Hello everyone—we hope you enjoyed the holiday season and had a wonderful Christmas.

The festive season has been relatively quiet macro-wise, with only a few comments from the PBoC and BoJ. However, markets seem unwilling to move until there is news on the USD front, which has been driving almost all assets since December. The verbal interventions from the BoJ and the stimulus talks from the PBoC simply don’t suffice as USD rates have been rallying since early December. We are now back to a period where USD rates are the driver of nearly everything as we enter January.

As you know, we track high-frequency data across multiple economies on growth, liquidity, and inflation, enabling us to observe changes in the macro landscape much faster than official releases—which are typically weekly, monthly, or even quarterly.

Although the data front has been quiet in December, we thought we would provide you with the latest news from our “Regime Models,” giving you an actionable overview of which geographies and assets will perform well from the start of 2025!