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USD/JPY is on intervention watch as the dollar index weakens for now, although the greenback remains fundamentally supported. For a sustained rise in the yen, the BOJ will need to address Japan’s still ultra-easy monetary policy as FX intervention can only provide temporary relief.

Chinese economic data is beating expectations at rates not seen since reopening to the world in 2023. And with the government and People’s Bank of China playing an active role in supporting mainland markets, it’s not surprising to see Chinese assets performing comparatively better than others across Asia right now.

USD/JPY upside looks limited in the near-term, hindered by narrowing interest rate differentials and perceived increased risk of Bank of Japan intervention. The stronger yen may add to growing downside momentum in the Nikkei 225, putting two of the strongest market trends in 2024 under threat.

Middle East concerns should keep the downside limited for crude oil, after prices slid 3% as demand concerns intensified on weaker Chinese industrial data and amid the prospects of higher interest rates for longer. WTI technical analysis suggests the longer-term trend remains bullish, with the first short-term support level to watch coming in around $82 area.

Earnings have helped to lift the mood so far in today's session, but risk appetite could be limited amid ongoing geopolitical risks and uncertainty over interest rates outlook. DAX technical analysis shows the German index is still residing in a bearish channel, despite the bounce.

The US dollar has dominated sentiment for markets this past week, but with signs of momentum waning there may be hope for a rebound on EUR/USD and DAX - even if only minor.

Crude oil appears toppy after a mammoth rally since February, unable to push higher despite some seriously strong tailwinds stemming from geopolitics, supply curbs and ongoing strength in the US economy.

Big, ugly and unusual given the escalation in geopolitical tensions in the Middle East. You can see why traders are questioning whether the big reversal in gold last Friday may signal we’ve seen a near-term top after a rollicking start to 2024.

Earnings season starts to ramp up this week with earnings from Netflix, Bank of America, and Procter & Gamble are among those reports that investors will be watching closely.

US indices are seeing diverging performance, with the DJIA looking relatively weak and the Nasdaq 100 uptrend remaining healthy.

With most major events scheduled outside the continent, EUR/USD direction looks set to be dictated by external influences next week. Preference is to sell rallies given the technical breakdown on Friday.

Gold and silver are doing exactly what you’d expect after breaking long-running resistance. And that's before you consider fundamentals such as geopolitics, central bank purchases, limited mine development, rising inflation expectations and troubling fiscal outlooks from some of the world’s largest economies.

Another day, another milestone for USD/JPY which closed above 152 for the first time in nearly 34 years on Thursday.

DAX technical levels and factors to watch on the German index as it tests the pivotal 18,000 level with the focus turning on the ECB rate decision, while US sticky inflation concerns make unwelcome return ahead of PPI data.

EUR/USD looks to ECB rate decision after hot US inflation. USD/JPY rises to 153.24 post US CPI & ahead of PPI.

All eyes are on today's ECB meeting, Fed speakers and US PPI figures to see if it can drive ERUR/USD lower or spark a rebound, after it suffered its worst day in 13 months on Wednesday.