Get ready for an active Friday session as the week closes with top-tier growth and inflation data that could spark significant weekend risk flows.
Starting tonight, the eyes of the market turn to Japan for a critical price stability check.
The Tokyo CPI (YoY) is expected to hold at 2%, while Unemployment is eyed at 2.6%. Any upside surprise in Tokyo inflation will fuel hawkish BoJ bets. This is followed by the Australian Producer Price Index (Q4), expected at 3.5%, which serves as the final inflation puzzle piece for the RBA.
But all eyes are turning on tomorrow’s Banger session:
Eurozone GDP and Inflation (04:00 – 08:00 A.M. ET) will dominate the early morning. Eurozone GDP (YoY) is projected at 0.3%, while Headline CPI (Jan) is expected to tick up to 2.2%. If the bloc shows stagnation alongside sticky prices, the ECB’s “no-cut” stance will be under a true stress test.
Later, the North American session offers interesting dynamics for the USD and CAD. Canadian GDP (Nov) is expected to rebound to 0.1% following a previous contraction.
But the real test for the US will be the Producer Price Index (08:30 A.M. ET) and the Chicago PMI (09:45 A.M. ET):
- US Core PPI (YoY) is expected at 2.9%. Any heat here forces a re-evaluation of the Fed’s 2026 path.
- Chicago PMI is eyed at 44, as investors look to see if the industrial heartland is finally turning a corner.
The day wraps with speeches from Fed’s Musalem and Bowman, before high-impact Chinese PMIs (20:30 ET) provide the final word on global growth before the weekend.
Safe Trades, keep a close eye on the Middle East!
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