DeepCap Friday Outlook

Market reacts to potential Fed leadership changes amid mixed global signals.

DeepCap Friday Outlook

The Day at a Glance

๐ŸŽฏ Theme: Market reacts to potential Fed leadership changes amid mixed global signals.
๐Ÿ“Š Risk Mood: Cautious (VIX 16.88, +3.24%)
โฐ Key Event: S&P Global Manufacturing PMI at 9:45 AM
๐Ÿ”ฅ DeepCap Focus: [Premium] See DeepList Watch โ†’

Key Headlines

  1. Stocks Rise as Tech Megacaps Step Up AI Spending: Markets Wrap
    Tech megacap activity around AI spending and positioning is influencing market sentiment.
  2. Emerging markets make roaring start to 2026 as dollar slides
    Broader macro snapshots on emerging-market performance and consumer/behavior trends shaping demand.
  3. At Worldโ€™s Busiest Port, Chinaโ€™s Unbalanced Economy Comes Into View
    Pieces highlighting structural imbalances and localized policy/market dynamics in China and the region.

The Day Ahead

Yesterday’s Takeaway
Markets re-priced rate risk after headlines that Kevin Warsh is the leading candidate for the Fed pick, sending US yields and rate-sensitive assets into a corrective move; that repricing helps explain goldโ€™s 4% slide and the broad risk pullback and sets a tone of higher-for-longer rates into todayโ€™s session. Expect headlines about the nomination process to keep moving US yields, equity sector leadership and safe-haven flows.

The Setup
Risk readings are mixed: the VIX ticked up to 16.88 (+3.24%), signaling a rise in short-term risk aversion, while the US 10-year yield rose to 4.27 (+0.71%)โ€”an elevated levelโ€”whereas the German 10-year fell to 2.84 (-0.7%), producing a clear US/Germany divergence. EUR/USD sits at 1.20, effectively flat, and EURIBOR 3M eased to 2.03. The split between rising US yields and softer bunds suggests US-specific rate repricing rather than synchronized global tightening; monitor whether higher US rates reweight global positioning or reignite dollar strength.

Today’s Watch
Key data and events: OPEC meeting at 10:00 (US), South Africa Q4 GDP at 06:00 (forecast 3.9% vs prior 4.8%), Australian S&P Global Manufacturing PMI at 22:00 (forecast 52.4 vs prior 51.6), and the BoJ Summary of Opinions at 23:50. Markets expect modest strength in Australiaโ€™s PMI and a slowdown in South African growth; surprises to either sideโ€”an unexpected OPEC output stance or a softer-than-forecast SA GDPโ€”could re-price oil and EM risk and feed back into US rate expectations. Focus the session on nomination headlines, US yield moves, and any OPEC signal that could shift inflation and rate bets.

Market Movers

๐Ÿ“ˆ Top Gainers

  • Modine Manufacturing Company โ€” +20.3%
  • Southwest Airlines Company โ€” +18.7%
  • Royal Caribbean Cruises Ltd. โ€” +18.65%
  • TAL Education Group โ€” +18.03%
  • Viavi Solutions Inc. โ€” +17.45%
  • Liberty Energy Inc. โ€” +16.24%
  • Innodata Inc. โ€” +14.36%
  • Brookdale Senior Living Inc. โ€” +10.6%

๐Ÿ“‰ Top Losers

  • Joby Aviation, Inc. โ€” -16.68%
  • SAP SE โ€” -15.2%
  • Vizsla Silver Corp. โ€” -14.87%
  • Las Vegas Sands Corp. โ€” -13.96%
  • Regencell Bioscience Holdings L โ€” -13.61%
  • Klaviyo, Inc. Series A โ€” -13.25%
  • Celestica, Inc. โ€” -13.1%
  • United Rentals, Inc. โ€” -12.86%

Key Events Today

Date Region Event Impact
Sat 01/31 CN NBS General PMI ๐Ÿ”ธ Med
Sat 01/31 CN PMI ๐Ÿ”ธ Med
Sat 01/31 CN NBS Manufacturing PMI ๐Ÿ”ธ Med
Sat 01/31 CN NBS Non Manufacturing PMI ๐Ÿ”ธ Med
Sun 02/01 AU S&P Global Manufacturing PMI ๐Ÿ”ธ Med
Sun 02/01 AU Judo Bank Manufacturing PMI ๐Ÿ”ธ Med
View Full Calendar

Fed Speak This Week

  • January 30 โ€” ECB Buch Speech
  • January 30 โ€” Bundesbank Buch Speech
  • January 30 โ€” Fed Bowman Speech (Hawk)

Macro Dashboard

Indicator Level ฮ” d/d ฮ” w/w 52W Range Signal
VIX 16.88 +3.24% +7.93% 15.12โ€“20.09 Neutral
EUR/USD 1.2 0.0% โ€” โ€” Neutral
EURIBOR 3M 2.03% -0.49% 0.0% 2.02โ€“2.04 Neutral
US 10Y 4.27% +0.71% +0.95% 4.14โ€“4.3 ๐Ÿ“ˆ Bid
DE 10Y 2.84% -0.7% -1.73% 2.82โ€“2.91 Neutral

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๐Ÿ“ฐ Yesterday’s Headlines (6 themes)

AI/Tech Valuation Jitters

Tech megacap activity around AI spending and positioning is influencing market sentiment.

Macro: Labor, Consumers & Growth

Broader macro snapshots on emerging-market performance and consumer/behavior trends shaping demand.

China/Asia Policy & Markets

Pieces highlighting structural imbalances and localized policy/market dynamics in China and the region.

Market Moves & Daily Wraps

Session wrap-ups and regional market opens that summarize equity/commodity moves and investor tone.

Sectors & Corporate Movers

Firm-level product moves and regulatory or client-demand shifts affecting specific sectors (tech, asset managers, prediction-platforms).

Other Market News

Additional headlines across various market themes.

Market Futures

Social Media Buzz

For your reading pleasure, not to be treated as advice of any sort.

This content is for informational purposes only and is not investment advice. Markets carry risk. Do your own research.