SocGen's Overnight Economic News Summary

BY MT Newswires | ECONOMIC | 01/26/26 05:55 AM EST

05:55 AM EST, 01/26/2026 (MT Newswires) -- Societe Generale in its early Monday economic news summary pointed out:

-- The US dollar (USD) swoons as Japan ups intervention rhetoric, Asia/USD bid led by yen (JPY) and South Korea's KRW. Gold crosses $5,000, USD/JPY plummets 1.1% to 153.95. EUR/USD nears 1.19. USD/KRW -1.6% to 1,437. 10-year Japanese government bond -1.5bps at 2.22%, Bund -2bps at 2.885%, 10-year United States Treasury yield dips below 200dma (4.23%), shrugs off higher energy prices, S&P futures -0.1%.

-- New York Fed checked yen spot rates on Friday, signaling coordination with Japan. Prime Minister Takaichi: government is ready to take action, top currency diplomat Mimura: authorities will respond in close coordination with counterparts in the U.S.

-- Week ahead: Federal Reserve, Sweden's Riksbank and Bank of Canada forecast to stand pat. U.S. producer price index, durable goods orders, trade balance, consumer confidence. Eurozone Q4 gross domestic product, Germany Ifo survey, consumer price index for Germany and Spain. Brazil, South Africa, Hungary and Chile forecast to keep rates on hold.

-- Nikkei -1.8%, EUR 10-year IRS -2bps at 2.905%, Brent crude +0.5% at $66.2/barrel, Gold +2% at $5,093/oz.

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In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.

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