Market Information

Gold (XAU/USD) climbs to yet another record high on Wednesday as risk sentiment deteriorates across global markets, driving investors toward safe-haven assets amid rising geopolitical and economic uncertainty.

The British Pound (GBP) edges lower against the Canadian Dollar (CAD) on Wednesday, as the latest UK inflation data fails to derail market expectations for a gradual easing path from the Bank of England (BoE). At the time of writing, GBP/CAD trades around 1.8540, down nearly 0.22% on the day.

US President Donald Trump delivers a keynote speech at the World Economic Forum (WEF) held in Davos.

A Reuters poll published on Wednesday showed unanimous expectations that the Federal Reserve (Fed) will keep its policy rate unchanged at its January meeting.

Since both the New Zealand Dollar (NZD) and the Australian Dollar (AUD) have links to commodities, historically they have been viewed as ‘risky’ currencies which tend to rally when growth prospects are strong and vice-versa, Rabobank's FX analyst Jane Foley reports.

Gold (XAU/USD) remains unstoppable, underpinned by a sour market sentiment on the back of escalating tensions between the US and the EU and a broader de-dollarisation process.

EUR/USD slipped closer to 1.1700 on Monday after peaking near 1.1768, as ECB President Christine Lagarde emphasized stable monetary policy and downplayed the impact of US tariff threats, BBH FX analysts report.

US Dollar (USD) could edge lower; any decline is likely limited to a test of 6.9470. In the longer run, USD is under mild downward pressure and could edge lower to 6.9400, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

Pound Sterling (USD) is on the defensive as UK December CPI shows mixed signals, with core inflation steady and services inflation slightly below expectations, BBH FX analysts report.

USD is likely to trade in a range between 157.60 and 158.60. In the longer run, USD appears to have entered a consolidation phase between 157.10 and 159.10, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

United States (US) Commerce Secretary Howard Lutnick said during European trading hours on Wednesday that the trade deal between the European Union and Washington is long-lasting.

Markets steadied following yesterday’s shake-out. Japanese government bonds rebounded, dragging other sovereigns up, while the slide in stocks and the dollar paused.

The Euro pulled back against the British Pound following strong UK CPI figures earlier on Wednesday, to find buyers ahead of the 0.8700 psychological level, and bounce up to explore fresh three-week highs, above 0.8730 at the time of writing

New Zealand Dollar (NZD) is likely to trade in a range between 0.5790 and 0.5850. In the longer run, further NZD strength is not ruled out, but it must first surpass 0.5855 before a move to 0.5885 can be expected, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

Swiss National Bank (SNB) Chairman Martin Schlegel said during European trading hours on Wednesday that there is a high possibility of “negative inflation prints this year”, and, however, a few months of negative inflation “wouldn't be a problem”.

The dollar sell-off reflected spillovers from Japanese bond volatility and renewed sensitivity to fiscal risks, though a rebound in long-dated JGBs has eased pressure. -With Trump meeting EU leaders in Davos and signalling willingness to compromise, geopolitical de-escalation could lend the dollar m

Australia Dollar (AUD) could trade sideways between 0.6700 and 0.6745. In the longer run, there is a chance for AUD to test the significant resistance at 0.6765, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

Pound Sterling’s (GBP) recent weakness reflects lingering sensitivity to bond-market volatility, though calmer conditions may allow EUR/GBP to drift back below 0.870. - December UK inflation data offered little new for the Bank of England, with core services steady at 4.0% and a modest headline upti

The near-term bias is tilted to the upside, but Pound Sterling (GBP) may not break above 1.3505, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

Brief concerns over a European pullback from US assets faded quickly, with markets showing little follow-through despite Davos-driven hopes of geopolitical easing, ING's FX analyst Francesco Pesole notes.

Instead of continuing to rise, EUR is more likely to consolidate between 1.1690 and 1.1770. In the longer run, risk for EUR remains on the upside; the probability of it breaking above 1.1805 is not high for now, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

LME Copper has stalled near strong resistance at 13,400, with weakening momentum suggesting a potential near-term consolidation, Société Générale's FX analysts note.

Silver prices (XAG/USD) rose on Wednesday, according to FXStreet data. Silver trades at $95.04 per troy ounce, up 0.84% from the $94.25 it cost on Tuesday.

Gold (XAU/USD) maintains its strong bid tone through the first half of the European session on Wednesday and seems poised to prolong the recent record-setting run amid a supportive fundamental backdrop.

Long-term priorities are constraining policy space, limiting scope for meaningful housing support. The housing correction is likely to continue in 2026, with a slow path to equilibrium.

Dow Jones futures gain by 0.25% to near 48,800 during the European session on Wednesday, while S&P 500 and Nasdaq 100 futures rise 0.38% and 0.41% to near 6,860 and 25,200, respectively.

The GBP/JPY cross extends the previous day's late pullback from the vicinity of mid-213.00s and trades with a negative bias on Wednesday, snapping a two-day winning streak.

EUR/CAD inches lower after three days of gains, trading around 1.6200 during the European hours on Wednesday. The currency cross struggles as the commodity-linked Canadian Dollar (CAD) receives support amid higher Oil prices.

EUR/USD holds firm above 1.1700, trading at 1.1722 at the time of writing on Wednesday, practically flat on the daily chart after having rallied 1.2% over the previous two days.

The Pound Sterling (GBP) gains against its major peers on Wednesday after the United Kingdom's (UK) Office for National Statistics (ONS) has reported that inflation grew at a faster-than-projected pace in December.

The Indian Rupee (INR) plunges to record lows against the US Dollar (USD) on Wednesday.

European Central Bank (ECB) President Christine Lagarde said during European trading hours on Wednesday that trade disputes between the United States (US) and the European Union (EU) underscore the need for a deep review of how we organize the European economy.

Here is what you need to know on Wednesday, January 21:

The US Dollar Index (DXY), which measures the value of the US Dollar (USD) against six major currencies, is gaining ground after experiencing volatility and trading around 98.60 during the early European hours on Wednesday.

The EUR/GBP cross loses ground to near 0.8720 during the early European session on Wednesday. The Pound Sterling (GBP) edges higher against the Euro (EUR) after the UK Consumer Price Index (CPI) inflation report.

Silver price (XAG/USD) turns sideways near the all-time high of 95.90 during the early European session on Wednesday. The white metal consolidates as investors await speech from United States (US) President Donald Trump in the World Economic Forum (WEF) at Davos, scheduled at 13:00 GMT.

The NZD/USD pair trades in positive territory for the fourth consecutive day near 0.5835 during the early European session on Wednesday. The US Dollar (USD) weakens against the New Zealand Dollar (NZD) as US President Donald Trump's tariff threats spark new fears of 'Sell America' trade.

The USD/CAD pair trades in a tight range around 1.3835 during the late Asian trading session on Wednesday, but is close to its over-a-week low of 1.3815.

West Texas Intermediate (WTI) Oil price extends its winning streak for the fourth consecutive day, trading around $59.80 per barrel during the Asian hours on Wednesday. Crude Oil prices gain on a temporary halt in output at two large fields in Kazakhstan.

The AUD/JPY cross loses traction to around 106.45 during the early European session on Tuesday. The Japanese Yen (JPY) strengthens against the Australian Dollar (AUD) as traders pile into safe-haven currencies amid US President Donald Trump's renewed tariff threats. 

USD/CHF halts its three-day losing streak, trading around 0.7910 during the Asian hours on Wednesday. The pair gains ground as the US Dollar (USD) recovers its daily losses despite rising United States (US)–Greenland concerns.

Gold prices rose in India on Wednesday, according to data compiled by FXStreet.

The EUR/JPY cross loses ground near 185.25 during the early European session on Tuesday. The Japanese Yen (JPY) edges higher against the Euro (EUR) as traders continue to pile into safe-haven currencies amid US President Donald Trump's renewed tariff threats against European allies over Greenland. 

GBP/USD remains in the positive territory for the third consecutive session, trading around 1.3430 during the Asian hours on Wednesday. The pair rises as the Pound Sterling (GBP) gains support following Tuesday’s release of UK employment data for the three months to November.

The Japanese Yen (JPY) regains positive traction against its American counterpart during the Asian session on Wednesday, following the previous day's two-way price swings, and seems poised to climb further.

EUR/USD extends its gains for the third consecutive session, trading around 1.1730 during the Asian hours on Wednesday. The pair appreciates as the US Dollar (USD) continues to lose ground amid rising United States (US)–Greenland concerns.

The UK Office for National Statistics (ONS) will release the December Consumer Price Index (CPI) figures on Wednesday at 07:00 GMT, a print that will matter for markets. Consensus expectations point to a modest re-acceleration in inflation pressures.

The Australian Dollar gains ground against the US Dollar (USD) on Wednesday, extending its gains for the third successive session. The AUD/USD pair appreciates as the Greenback continues to lose ground amid rising United States (US)–Greenland concerns.

West Texas Intermediate (WTI), the US crude oil benchmark, is trading around $59.65 during the early Asian trading hours on Wednesday. The WTI price edges higher amid the escalating Greenland crisis and an unplanned outage at a major Kazakhstan field.

Silver price (XAG/USD) hovers around an all-time high of $95.89, reached in the previous session, currently trading around $94.80 per barrel during the Asian hours on Wednesday. Precious metals, including Silver continue to attract buyers amid rising geopolitical tensions.