The EUR/USD jumped to a four-month high largely due to relief that a fresh trade conflict between the US and EU over Greenland was averted.
The British pound hit a multi-month high following better-than-expected data, reducing the chances of early rate cuts from the Bank of England this year.
The USD/JPY dropped to its lowest level this year after days of speculation ended on Friday with Japanese Prime Minister Takaichi dissolving parliament as the country prepared for early elections on February 8th.
Gold prices surged to record highs in a tense week for geopolitical developments. President Trump ruffled feathers at the World Economic Forum, but pulled away from tariffs on European countries. However, the US appears ready to strike Iran in the coming days.
US S&P 500 stock price fell in a volatile week after markets turned to the “sell America” trade, before US tariff threats were withdrawn after an agreement on Greenland was made. The earnings season continued with Netflix posting better-than-expected results.
Oil prices traded close to a ten-day high, with the commodity receiving support from expectations that Iran could be struck, as US warships continue to close in on the oil-rich country.