Argentina’s trade balance for December showed a much smaller surplus than expected. It was only $1 million, while analysts had predicted $1.37 billion. This result suggests that trade activity was weaker than anticipated, highlighting ongoing challenges in Argentina’s economy.

Currency Movements and Market Reactions

Recent analysis indicates that the NZD/USD is trading at around 0.5825. In contrast, XAU/USD has climbed above $4,750 due to geopolitical tensions. The EUR/USD has risen to about 1.1725 because of trade disputes with the US. The GBP/USD has remained stable despite concerns over UK inflation and a weaker USD. Meanwhile, USD/JPY has held steady above 158.00 amid threats from US tariffs and financial issues in Japan. These market disturbances have also affected the Dow Jones Industrial Average due to tariff threats. Gold prices and cryptocurrencies have reacted to these tensions, with Ethereum dropping below $3,000. For investors, it’s important to understand the available brokerage options. The article provides insights into top forex brokers and their advantages, advising a careful review of terms before investing. All opinions expressed are from contributors and do not reflect FXStreet’s official stance.

Economic Indicators and Trading Recommendations

Argentina’s trade balance for December 2025 was far below expectations, reporting only $1 million vs. the anticipated $1.37 billion. This points to significant economic distress, especially as the central bank reported a staggering 180% annual inflation rate for the fourth quarter of 2025. This situation suggests considering put options on emerging market ETFs that are heavily tied to Latin American debt. The ongoing tariff threats from the US against Europe over Greenland have driven investors toward safer assets. This fear has pushed gold prices above $4,750 an ounce, a level not seen since the brief panic during the Taiwan Strait simulations in 2025. Traders should consider call options on gold miners (GDX) or the main gold ETF (GLD) to benefit from this uncertainty. The geopolitical tensions are also affecting the US dollar, with the EUR/USD rising above 1.1700. The Dollar Index (DXY) hasn’t remained below 95.0 since the second quarter of 2025, indicating a strong bearish trend. Buying call options on the Euro or selling USD/JPY futures could effectively capitalize on the dollar’s continued weakness in the coming weeks. US equities are taking a hit as the Dow Jones reflects the risk-off sentiment. The CBOE Volatility Index (VIX) remains high, averaging over 28 in the early weeks of January 2026, representing a significant premium. Holding or buying put options on major indices like the S&P 500 (via SPY) seems to be a sound strategy against future tariff-related announcements. Create your live VT Markets account and start trading now.

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