The South African rand remained steady on Wednesday as markets awaited the release of US GDP data and inflation figures later this week. By 16h02, the rand traded at 18.39 against the US dollar, unchanged from the previous session’s close. The dollar gained about 0.10% against a basket of currencies. Domestic data showed a slight uptick in South African consumer inflation for January, which came in at 3.20% year-on-year, up from 3% in December, but still within the South African Reserve Bank's target range of 3% to 6%. Despite the rise in inflation, the rand remained subdued, reflecting the Reserve Bank's recent cautious stance on inflationary risks, according to Zain Vawda, market analyst at MarketPulse by OANDA, as reported by Reuters.

Wall Street made a strong recovery on Wednesday, with the S&P 500 climbing 0.60% and the Nasdaq rising 1%, bouncing back after four consecutive sessions of losses. The Dow Jones also gained over 100 points. Consumer discretionary and tech sectors led the charge, while consumer staples lagged behind. Nvidia shares saw a 2.60% boost as investors eagerly awaited the company's earnings report, scheduled for release after the market close, with particular interest in the potential effects of the DeepSeek emergence. Meanwhile, Intuit surged more than 12%, hitting an 8-week high of $637.89, following a positive earnings report.

In the Eurozone, stocks finished sharply higher on Wednesday after a series of lacklustre sessions, bolstered by strong corporate earnings. Investors continued to weigh the impact of US trade barriers and the prospects of higher government spending on defence. The STOXX 50 surged 1.50% to 5 530, just 5 points shy of its record, while the STOXX 600 gained 1.60%, hitting a new all-time high of 560. AB InBev saw an 8.70% jump after reporting stronger-than-expected profits for the fourth quarter, and Munich RE rose 4.80% following an earnings beat and an increased dividend payout.

In contrast, Asian markets faced a downturn, with the Japanese Nikkei 225 Index falling 0.25% to close at 38 142, hitting a three-month low. The decline reflected concerns over economic growth and mirrored losses on Wall Street. Investors in Japan are also awaiting Nvidia’s earnings report later today to gauge whether the artificial intelligence sector's rally can continue. Meanwhile, traders in Japan are gearing up for a series of key economic reports due on Friday, which may provide fresh insights into the Bank of Japan’s future monetary policy.

In China, the markets followed a more positive trajectory, with the Shanghai Composite rising 1.02% to close at 3 380 and the Shenzhen Component gaining 0.93% to 10 956, reversing a two-day losing streak. Technology stocks led the charge, benefiting from the artificial intelligence boom in China. Markets also digested the latest updates from the National People’s Congress, where policymakers emphasised efforts to strengthen the private economy, boost business confidence, and stabilise market conditions. Earlier in the week, Chinese stocks had faced pressure after US President Donald Trump announced tighter semiconductor restrictions on China.

Turning to commodities, WTI crude oil futures slipped below $69 per barrel on Wednesday, nearing their lowest level since 10 December, as concerns about rising supply and a weakening demand outlook weighed on prices. Gold also hovered near a one-week low of $2 910 per ounce, as investors took profits and signs of slowing demand emerged.