Picture the scene: early afternoon on the first Friday of the month. Suddenly, charts across the board start whipsawing – currency pairs go up and down, indices go up and down, and even gold can’t make up its mind. Welcome to Non-Farm Payrolls (NFP) Friday. Once a month, this US jobs report hits the wires and global markets often pause and brace for impact.
As the year winds down and the holiday season approaches, financial markets enter a unique environment. Liquidity thins, spreads shift, volatility becomes unpredictable, and trader behaviour changes as institutional desks slow down for the break.
Every December, markets enter a peculiar phase. Liquidity thins, trading desks quieten, sentiment shifts, and yet, historically, a surprising pattern often emerges.
December is one of the most unique months in the trading calendar. With thinner liquidity, shifts in market behaviour, and year-end flows shaping price action, traders need to stay sharp and structured.
