People walk past the entrance of a cryptocurrency trading office in Istanbul, Türkiye, on November 8, 2024.
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This report comes from today’s CNBC Daily Open, our international markets newsletter. CNBC Daily Open keeps investors updated on everything they need to know, no matter where they are. Like what you see? You can subscribe here.
What you need to know today
European stocks close higher
U.S. markets were closed Thursday for the Thanksgiving holiday. Pan-European Stoke 600 It rose 0.46%, down slightly from gains earlier in the day. British insurer Direct Line surged 41.4% to its highest level since early 2023 after it said a takeover bid from rival Aviva “significantly undervalues” the company.
U.S. eases ban on chip exports
Stocks of global semiconductor suppliers, e.g. ASML and Tokyo Electronicsjumped out on Thursday Report The United States may impose less stringent export restrictions than expected. According to reports, the United States is considering adding fewer Huawei suppliers to the export blacklist.
China tightens tungsten export controls
China will start restricting tungsten exports this weekend as measure Controls the movement of goods that can be used for military and civilian purposes. Argus said this is a sharp departure from the situation in past decades, when China controlled 80% of the tungsten supply chain. To make up for the drop in supply, companies are looking to open or resume tungsten mine production.
Russian ruble collapse
this Russian ruble It fell to 114 against the dollar on Wednesday. This is the lowest level since March 2022, shortly after the country invaded Ukraine. The Central Bank of Russia intervened that day. explain It will halt foreign purchases in its currency markets for the remainder of the year “to reduce volatility in financial markets.”
(PRO) “Europe is a stock picking market”
although Morgan Stanley The Wall Street bank downgraded European stocks to neutral earlier this year but has recently reassessed its stance. Morgan Stanley said “Europe is now a stock picking market” and there is “substantial scope to generate alpha” for the right stocks.
bottom line
Bitcoin Cryptocurrencies have been tantalizingly close to the $100,000 level this week – peaking just under $1,000 – but cryptocurrencies are unable to reach this psychological peak. It fell back to a low of $90,702.27 on Tuesday before rising to around $95,600 today.
One of the reasons for its decline is that investors profited from Bitcoin’s all-time high price, increasing the supply of Bitcoin. “Long-term holders have begun to allocate significant amounts to Bitcoin on the recent rally,” Andre Dragosch, head of European research at crypto-focused asset manager Bitwise, wrote in a research note shared on Monday.
But there are more fundamental reasons why some strategists are unsure whether Bitcoin can muster enough power to hit the six-figure milestone.
David Morrison, senior market analyst at brokerage Trade Nation, said the $100,000 mark “feels like it has become a high hurdle, even a barrier” to further gains.
In fact, George Milling-Stanley, chief gold strategist at State Street Global Advisors, said Bitcoin’s recent surge may have given investors a false sense of security. “Bitcoin, pure and simple, is a returns game,” Millin-Stanley said, suggesting that investors are pouring into Bitcoin for capital gains rather than because they see value or use in the cryptocurrency.
The launch of a spot Bitcoin exchange-traded fund option last week may have something to do with this. Options allow investors to deploy less cash to bet on Bitcoin’s price movement rather than buying a portion of Bitcoin itself.
In fact, Mike Novogratz, CEO of Galaxy Digital, a long-time cryptocurrency investor, told CNBC that “the cryptocurrency community has reached the limit of leverage, so there will be a correction.”
In other words, the adjustment is not a permanent deflation. If only a fraction of U.S. President-elect Trump’s promises to the cryptocurrency industry come to fruition, the $100,000 price level may not be a ceiling but just another rung Bitcoin passes on during its celebratory rise.
—CNBC’s Tanaya Macheel, Ryan Browne, MacKenzie Sigalos and Krysta Escobar contributed to this report.
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