National Bank Of Canada analysts Daren King and Jocelyn Paquet expect Canada’s January CPI to be unchanged on the month, pulling headline inflation down to 2.3% and trimming CPI-trim slightly, while CPI-median stays at 2.5%. 🔗 Source 💡 DMK Insight Canada’s inflation outlook is stabilizing, and here’s why that matters for traders: With January’s CPI expected to hold steady, the headline inflation rate dropping to 2.3% could signal a more stable economic environment. This stability might influence the Bank of Canada’s monetary policy, potentially keeping interest rates steady, which is crucial for asset valuations. For traders, especially in the forex market, this could mean a more predictable Canadian dollar (CAD) performance against major pairs. If inflation remains contained, it could also reduce volatility in related assets, like commodities and equities tied to the Canadian economy. Watch for any shifts in market sentiment as these figures are released, particularly around key levels in CAD pairs. On the flip side, if inflation surprises to the upside, it could lead to a hawkish shift in policy, impacting market dynamics significantly. Traders should keep an eye on the January CPI release and be prepared for potential reactions in the CAD, especially if it deviates from expectations. Key levels to monitor would be the CAD’s performance against the USD and any correlations with commodities like oil, which Canada heavily relies on for exports. 📮 Takeaway Watch for the January CPI release; a deviation from the expected 2.3% could trigger significant moves in CAD pairs.

MUFG’s Senior Currency Analyst Lee Hardman notes that the Reserve Bank of New Zealand is widely expected to keep the Official Cash Rate unchanged at its first 2026 meeting (Feb 18), after signalling November’s cut was the last of the cycle. 🔗 Source 💡 DMK Insight The Reserve Bank of New Zealand’s decision to hold the cash rate steady is a significant signal for traders: it indicates a cautious approach amidst global economic uncertainty. With the RBNZ’s last cut in November, the market is now focused on how this decision will influence the NZD against major pairs. Traders should watch for any shifts in sentiment, especially as inflation data and employment figures come into play leading up to the February meeting. If the RBNZ maintains its stance, it could bolster the NZD, but any unexpected comments could lead to volatility. Keep an eye on the NZD/USD pair; a break above recent resistance levels could suggest further strength, while a failure to hold could trigger selling pressure. Also, consider the broader implications for commodity currencies if global risk sentiment shifts. The market’s reaction to the RBNZ’s decision could set the tone for other central banks, especially in the Asia-Pacific region, making this a pivotal moment for traders looking to position themselves ahead of potential moves in related assets like AUD and CAD. 📮 Takeaway Watch the NZD/USD closely; a break above recent resistance could signal further strength, while any dovish comments from the RBNZ might trigger sell-offs.

ING’s commodities team notes that talk of a partial rollback of US aluminium tariffs is unlikely to materially change market conditions. They stress that the core 50% levy on primary Aluminium remains, leaving domestic capacity constraints and elevated Midwest premiums intact. 🔗 Source 💡 DMK Insight Aluminium tariffs are still a heavy weight on the market, and here’s why that matters: Despite discussions about a potential rollback, the core 50% levy on primary aluminium isn’t budging. This means domestic supply constraints will persist, keeping premiums elevated. Traders should be aware that these tariffs are a significant factor in the current pricing dynamics. Elevated Midwest premiums indicate strong demand against limited supply, which could lead to further price volatility. If you’re trading aluminium or related commodities, keep an eye on these tariffs as they directly impact your positions. On the flip side, if the market starts to price in any future changes to these tariffs, we could see short-term fluctuations. But for now, the fundamentals remain unchanged. Watch for any news that might hint at policy shifts, as that could trigger rapid movements. For those in the aluminium market, monitoring the Midwest premium levels will be crucial in the coming weeks. 📮 Takeaway Keep an eye on the Midwest aluminium premiums and any tariff news; the current 50% levy is a key factor in market dynamics.

Visteon (VC – Free Report) shares rallied 6.8% in the last trading session to close at $104.94. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock’s 0.8% gain over the past four weeks. 🔗 Source 💡 DMK Insight Visteon’s 6.8% surge signals strong buying interest, but here’s why caution is key: The notable volume indicates that traders are reacting to something significant, possibly driven by news or earnings expectations. With shares closing at $104.94, this rally stands out against a modest 0.8% gain over the past month, suggesting a potential shift in sentiment. However, before jumping in, consider the broader context—are we seeing a genuine trend reversal or just a short-term spike? Keep an eye on the $105 resistance level; a sustained break above could attract more buyers, while a pullback might indicate profit-taking. If you’re trading Visteon, watch for volume patterns and any news that could impact sentiment. On the flip side, if the stock retraces, it might provide a buying opportunity at lower levels. The key here is to monitor the next few sessions closely to gauge whether this rally has legs or if it’s just a flash in the pan. 📮 Takeaway Watch Visteon’s $105 resistance level closely; a break could signal further upside, while a pullback might offer a buying opportunity.

OCBC strategists Sim Moh Siong and Christopher Wong note that despite renewed de-dollarisation headlines and AI-related equity volatility, the Dollar remains primarily driven by US macro data and Federal Reserve expectations. 🔗 Source 💡 DMK Insight The Dollar’s resilience amidst de-dollarisation talks shows traders should focus on US macro data. With AI-related equity volatility capturing headlines, it’s easy to overlook the underlying strength of the Dollar, which is still largely influenced by economic indicators and Fed policy. As we approach key data releases, such as employment figures and inflation rates, these will be critical in shaping expectations for interest rate movements. If the data comes in stronger than expected, it could bolster the Dollar further, potentially impacting forex pairs like EUR/USD and GBP/USD. Conversely, weaker data could lead to a sell-off, especially if it raises doubts about the Fed’s tightening path. Traders should keep an eye on the upcoming economic calendar and be prepared for volatility around these releases. Watch for the Dollar Index (DXY) to hold above key support levels, as a break below could signal a shift in sentiment. The real story is how these macro factors will interplay with the ongoing narrative of de-dollarisation, which, while significant, hasn’t yet translated into a tangible threat to the Dollar’s dominance. 📮 Takeaway Monitor US macro data closely; strong figures could support the Dollar, impacting major forex pairs like EUR/USD and GBP/USD.

NZD/USD trades around 0.6040 on Monday at the time of writing, virtually unchanged on the day, as investors adopt a wait-and-see approach ahead of the Reserve Bank of New Zealand (RBNZ) policy decision due on Wednesday. 🔗 Source 💡 DMK Insight NZD/USD is stuck at 0.6040, and here’s why that’s crucial right now: With the RBNZ’s policy decision looming on Wednesday, traders are understandably cautious. The current price reflects a market that’s holding its breath, waiting for signals on interest rates and economic outlook. If the RBNZ surprises with a hawkish stance, we could see a sharp rally, potentially breaking resistance levels above 0.6100. Conversely, a dovish tone could push the pair back towards recent lows, triggering stop-loss orders and increasing volatility. Keep an eye on the broader sentiment in the forex market as well; if the USD strengthens due to any economic data releases, it could further pressure the NZD/USD pair. But here’s the flip side: if the RBNZ maintains its current stance, we might see a prolonged period of consolidation around this level, which could set up for a breakout in either direction. Watch for any shifts in trading volume or sentiment indicators leading up to the announcement, as they could provide clues on market expectations. The next 48 hours are critical for positioning ahead of this key event. 📮 Takeaway Watch for the RBNZ’s decision on Wednesday; a hawkish surprise could push NZD/USD above 0.6100, while a dovish tone might send it back towards recent lows.

The Canadian Dollar (CAD) remains on the back foot against the US Dollar (USD) on Monday, with USD/CAD extending its advance for a fourth consecutive day as the Greenback steadies following its recent weakness. At the time of writing, the pair is trading around 1.3628. 🔗 Source 💡 DMK Insight The CAD’s struggle against the USD is a signal for traders to reassess their positions. With USD/CAD trading around 1.3628 and extending its gains for four days, this trend indicates a potential shift in market sentiment. The recent steadiness of the Greenback suggests that traders might be underestimating the dollar’s resilience, especially as economic indicators from the U.S. show signs of strength. This could lead to further upside for the USD if the trend continues, making it crucial for traders to monitor key resistance levels around 1.3650. On the flip side, if the CAD manages to regain some ground, it could present a buying opportunity for those looking to capitalize on a potential reversal. Keep an eye on upcoming economic data releases that could impact both currencies, as volatility could spike in response to new information. For now, the immediate focus should be on whether USD/CAD can break past 1.3650, which would confirm bullish momentum, while a drop below 1.3600 could signal a shift back towards CAD strength. 📮 Takeaway Watch USD/CAD closely; a break above 1.3650 could signal further dollar strength, while a drop below 1.3600 may indicate a CAD recovery.

Gold (XAU/USD) kicks off the week on a subdued note, extending its consolidation phase as traders remain reluctant to chase prices higher amid mixed macro signals. At the time of writing, XAU/USD is trading near $4,987, after marking an intraday high around $5,054, down roughly 0.90% on the day. 🔗 Source 💡 DMK Insight Gold’s recent consolidation around $4,987 signals indecision among traders, and here’s why that matters: With mixed macro signals influencing sentiment, the reluctance to push prices higher could indicate a broader market hesitation. The recent intraday high of $5,054 shows there’s still upward potential, but the 0.90% drop suggests sellers are stepping in. Traders should watch for key support around $4,950; a break below could trigger further selling pressure. Conversely, if gold can reclaim the $5,000 mark convincingly, it might attract buyers looking for a breakout. This situation is compounded by the current volatility in crypto markets, particularly with assets like SOL and ADA, which often correlate with risk sentiment in traditional markets. If gold continues to struggle, it could signal a risk-off environment, leading to further declines in crypto assets as well. Keep an eye on the upcoming economic data releases this week, as they could provide the catalyst needed for a decisive move in gold. Watch for any shifts in the U.S. dollar or interest rates, as these factors will heavily influence gold’s trajectory. 📮 Takeaway Monitor gold’s support at $4,950; a break could lead to further declines, while reclaiming $5,000 may attract buyers.

DBS Group Research Chief Economist Taimur Baig, highlights signs of slowing US consumption after strong 2025 growth. He notes softer retail sales momentum in 4Q25 and a downgrade in real-time GDP estimates. 🔗 Source 💡 DMK Insight US consumption is showing cracks, and here’s why that matters for traders: With softer retail sales momentum in 4Q25 and downgraded GDP estimates, traders should brace for potential volatility in markets tied to consumer spending. This slowdown could impact sectors like retail and consumer discretionary stocks, which are often sensitive to shifts in consumer behavior. If the trend continues, we might see a ripple effect across related assets, including commodities and currencies that rely on US consumption patterns. Look for key technical levels in the S&P 500 and consumer-related ETFs; a break below recent support could signal further downside. Additionally, keep an eye on economic indicators like the Consumer Confidence Index and jobless claims, as these could provide more context on consumer sentiment. The real story is how this slowdown might influence Federal Reserve policy, especially if inflation remains a concern. Traders should monitor the Fed’s next moves closely, as they could pivot based on these consumption trends. 📮 Takeaway Watch for key support levels in consumer stocks; a break could signal deeper market corrections as US consumption slows.

Colombia Gross Domestic Product (YoY) came in at 2.3%, below expectations (3.1%) in 4Q 🔗 Source 💡 DMK Insight Colombia’s GDP growth of 2.3% in 4Q is a red flag for traders: it missed expectations by a significant margin. This shortfall could signal underlying economic weakness, potentially impacting the Colombian peso and local equities. Traders should keep an eye on how this affects the central bank’s monetary policy, especially if inflation remains a concern. A weaker GDP might prompt the Banco de la República to reconsider interest rate hikes, which could lead to increased volatility in forex pairs involving the peso. Look for key support levels in USD/COP around recent highs, as a bearish sentiment could push the pair higher if economic data continues to disappoint. Additionally, monitor related assets like Colombian bonds, which may react negatively to this news. On the flip side, if the market overreacts, there could be a buying opportunity for those looking at undervalued Colombian assets. Watch for any statements from the central bank in the coming weeks that could clarify their stance on future rate adjustments. 📮 Takeaway Traders should watch USD/COP for potential upward movement if Colombia’s economic data continues to disappoint, especially around key support levels.