The Colombia Consumer Price Index (CPI) for January is 1.18%. This figure matches forecasts and shows the current economic situation in the country. Economists and policymakers are closely monitoring inflation trends.

Currency Markets Update

Meanwhile, the Euro to US Dollar exchange rate has reached a two-day high, with the Euro gaining strength against the Dollar. Positive sentiment in the currency market is driving this change. As a result, the British Pound has strengthened against the Dollar, returning to the 1.3600 level after two days of losses. Gold prices are rising, now above $4,900. This surge is due to a shift towards safe-haven assets amid changing market conditions. At the same time, major cryptocurrencies like Bitcoin, Ethereum, and XRP are recovering after recent fluctuations. Bitcoin is trading over $65,000, with Ethereum around $1,900. However, market sentiment remains cautious, as upcoming economic indicators and central bank actions could affect future trends. Looking back, Colombia’s January 2025 inflation report met expectations, but the 1.18% monthly figure was still high. Fortunately, the latest data for January 2026 shows inflation cooling to an annual rate of 4.5%. This slowdown suggests that the central bank’s strict policies worked, and we may see potential rate cuts later this year. The optimistic mood that boosted the Euro early last year feels different now, with market trends driven by central bank policies. The Euro is currently much stronger against the Dollar, close to 1.10, as the European Central Bank adopts a hawkish stance compared to the slowing U.S. economy. Derivative traders might consider strategies that take advantage of this ongoing policy divergence, which seems stable.

Gold and Crypto Market Trends

We remember when the Pound regained the 1.3600 level in early 2025, but that now looks like a peak. Currently, the Pound is struggling to maintain 1.2800 against the Dollar due to disappointing economic growth figures for the last quarter of 2025. Rising implied volatility in GBP options indicates market uncertainty, providing opportunities for those betting on larger price swings. Gold’s rise we saw early last year has continued into 2026. It is now trading above $2,500 an ounce, driven more by the expectation that the Federal Reserve will start cutting interest rates by mid-year than by general risk aversion. This environment is good for long positions, and call options may be a way to benefit from further gains due to falling real yields. The recovery in the crypto market we noted in early 2025, when Bitcoin surpassed $65,000, marked the start of a strong upward trend. Today, Bitcoin is trading near $85,000 after a wave of new institutional adoption in late 2025, while Ethereum has settled around $4,500. High open interest in futures contracts shows that larger players believe this upward trend will continue. Create your live VT Markets account and start trading now.

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