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The Conference Board’s Confidence Index remains at low levels through February 2026, though readings stay above pandemic-era troughs. Divergent data from the SF Fed News Sentiment Index reflects a complex and fragile consumer economic outlook.

Rising US-Iran tensions and a military buildup spark market concerns over potential conflict involving China. Traders are also weighing the impact of President Trump’s executive orders and key economic data ahead of the 2026 midterms.

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USD/JPY hit 156 as the Japanese yen weakened following the nomination of dovish Bank of Japan officials. Technical indicators show a bullish double-bottom pattern, pointing to potential gains toward the 159.63 resistance level.

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