Buck slides against some, tight ranges
The U.S. Dollar is being pulled in mixed directions to start off the new year, while closing out a week characterized by low activity as the world looks to return next week full throttle.
Pulse
Buck slides against some, tight ranges
At the time of writing, most headlines focused on the positive opening for Asian trading, which saw that the overnight session be the best beginning to any year since 2012. Over in Europe, similar vibes came in to kick off 2026 with positivity as the Europe Stoxx 600 index hit its highest point of all time. There is renewed sentiment regarding A.I. and its capabilities, which are leading to large speculation over big profits to arrive across industries. NVIDIA seems to be hogging attention again with pre-market growth already at 1.4%.
Thus far, the Buck is coming off a tumbling December, which witnessed it fall in value overall by 1.2% per the Bloomberg Dollar Spot Index. As a whole, USD was getting away from its lowest level since the start of October. In terms of data, we have the S&P Global U.S. Manufacturing Purchasing Managers Index from December out later today at 9:45 AM. Starting Monday, we have plenty of data to chew on with the Institute of Supply Management gauges from December, along with Personal Income & Spending as well as Personal Consumption Expenditures numbers from back in October.
What to Watch This Week…
- Monex USA Online is always open
The complete Economic Calendar can be found here.
MXN ⇑
The Mexican Peso climbed by 2.0% in December as the Buck experienced a month of losses, particularly to Latin American currencies and Emerging Market tenders. Per the MSCI Emerging Markets Currency Index, EM jumped by 1.0% for the month.
Energy costs are up in the air with oil prices declining and trade realignment making everyone adjust and search for alternatives. High interest rates in comparison to other regions maintain Mexico’s currency as a carry-trade favorite while the country becomes more crucial to Pacific Rim trade and offers direct foreign investment opportunities. Super Peso could have yet another solid year of gains, but its rise throughout 2025 caught us by surprise. Expect the unexpected going into this new year.