The first trading day for the year was very quiet, as expected, with some markets closed for the holiday season. PMI data was in line with expectations in Asia, Europe and the USA. The Manufacturing PMI continues to highlight the growing deindustrialisation of the German economy, the engine room of Europe. US markets were calm, despite rumours swirling about precious metals and the precarious positions of some major US Banks. Bond yields were firmer in both Europe and the USA, hinting at some problems in 2026. The EUR remained suppressed, trading 1.1720, while the GBP trades around 1.3450.Commodity currencies were stable, with the AUD trading just below 0.6700, while the NZD bounced off 0.5750. The coming week will see the return of a full trading week and impacted by an avalanche of economic data releases.
