Financial Markets Daily Report
02 febrero 2026
Mixed session to close off the week, with US investors reacting to President Trump’s nomination of Kevin Warsh as the next Federal Reserve Chair, while euro area markets focused on stronger-than-expected economic data, including upside surprises in GDP growth from Spain and Germany.
On the Fed Chair nomination, Warsh is known as a long-standing critic of the Fed's balance sheet expansion and held hawkish views during his tenure as a Fed Governor. Recently, he has aligned with the President’s calls for lower rates. Market reaction was mixed, with US equity indices declining, while short term Treasury yields moved lower.
A more pronounced reaction was seen in currency and commodity markets. The US dollar strengthened (up to 1.18 against the euro) while gold prices fell sharply below $5,000/ounce and silver dropped by around 20% in a single session. Elsewhere, euro area sovereign yields were broadly flat, and equities advanced, led by gains in German and Spanish stocks.