3.75%. Dissent persisted, with multiple members opposing the cut or advocating for a hold, reflecting divisions similar to recent meetings.​
• The FOMC confirmed the conclusion of its quantitative tightening program effective December 1, 2025, with Treasury rolloff caps at $5 billion per month and agency MBS caps at $35 billion per month to ensure ample reserves and market stability.
• The next meeting is scheduled for 27 to 28 January 2026.

Next 24 Hours Bias

Medium Bearish 

Gold (XAU)

Key news events today

No major news event

What can we expect from Gold today?

Gold (XAU/USD) ended last week near $4,618 in a bullish channel but eyes consolidation between $4,550-$4,650 this week (Jan 19-23), with potential rises to $5,235 if supports hold, or declines below $3,785 on breakdowns; key watch is $4,586 for bullish bias.

Next 24 Hours Bias
Strong Bullish

The Australian Dollar (AUD)

Key news events today

No major news event

What can we expect from AUD today?

The Australian Dollar trades steadily around 0.6700 versus the USD, rebounding from recent corrections driven by softer domestic data like falling consumer confidence and job ads, offset by USD struggles amid US Fed investigations and political risks.

​
Central Bank Notes:

• The Reserve Bank of Australia held its cash rate steady at 3.60% at the November 2025 policy meeting, adopting a cautious tone amid a surprise uptick in inflation data for the September quarter. This marks the fourth consecutive pause since the 25 basis point cut in August. The Board attributed some of the inflation rise to temporary factors like higher petrol prices and council rates, but noted signs of more persistent pressures from consumer demand.​
• Policymakers emphasized vigilance on inflation, with trimmed mean inflation expected to remain elevated in the near term before nearing the 2–3% target midpoint by mid-2027. Recent data showed underlying inflation staying above target until at least the second half of 2026, prompting upward revisions to forecasts. Capacity pressures are seen as slightly more pronounced than previously assessed, delaying any easing.
• Headline CPI for the September quarter exceeded expectations, driven partly by temporary items, while underlying measures signal ongoing stickiness. The shift to monthly CPI reporting, with the first full edition in November 2025, will enhance real-time inflation monitoring. Housing and services remain resilient contributors to price pressures.
• Domestic demand shows firmness in services alongside below-trend growth elsewhere, with capacity pressures not expected to ease significantly. The labor market is gradually softening, with unemployment projected to stabilize around 4.4%, though wage growth and productivity dynamics keep unit labor costs a concern. Household spending faces headwinds from high borrowing costs.​
• Global risks include geopolitical tensions and commodity volatility, set against modestly revised-up world growth outlooks. The Board describes its policy as mildly restrictive and data-dependent, balancing inflation control with employment goals. No rate hike was considered despite the inflation surprise.
• Monetary policy remains mildly restrictive to address lingering price stability risks amid household and global vulnerabilities. Communications reaffirm the dual mandate of 2–3% inflation and full employment, with readiness to adjust based on incoming data.​
• Market expectations point to the cash rate holding through early 2026, with a possible modest cut to 3.3% mid-year if inflation eases as forecast. The new monthly CPI data will be key for timely insights.
• Monetary policy remains mildly restrictive, balancing progress on price stability against vulnerabilities in household demand and global outlook. Board communications reaffirm a dual mandate: price stability and full employment, while underscoring readiness to respond should risks materialize sharply.
• Analysts generally expect the cash rate to remain at current levels through early 2026, with only modest cuts possible later in the year if inflation moderates. The new monthly CPI release (first full edition Nov 2025) will be watched closely for timely signals on price trends.
• The next meeting is on 2 to 3 February 2026.

Next 24 Hours Bias

Medium Bullish

The Kiwi Dollar (NZD)

Key news events today

No major news event

What can we expect from NZD today?

The New Zealand Dollar (NZD) showed modest fluctuations around the 0.5740-0.5780 range against the USD in recent trading sessions leading into January 19, 2026, amid mixed economic signals from New Zealand and broader USD pressures. Positive domestic data, including strong December manufacturing PMI growth for the sixth straight month and rising business confidence, supported a weekly gain toward 0.5750.

Central Bank Notes:

• The Monetary Policy Committee (MPC) left the Official Cash Rate (OCR) unchanged at 2.25% at its 26 November 2025 meeting, following the widely anticipated 25-basis-point reduction from 2.50%, and signaled that policy is now firmly in stimulatory territory while keeping the option of further easing on the table if needed.
• The decision was again reached by consensus, with members judging that the cumulative 325 basis points of easing over the past year warranted a period of assessment, even as several emphasized a willingness to cut further should incoming data point to a more protracted downturn or renewed disinflationary pressures.
• Headline consumer price inflation is projected to hover near 3% in late 2025 before gradually easing toward the 2% midpoint of the 1–3% target band through 2026, supported by contained inflation expectations around 2.3% over the two-year horizon and an expected pickup in spare capacity.
• The MPC noted that domestic demand remains subdued but shows tentative signs of stabilisation, with softer household spending and construction only partially offset by improving services activity; nevertheless, policymakers still expect services inflation to ease as wage growth moderates and the labour market loosens further over the coming year.
• Financial conditions continue to ease as wholesale and retail borrowing rates reprice to the lower OCR, contributing to gradually rising mortgage approvals and improving housing-related sentiment, although broader business credit growth remains patchy and sensitive to uncertainty about the durability of the recovery.
• Recent data confirm that GDP momentum is weak but not deteriorating as sharply as earlier in 2025, with high-frequency indicators pointing to a shallow recovery from a low base and ongoing headwinds from elevated living costs and fragile confidence weighing on discretionary consumption and investment.
• The MPC reiterated that external risks remain skewed to the downside, particularly from softer Chinese demand and uncertainty around United States trade policy, but noted that a lower New Zealand dollar continues to provide some offset via improved export competitiveness and support for tradables inflation.
• Looking ahead to early 2026, the Committee maintained a mild easing bias, indicating that a further cut toward 2.00–2.10% cannot be ruled out if activity fails to gain traction or if inflation undershoots projections, but current forecasts envisage the OCR remaining near 2.25% for an extended period, provided inflation converges toward target and the recovery proceeds broadly as expected.
• The next meeting is on 18 February 2026.

Next 24 Hours Bias

Medium Bearish

The Japanese Yen (JPY)

Key news events today

No major news event

What can we expect from JPY today?

The Japanese Yen faced continued pressure on Monday, trading around the USD/JPY level of approximately 158 amid heightened volatility driven by Bank of Japan (BoJ) policy expectations and intervention risks. Verbal warnings from Japan’s Finance Minister Satsuki Katayama underscored concerns over excessive yen weakness

Central Bank Notes:

• The Policy Board of the Bank of Japan will meet on 18–19 December with markets almost fully pricing a 25-basis-point hike, which would raise the short-term policy rate from 0.50% to around 0.75%, as the bank moves further away from its ultra-loose stance while stressing that any tightening will remain gradual and data-dependent.
• The BOJ is expected to continue guiding the uncollateralized overnight call rate in a narrow band around the new policy rate, near 0.75%, while signaling that the pace and timing of any additional hikes will depend on how past increases affect bank lending, corporate financing conditions, and overall economic activity.
• The quarterly path of JGB purchases remains on a pre-announced, gradual taper: outright purchases are being reduced by about ¥400 billion per quarter through March 2026, then by roughly ¥200 billion per quarter from April to June 2026, with the bank still aiming for JGB purchases to settle near ¥2 trillion in Q1 2027 and retaining flexibility to adjust the pace if market functioning or yield volatility deteriorate.
• Japan’s economy has softened in the near term, with Q3 2025 GDP contracting at an annualized rate of approximately 2.3%, as weaker residential investment and external demand weighed on activity. Meanwhile, business sentiment in manufacturing has recently improved to a roughly four-year high.
• Core consumer inflation (excluding fresh food) accelerated to around 3.0% year-on-year in October, up from 2.9% in September and remaining above the BOJ’s 2% target, while the “core-core” measure excluding both fresh food and energy rose to about 3.1%, underscoring persistent underlying price pressures.
• In the very near term, some input-cost pressures are easing as earlier import price surges fade, but services inflation linked to labor shortages, along with steady wage gains, continues to support broader price momentum; firms’ and households’ medium-term inflation expectations remain anchored slightly above 2%, keeping short-term inflation risks tilted to the upside.
• For the coming quarters, the BOJ assesses that real growth will likely run below potential as the economy digests tighter financial conditions and past yen depreciation. However, accommodative real rates, positive real wage growth, and improving corporate sentiment are expected to help sustain a modest recovery in private consumption and business investment.
• Over the medium term, as overseas demand stabilizes and domestic labor markets remain tight, the BOJ expects wage settlements and inflation expectations to keep core inflation on a gradual upward trajectory around or slightly above 2%, providing room for further cautious rate normalization as long as financial conditions remain supportive and the recovery is not derailed.
• The next meeting is scheduled for 22 to 23 January 2026.

Next 24 Hours Bias

Medium Bearish

Oil

Key news events today

No major news event

What can we expect from Oil today?

Oil markets show continued volatility driven by geopolitical tensions in Iran, ongoing protests since late December 2025, and US President Donald Trump’s recent announcement of 25% tariffs on goods from countries trading with Iran, which briefly pushed Brent crude above $66 per barrel before a pullback.

Next 24 Hours Bias
Medium Bearish

The post IC Markets Global – Asia Fundamental Forecast | 19 January 2026 first appeared on IC Markets | Official Blog.

It looks like it could be a very busy week ahead for traders, with plenty of geopolitical updates likely, as well as key data releases, central bank updates, and earnings reports.
Traders are expecting to see some moves on the Monday open after President Trump threatened several countries, including France, the UK, and Sweden, with tariffs of up to 25% if they go ahead with military exercises in Greenland.

Here is our usual day-by-day breakdown of the major risk events this week:

It is a quiet calendar start to the week on Monday, with little on the schedule for the first two sessions of the day. US markets are closed for Martin Luther King Jr Day; however, there will be a focus on Canadian markets on the North American open when key CPI data is released, as well as the Bank of Canada Business Outlook Survey.

It is a slightly busier day on Tuesday. The initial focus in the Asian session will be on Chinese markets, with key Loan Prime Rate updates due midway through the session. UK markets will feature early in the European session, with employment data due out before Bank of England Governor Andrew Bailey testifies before the Treasury Select Committee. We also hear from SNB Chairman Martin Schlegel and Buba President Joachim Nagel when they speak from the World Economic Forum in Davos.

It is a quiet start again to the day in Asia; however, UK markets again feature in the European session, with CPI data due out. The focus swings to Davos again, where we are scheduled to hear from ECB President Christine Lagarde and US President Donald Trump.

Australian markets will be the early focus for Asia-based traders on Thursday, with employment data due out during the Sydney morning. There is little on the agenda in the London session; however, the New York day will see two key US data updates, with the Core PCE Price Index data due out alongside the latest GDP update.

The Asian session should prove to be busy on Friday, with New Zealand CPI data due out early in the day before focus moves north to Japan for the latest rate decision from the Bank of Japan. There is a raft of flash Manufacturing and Services PMI data due out in the London session, while the New York day sees Canadian retail sales numbers, the US PMI data, and the revised University of Michigan Consumer Sentiment update.

The post The Week Ahead – Week Commencing 19th January 2026 first appeared on IC Markets | Official Blog.