Markets Digest Hot US Data, Await Inflation Clues
26 September 2025
Hello traders, welcome to Friday. We’re closing out what has been a volatile week, and yesterday added plenty of fuel to the fire.Thursday’s highlight was the US GDP reading, which smashed expectations at 3.8% versus 3.3% forecast. Together with lower unemployment claims and stronger durable goods orders, the data painted a picture of resilience in the US economy. The reaction was sharp: the dollar surged across the board, leaving its peers under heavy pressure. Equities, on the other hand, struggled under the weight of stronger macro numbers, as traders priced in the possibility of tighter-for-longer policy. American indices wavered but eventually found some intraday support, while European indices remained stuck in red territory.
Commodities had a mixed Thursday session.Oil pushed higher again, continuing the bullish streak that defined much of the week, while precious metals gave back some of their earlier gains. Silver, despite touching fresh highs earlier, flattened into a sideways correction, showing strong buyer interest but also fatigue after a steep run. Gold mirrored the move, softening in late trading but still holding above key support. The resilience in metals keeps the longer-term sentiment constructive, even if the short-term picture shows hesitation.
And now we turn to Friday morning.The Asian session brought us a softer Tokyo Core CPI at 2.5%, weaker than the 2.8% expected. The yen briefly strengthened on positioning but quickly returned to its longer-term trend of weakness. European futures are flashing green at the open, signaling cautious optimism and an attempt to recover from the recent bearish correction. The dollar remains strong into the European session, extending its Thursday gains, while antipodean currencies and the pound continue to lag. Traders are now bracing for Canadian GDP and, more importantly, the US Core PCE Price Index — the Fed’s preferred inflation measure — which will set the tone for the dollar and indices heading into the weekend.