It’s Wednesday, and while the macro calendar is quiet, the markets are far from dull.
The only economic release on the agenda today is existing home sales from the U.S., which makes it an unusually light Wednesday on the macro side. But the real focus is elsewhere — namely, in corporate earnings and geopolitical developments.
The earnings calendar is packed, with major reports expected from Google (Alphabet), Tesla, T-Mobile US, IBM, and AT&T. These will be key for market momentum through the U.S. session.
The headline driver this morning is the surprise deal between the United States and Japan, announced by Donald Trump. According to the statement, Japan will invest heavily in the U.S. and has agreed to reciprocal tariffs of 15%. The deal has been interpreted as positive for markets, fueling optimism and lifting global indices early in the day.
Stock indices are climbing, with gains across both European and U.S. futures — a bullish follow-through after a soft start to the week.
On the FX front, we’re seeing clear strength in commodity currencies: the Australian dollar, New Zealand dollar, and Canadian dollar are all rising. The British pound is also gaining, with particularly strong moves seen in GBP/JPY and GBP/USD. Meanwhile, the Japanese yen and U.S. dollar are under pressure, likely in response to the trade deal and risk-on tone.
In commodities, oil remains weak, edging lower and threatening another bearish leg if support levels give way. In contrast, metals are holding firm. After Tuesday’s strong session, gold is slightly subdued this morning but remains in a positive weekly trend. Silver, platinum, and copper continue to benefit from the upbeat momentum.