United States Monthly Budget Statement came in at $-95B, below expectations ($-86.5B) in January 🔗 Source 💡 DMK Insight The U.S. Monthly Budget Statement showing a $-95B deficit is a wake-up call for traders. This figure not only missed expectations but also signals potential economic strain, which could influence monetary policy decisions. A larger deficit might lead to increased borrowing, impacting interest rates and the dollar’s strength. Traders should keep an eye on how this affects the bond market, especially if yields start to rise as investors react to the government’s fiscal health. Watch for any shifts in the dollar index and related forex pairs, as a weaker dollar could boost commodities and crypto assets. On the flip side, if the market overreacts, there could be a buying opportunity in undervalued assets. Keep an eye on the upcoming economic indicators and Federal Reserve comments for further clarity on how this deficit might shape future monetary policy. 📮 Takeaway Monitor the dollar index and bond yields closely; a sustained deficit could weaken the dollar and impact related markets.

MUFG’s Senior Currency Analyst Lloyd Chan notes Indonesia enters 2026 with solid growth momentum but rising fiscal and policy risks. 🔗 Source 💡 DMK Insight Indonesia’s growth momentum could impact forex traders, especially with rising fiscal risks looming. As SOL trades at $79.31, the broader implications of Indonesia’s economic health could ripple through emerging market currencies. Traders should keep an eye on how Indonesia’s fiscal policies evolve, as any missteps could lead to volatility in the Indonesian Rupiah, which often correlates with SOL. If fiscal risks escalate, we might see a flight to safety, impacting risk assets like SOL. It’s also worth noting that while growth is promising, the rising risks could create a divergence in sentiment. Traders should monitor key economic indicators from Indonesia, especially as we approach 2026. A sudden shift in policy could trigger rapid movements in related assets. Watch for any announcements or data releases that could signal a change in fiscal strategy, as these will be crucial for positioning in both forex and crypto markets. 📮 Takeaway Keep an eye on Indonesia’s fiscal policies as SOL trades at $79.31; any shifts could lead to volatility in emerging market currencies.

The United States (US) released stronger-than-expected US Nonfarm Payrolls report for January, adding 130K jobs in quite an auspicious start to the year, while the Unemployment Rate ticked lower to 4.3%, and Average Hourly Earnings held steady at 3.7% over the last twelve months. 🔗 Source 💡 DMK Insight The stronger-than-expected Nonfarm Payrolls report is a game-changer for traders right now. With 130K jobs added and the unemployment rate dipping to 4.3%, this data suggests a robust labor market, which could lead to tighter monetary policy from the Fed. Traders should watch for potential interest rate hikes, as this could strengthen the dollar and impact forex pairs like EUR/USD and GBP/USD. If the dollar gains traction, commodities like gold might face downward pressure. Keep an eye on the 1.10 level for EUR/USD; a break below could signal further weakness. Conversely, if the market reacts negatively to the job growth—perhaps due to fears of aggressive Fed action—there could be a short-term pullback in equities. The real story is how the market interprets this data; are we looking at growth or inflation concerns? Watch for volatility in the coming days as traders digest this news and adjust their positions accordingly. 📮 Takeaway Monitor the 1.10 level on EUR/USD and prepare for potential volatility as traders react to the strong jobs report.

As the NASDAQ100’s price action over the last three to four months has been more discombobulated than desired, i.e., the index has made little progress over that period, it is now trading at an early October 2025 level. 🔗 Source 💡 DMK Insight The NASDAQ100’s stagnation at early October 2025 levels signals a potential turning point for traders. With the index showing little movement over the past three to four months, this could indicate a buildup of volatility ahead. Traders should be cautious; a breakout above recent resistance levels could signal a bullish trend, while a drop below support might trigger further selling pressure. Keep an eye on key technical indicators like the RSI and MACD for signs of momentum shifts. If the index can reclaim its footing above recent highs, it might attract institutional buying, but if it falters, retail traders could panic, leading to cascading effects across tech stocks and correlated assets. The real story is whether this consolidation phase is a precursor to a significant move. Watch for any news catalysts or earnings reports that could influence sentiment, particularly in tech-heavy sectors. The next few weeks will be crucial for determining the NASDAQ100’s direction. 📮 Takeaway Monitor the NASDAQ100 closely; a breakout above recent highs could signal a bullish trend, while a drop below support may lead to increased selling pressure.

A Wall Street Journal article reported that the Pentagon is preparing a second aircraft carrier to deploy to the Middle East. 🔗 Source 💡 DMK Insight The Pentagon’s move to deploy a second aircraft carrier to the Middle East is a significant geopolitical signal that could impact oil prices and market volatility. Tensions in the region often lead to fluctuations in crude oil prices, which are already sensitive to supply chain disruptions. Traders should keep an eye on WTI and Brent crude benchmarks, as any escalation could push prices higher. Additionally, defense stocks might see increased activity as military readiness escalates. Look for potential resistance levels in oil around recent highs, and monitor for any news that could shift sentiment quickly. On the flip side, if this deployment is more of a show of force without immediate escalation, we might see a temporary dip in oil prices as traders reassess the risk premium built into the market. Keep an eye on the next few weeks for any developments that could either escalate or de-escalate tensions, as this will directly influence trading strategies across commodities and equities alike. 📮 Takeaway Watch for oil price movements closely; any escalation in the Middle East could push WTI and Brent above recent resistance levels.

S&P 500 bumping into overhead resistance 7,000 – 7,020 yesterday (good spot for our taking of swing long profits), and today premarket positioning for nimble intraday clients (short Nasdaq) was also a winning one – but one had to be fast, and have real-time access to all my thoughts (swing and intra 🔗 Source 💡 DMK Insight ADA’s current price of $0.26 is a crucial level for traders to watch. With the S&P 500 hitting resistance around 7,000 – 7,020, market sentiment is shifting, and ADA could be influenced by broader equity movements. If the S&P fails to break through that resistance, we might see a risk-off sentiment that could drag ADA down further. Conversely, if the S&P breaks above, it could provide a bullish lift to ADA as investors seek alternative assets. Traders should monitor ADA’s support levels closely; a drop below $0.25 could trigger further selling pressure. On the flip side, a rally above $0.28 might attract buyers looking for a rebound. Keep an eye on intraday movements and be ready to act quickly, especially with the volatility we’re seeing in the Nasdaq and broader markets. 📮 Takeaway Watch ADA closely; a drop below $0.25 could signal further downside, while a break above $0.28 might attract bullish momentum.

UOB Global Economics & Markets Research reports that Singapore’s 4Q25 GDP was revised significantly higher, driven by stronger manufacturing, services and construction. This lifted full‑year 2025 growth and prompted the authorities to raise the official 2026 forecast range. 🔗 Source 💡 DMK Insight Singapore’s GDP revision is a game-changer for traders focused on Southeast Asian markets. A stronger-than-expected 4Q25 GDP, fueled by robust manufacturing, services, and construction, signals a resilient economy. This upward revision not only boosts the full-year 2025 growth outlook but also prompts the authorities to raise the 2026 forecast range. For traders, this could mean increased confidence in the Singapore dollar and related assets. Watch for potential bullish momentum in the Singapore Exchange (SGX) and sectors like construction and manufacturing that could benefit directly from this economic uptick. However, it’s worth noting that while the immediate outlook seems positive, external factors like global economic conditions and trade tensions could still pose risks. Keep an eye on key technical levels for the Singapore dollar against major currencies, especially if it approaches resistance levels that could trigger profit-taking. The next few weeks will be crucial as traders digest this news and its implications for market sentiment. 📮 Takeaway Monitor the Singapore dollar’s performance against major currencies; a breakout above key resistance could signal further bullish momentum.

The EUR/USD pair retreats below 1.1900 on Wednesday as the Greenback stages a recovery on a strong jobs report in the United States, which underscored the strength of the economy. At the time of writing, EUR/USD trades at 1.1885, down 0.07%. 🔗 Source 💡 DMK Insight The EUR/USD dip below 1.1900 signals a potential shift in market sentiment as the dollar gains traction. The recent U.S. jobs report has reignited confidence in the Greenback, suggesting traders should reassess their positions. A strong labor market often leads to expectations of tighter monetary policy, which could further bolster the dollar. If EUR/USD continues to slide, watch for support around 1.1850; a break below this level could trigger more selling pressure. On the flip side, if the euro finds strength, it might bounce back, but that seems less likely given the current economic backdrop. Keep an eye on upcoming economic indicators from both the U.S. and Eurozone, as they could provide further direction. For now, the immediate focus should be on the 1.1900 resistance level—if it holds, we might see a consolidation phase, but if it breaks, expect a deeper retracement. 📮 Takeaway Watch the 1.1900 level closely; a sustained break could lead to further declines in EUR/USD, targeting 1.1850 next.

Standard Chartered economists Hunter Chan, Shuang Ding and Carol Liao note that China’s broad fiscal deficit reached 8.1% of GDP in 2025, below target but still expansionary. 🔗 Source 💡 DMK Insight China’s fiscal deficit at 8.1% of GDP signals ongoing economic challenges and potential volatility in markets. For traders, this expansionary fiscal stance could lead to increased government spending, impacting commodities and currencies linked to China’s economy. Watch for how this deficit influences the yuan and related forex pairs, especially if it prompts further easing from the People’s Bank of China. The broader implications could ripple through global markets, particularly in commodities like copper and oil, which are sensitive to Chinese demand. Keep an eye on key technical levels in the yuan; a breach of recent support could trigger significant moves in forex markets. But here’s the flip side: while a high deficit might seem alarming, it could also be a catalyst for growth if managed well. Traders should monitor upcoming economic data releases from China that could provide insight into whether this deficit translates into productive investment or just more debt. The next few months will be crucial for gauging market sentiment around China’s fiscal health. 📮 Takeaway Watch the yuan closely; a breach of recent support levels could indicate increased volatility in forex markets tied to China’s fiscal policies.

UOB Global Economics & Markets Research economists Julia Goh and Loke Siew Ting highlight that Malaysia’s labour market strengthened further in 4Q25, with unemployment falling to 2.9% and participation steady at 70.9%. 🔗 Source 💡 DMK Insight Malaysia’s unemployment rate hitting 2.9% is a big deal for traders right now. A low unemployment rate typically signals a robust economy, which can lead to increased consumer spending and potentially higher interest rates. This could impact the Malaysian Ringgit (MYR) positively against other currencies, especially if the Bank Negara Malaysia considers tightening monetary policy. Traders should keep an eye on how this economic strength influences forex pairs like MYR/USD or MYR/SGD. However, there’s a flip side: if the labor market tightens too much, it could lead to inflationary pressures, prompting a more aggressive rate hike than anticipated. This could create volatility in the forex market. Watch for any statements from the central bank in the coming weeks, as they may provide insights into their monetary policy direction. Key levels to monitor would be the MYR’s performance against major currencies, particularly if it approaches historical resistance or support levels. 📮 Takeaway Keep an eye on the MYR’s performance against major currencies, especially if unemployment trends continue to influence monetary policy decisions.