Currencies: $ slightly firmer, Yen down sharply
The euro is down -0.1% at 1.0420, the Swiss franc is down -0.2% and the pound is down -0.2% (despite a 9-point rise in the yield on Gilts).
There were few market movers on the macro data front, and no FOREX reaction to the release of the Conference Board's index of leading indicators - supposed to reflect future economic activity in the USA - which fell by 0.1% to 101.6 last month, in line with economists' consensus.
In November, the index had risen by 0.4%, compared with an initial estimate of 0.3%, its first increase since February 2022.
Despite the downturn in December, the Conference Board says it expects US growth momentum to remain solid into the new year, anticipating GDP growth of 2.3% in 2025.
While investors are betting heavily on the tax cuts (risk of widening deficits) and deregulation measures promised by the new president, a certain vagueness continues to surround the implementation of tariffs (supposed to provide the quid pro quo for tax breaks).
Clarity on this point remains rather difficult to grasp", laments Michael Brown, strategist at Pepperstone, while pointing out that the worst-case scenario, namely the imposition of so-called "universal" customs duties, seems to be out of the question for the time being.
Nevertheless, the Trumponomics and the real estate magnate's decisions on trade policy will be decisive for market trends over the coming months.
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