Financial Markets Daily Report27 January 2026
During yesterday's session, the Japanese equity index Nikkei-225 fell nearly 2% amid concerns over a potential currency intervention. Global stocks advanced modestly, as investors traded cautiously ahead of a heavy earnings calendar, with major tech firms reporting later this week (up to 33% of the S&P 500 capitalization reports this week).
The Fed's monetary policy January meeting will start today, while the ECB meets next week. Both central banks are broadly expected to keep policy rates at their current levels. Government bond yields fell on both sides of the Atlantic, especially in the euro area and in France, after PM Sébastien Lecornu forced the budget through the parliament last Friday.
The dollar continued to weaken broadly, particularly against the yen. In commodity markets, gold prices extended their week-long rally and closed, for the first time on record, above $5000/ounce. Trading price is now close to $5100/ounce. Oil and gas prices fell, reversing part of the gains from previous sessions.