Hey fam! 👋 This week kicked off with a bang as the US carried out a major strike in Venezuela in the early hours of January 3. The move drew sharp criticism from Colombia and five other nations, warning it sets a “dangerous precedent” for regional stability.
Surprisingly, markets are barely flinching. Gold jumped 2.13% to $4,422/oz and silver climbed 3.1% to $75.51/oz as investors hunted safe havens. Brent crude dipped 0.95% to $60.75/barrel, keeping energy traders on their toes.
Over in credit markets, Gary Tan from Allspring Global Investments in Singapore expects risk premiums to cool off soon, which could narrow spreads for lower-rated sovereign bonds. In plain English: borrowing costs might get a bit friendlier if geopolitical worries don’t spike again.
Tech-savvy investors are cheering the AI boom. Asia-Pacific stocks closed strongly on the AI narrative: Japan’s Nikkei up 2.97%, South Korea’s KOSPI surged 3.43% to a record high, and China’s Shanghai Composite rose 1.38% to 4,023.42.
European markets opened higher too, with Germany’s DAX and the Euro Stoxx 50 adding about 0.6%. Traders are bracing for more volatility as the week unfolds, so keep your watchlists updated!
Whether you’re tracking crypto, ETFs, or good old blue-chips, stay balanced and ready for rapid moves. Grab your coffee ☕, plug into your trading app, and let’s ride this wave together!
Reference(s):
Global market brace for turmoil after US military actions in Venezuela
cgtn.com
