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Bitcoin hits new report as traders pile into ‘Trump trades’

by Index Investing News
November 12, 2024
in Economy
Reading Time: 5 mins read
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This text is an on-site model of our FirstFT e-newsletter. Subscribers can signal as much as our Asia, Europe/Africa or Americas version to obtain the e-newsletter each weekday. Discover all of our newsletters right here

In at this time’s e-newsletter:

  • Buyers pile into ‘Trump trades’

  • China’s newest stimulus bundle disappoints traders

  • How Elon Musk may form Trump’s presidency


Good morning. Buyers betting that Donald Trump’s incoming administration can be a boon for the cryptocurrency business drove the worth of bitcoin to a brand new report yesterday, whereas the US greenback superior to a four-month excessive.

The world’s largest cryptocurrency, which has hit a sequence of report highs since final week’s election, surged greater than 10 per cent to surpass $88,000 for the primary time.

The Trump administration is predicted to be supportive of the crypto business and, with possible management of each chambers of Congress, would have higher energy to enact beneficial laws.

“Markets are in euphoria territory proper now,” mentioned Drew Pettit, director of US fairness technique with Citi. “The optimists are profitable by considering that Trump can be market- and economy-friendly. They’re skipping the argument that unhealthy issues might occur.”

Bitcoin was simply one of many property that jumped in continued market elation following the previous president’s victory final week — learn extra on the “Trump trades” that traders are piling into.

Right here’s what else we’re retaining tabs on at this time:

  • Financial knowledge: India publishes October inflation knowledge.

  • Indonesia: Following his state go to to China, new President Prabowo Subianto will meet US counterpart Joe Biden on the White Home.

  • Airshow China: The biennial aerospace commerce present opens in Zhuhai, which is able to showcase the newest Chinese language and Russian fighter jets.

  • Outcomes: SoftBank and Tokyo Electron report earnings.

5 extra high tales

1. Hong Kong shares fell yesterday after a fiscal stimulus bundle introduced by authorities final week to assist shore up China’s financial system underwhelmed traders. Right here’s why the $1.4tn plan didn’t excite.

2. Shigeru Ishiba has been confirmed as Japan’s prime minister, profitable a vote in parliament regardless of a common election defeat that leaves him as one of many nation’s weakest leaders in many years. Ishiba’s Liberal Democratic get together misplaced its parliamentary majority in October’s election, leaving it depending on the acquiescence of small opposition events to control.

3. Brussels is altering its spending insurance policies to probably redirect tens of billions of euros to defence and safety. The coverage shift comes as Russia’s conflict in Ukraine and Donald Trump’s return to the White Home heap strain on the EU to spice up funding.

4. A deal to launch multibillion-dollar carbon markets ruled by UN guidelines on emissions has been agreed on the COP29 local weather summit, which started yesterday in Azerbaijan’s capital Baku. The symbolic negotiating breakthrough got here as US President Joe Biden’s high local weather adviser conceded motion to restrict world warming “could also be placed on the again burner” after Donald Trump’s return to the White Home.

  • China’s cleantech increase: The nation’s inexperienced vitality success is fuelling its confidence in local weather diplomacy and serving to Beijing push again towards western political strain.

  • Opinion: Ought to a petrostate be allowed to host a COP? Pilita Clark weighs in on the talk because the local weather convention kicked off in oil- and gas-rich Azerbaijan.

5. Shares of gold producer Resolute Mining plunged yesterday after the corporate mentioned its chief govt Terence Holohan and two different staff had been detained in Mali. The executives have been within the capital Bamako to debate with officers “open claims made towards Resolute” that the group “maintains are unsubstantiated”, mentioned Resolute, which is listed in Sydney and London. Listed below are extra particulars.

Information in-depth

Elon Musk, centre, and clockwise from far left: Jared Birchall, Tim Hughes, Omead Afshar and Steve Davis © FT montage/Getty Photographs/Reuters/Bloomberg/YouTube

Elon Musk has a singular probability to form the US presidency by inserting his acolytes and allies contained in the incoming administration. At this time’s deep dive appears at how the world’s richest man is making ready to wield new energy in Washington.

We’re additionally studying . . . 

  • Trump’s European allies: The continent’s populist nationalists suppose historical past is popping of their route. However there are tensions simply beneath the floor, writes Gideon Rachman.

  • Weight reduction medicine: Hannah Murphy explains how adverts for anti-obesity drugs took over social media and why specialists are troubled.

  • New titans of Wall Avenue: From cleansing up after Lehman Brothers to early bets on bitcoin, Chicago buying and selling agency DRW has turn into an business colossus.

Chart of the day

Lingering shopper anger over excessive costs is hurting governments in superior economies regardless that inflation is subsiding to regular ranges, as a once-in-a-generation surge in prices leaves a poisonous legacy for incumbent politicians.

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Take a break from the information

Lululemon’s “little black stretchy pants” turned the athleisure model into a standing image for girls of a sure socio-economic tribe who drank matcha, practised yoga and had a excessive disposable revenue, writes Grace Cook dinner. However can Lulu win males over?

Lululemon desires to enchantment to males customers with each its sportswear and extra informal affords



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