What are the main events for today?

European Session Highlights

Today's European session focused on the UK Consumer Price Index (CPI) report, which showed mixed results. The headline inflation outperformed expectations while core inflation fell short. However, both goods and services inflation ticked slightly higher, indicating a modest upside. Despite this, the Bank of England's stance remains unchanged, with no rate cuts anticipated until at least April.

Important Events in the American Session

Attention will shift to Davos in the American session as Trump delivers a speech at the World Economic Forum and meets with leaders regarding Greenland. Market participants are wary of potential de-escalation over Greenland, which could trigger a strong relief rally in risk assets. Conversely, further escalation could lead to increased risk aversion, with an eye on Trump's posts on Truth Social.

Trump’s Schedule

- 13:10 GMT/08:10 ET - Greeting WEF leadership - 13:30 GMT/08:30 ET - Trump’s speech - 14:45 GMT/09:45 ET - Meetings with leaders - 16:25 GMT/11:25 ET - Meetings with business leaders

Central Bank Speakers

- 07:30 GMT/02:30 ET - ECB's Lagarde (neutral - voter) - 09:15 GMT/04:15 ET - ECB's Villeroy (dovish - voter) - 16:45 GMT/11:45 ET - ECB's Lagarde (neutral - voter) - 18:30 GMT/13:30 ET - ECB's Nagel (neutral - voter) These events are likely to have a significant impact on short-term market trends.