🌏 Morning Update - 21 January 2026 Asia is stabilising after Tuesday’s sharp US sell-off, with most regional indices posting modest gains. Chinese benchmarks are up around 0.20%–0.40%, while Japan’s JP225 is leading the region, rising close to 1.10% as risk sentiment cautiously improves. 📈 🟡 Gold remains in the spotlight, extending its rally to fresh record highs near USD 4,880 per ounce. Since the start of the year, gold is up roughly 13%, suggesting that a significant portion of the gains forecast by banks for 2026 may already be priced in during January. ✨ 📉 US equities suffered their worst session since October. The US500 fell more than 2.00%, while the US100 lost up to 2.40%. Volatility spiked sharply, with the VIX jumping toward 21 points before easing back to around 19.8 in early trading today. ⚠️ 🎬 Netflix reported slightly better-than-expected Q4 earnings, with EPS at USD 0.56 versus 0.55 expected and revenues of USD 12.05bn. Free cash flow was notably stronger. However, guidance for Q1 was mixed, with operating profit and margin projections below market expectations. As a result, Netflix shares dropped around 5.40% in after-hours trading. 📺 💵 Currency markets are relatively calm, with most major pairs trading in narrow ranges. While the US dollar has weakened in the short term, analysts warn that the euro could prove more vulnerable if tensions between the US and the EU escalate further, particularly for highly export-oriented economies such as Germany. 💱 📊 Equity outlook: major investment banks continue to see upside for global equities over the next 12 months, driven primarily by earnings growth rather than valuation expansion. Despite this, the US500 remains about 1.10% lower year-to-date. 📉➡️📈 🏦 Japan: government bonds edged higher after a sharp sell-off earlier in the week, helping to stabilise sentiment in Asian fixed income markets.