FX DAILY REPORT – 23 January 2025
- The Rand opened stronger against all the majors this morning.
- South Africa’s CPI inflation and retail sales data, released yesterday, revealed encouraging economic trends. Consumer Price Index (CPI) inflation rose by 3.0% year-on-year, slightly below the anticipated 3.2%, while retail sales surged by an impressive 7.7%. These results suggest a strengthening economy with inflation still under control, raising the possibility of additional interest rate cuts later this year.
- On today’s agenda, we have the release of U.S. initial jobless claims and a speech by President Trump scheduled for 18:00 this evening. President Trump has been announcing policies and making statements at a pace that markets are struggling to keep up with. As a result, market participants remain uncertain and are likely adopting a wait-and-see approach, focusing on the outcomes of these new policies.
Todays Events:
- US Initial Jobless Claims at 15:30 – Expected to be 221K compared to previous 217K. A higher-than-expected result can be seen as negative for the USD.
- US President Trump Speech at 18:00