Viewpoint: Global market liquidity is expected to rebound next week.
TL;DR
Danske Bank strategist predicts thin global market liquidity this week, with improvement expected next week as key US economic data, including non-farm payrolls, is released.
Tags
On January 2nd, Jens Naervig Pedersen, a foreign exchange and interest rate strategist at Danske Bank, stated in a report that global market liquidity is expected to remain thin this week but may improve next week. The strategist noted, "Looking ahead, market liquidity should improve next week as more economic data is released." Key data next week includes important US labor market data, such as the December non-farm payroll report released on January 9th and the ISM survey. Year-end typically sees many market participants on holiday or closing positions, leading to lower market liquidity. (Jinshi)