In recent updates, positive trends have emerged for the Federal Reserve, with inflation softening and consumer demand strengthening. The Bank of Japan has maintained the world's last negative interest rate, impacting the yen's value. Yemen's Houthi rebels have targeted vessels in the Red Sea, leading major shipping companies to reroute cargoes. The world's top five container liners, holding 65% of global capacity, have suspended transits through the affected waterway. This decision increases shipping costs and delivery timelines, but its impact on European inflation is expected to be limited.

The Fed's key inflation gauge showed minimal increase in November, trailing the 2% target. This reinforces expectations of interest rate cuts in the coming year. The anticipation of rate cuts is already positively affecting the housing market, with a rebound in activity and a significant drop in mortgage rates.

The search for a suitable candidate to lead one of the Fed's 12 reserve banks has become more challenging, requiring expertise in complex subjects, impeccable personal finances, and strong communication skills.

The Bank of Japan has maintained its negative interest rate and provided no guidance on potential policy changes in the coming year. The yen experienced a sharp decline following this decision. Meanwhile, foreign investment in China hit a nearly four-year low in November, reflecting geopolitical tensions and a slowing economy, causing foreign companies to slow their expansion plans.

Technical Analysis:

From a technical perspective…

Support             …

Resistance        …

Momentum      …