Gold’s price (XAU/USD) sees selling pressure pick up with the $2,700 level nearing on Friday, with profit-taking occurring after its three-day rally this week.  Federal Reserve (Fed) governor Christopher Waller spooked traders by commenting on Thursday

The US Dollar (USD) is trading steady to slightly firmer on the session but is heading for its first weekly drop since late November in DXY terms.

USD/SGD continued to trade modestly softer as USD strength eased while JPY, CNH and risk sentiments found support. USD/SGD was last seen at 1.3658, OCBC's FX analyst Christopher Wong notes.

Canada Canadian Portfolio Investment in Foreign Securities up to $17.85B in November from previous $-2.65B

Canada Foreign Portfolio Investment in Canadian Securities came in at $16.4B, above forecasts ($14.5B) in November

United States Housing Starts Change: 15.8% (December) vs -1.8%

United States Building Permits Change down to -0.7% in December from previous 6.1%

United States Housing Starts (MoM) came in at 1.499M, above forecasts (1.32M) in December

United States Building Permits (MoM) registered at 1.483M above expectations (1.46M) in December

The US Dollar Index (DXY), which tracks the Greenback’s value against six major currencies, further consolidates around the 109.00 level on Friday, though positioning is being torn into two camps. After a pivotal move earlier this week on the back of the

The USD/CAD pair climbs to near 1.4430 in Friday’s North American session.

The Pound Sterling (GBP) falls sharply against its major peers on Friday as the United Kingdom (UK) Office for National Statistics (ONS) reported that Retail Sales surprisingly contracted in December, another data that adds to the weak economic outlook.

EUR/USD trades cautiously in a narrow range near the key level of 1.0300 in Friday’s early North American session.

Flat momentum suggests further range trading, most likely between 7.3380 and 7.3550. Upward momentum is beginning to fade; a breach of 7.3250 would suggest that 7.3700 is not coming into view, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

USD/JPY continued to trade lower, as expectations on BoJ hike next week continues to build. Markets are pricing in 22bp hike at the upcoming MPC (vs. 11bp hike expectations at the start of the new year). Pair was last at 155.69 levels, OCBC's FX analysts Frances Cheung and Christopher Wong note.

Weakness has not stabilized, but any further US Dollar (USD) decline is likely part of a lower range of 154.90/156.15. In the longer run, USD remains weak; if it breaks below 154.90, the next objective will be at 154.40, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

India FX Reserves, USD fell from previous $634.59B to $625.87B in January 6

US Dollar (USD) was a touch softer overnight, helped by dovish comments from Fed’s Waller. He said that Fed may cut rates more this year and sooner than investors expect if future inflation data fall in line with Dec CPI report.

New Zealand Dollar (NZD) is expected to trade sideways between 0.5580 and 0.5630. In the longer run, NZD must break and remain above 0.5650 before a move to 0.5695 is likely, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

In other markets, China's fourth quarter 2024 GDP surged to 5.4% year-on-year, up from 4.6% YoY and marking the highest level of the year, and the fastest YoY growth of any quarter since 2Q23, ING's FX analyst Francesco Pesole notes.

Price movements are likely part of a range trading phase, expected to be between 0.6185 and 0.6230. In the longer run, upward momentum is building, but AUD must close above 0.6245 before a move to 0.6300 can be expected, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

The USD/JPY pair discovers buying interest after posting a fresh four-week low of 156.00 in Friday’s European session.

China’s 4Q24 GDP growth accelerated to 5.4% y/y, 1.6% q/q sa. The 2024 full year growth of 5.0% has met official target, coming in slightly higher than our forecast of 4.9%. The stronger recovery was driven by the industrial sector, UOB Group's economist Ho Woei Chen notes.

Mark Carney formally announced yesterday that he will run for Canada’s Liberal Party leadership to replace Justin Trudeau. The consensus appears to be that the leadership contest will be a close one between Carney and former finance minister Chrystia Freeland.

The Pound Sterling (GBP) is expected to continue to trade in a range, probably between 1.2190 and 1.2280. In the longer run, weakness in GBP has stabilized; it is likely to trade in a range between 1.2130 and 1.2390, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

EUR/USD appears to have found a short-term anchor at the 1.0300 handle., ING's FX analyst Francesco Pesole notes.

Eurozone Harmonized Index of Consumer Prices (YoY) in line with expectations (2.4%) in December

Eurozone Core Harmonized Index of Consumer Prices (MoM) remains at 0.5% in December

Eurozone Harmonized Index of Consumer Prices (MoM) in line with forecasts (0.4%) in December

Eurozone Core Harmonized Index of Consumer Prices (YoY) came in at 2.7% below forecasts (2.8%) in December