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Asian stocks saw a slight increase as investors prepared for the Federal Reserve's final policy decision of the year, with a regional gauge rising 0.3%. Notably, Nissan's shares surged 24% amid merger talks with Honda, while US futures also ticked higher. The Fed is expected to cut interest rates by 25 basis points, with attention on its outlook for 2025 amidst mixed US economic data and potential inflationary pressures from proposed policies.
European Parliament member Sarah Knafo has proposed establishing a Bitcoin strategic reserve for the EU, echoing optimism from the US under President-elect Donald Trump, who plans a similar initiative. Knafo criticized the European Central Bank's digital euro plans, advocating for Bitcoin as a means to protect against inflation and promote financial freedom. This proposal has contributed to a Bitcoin price rally, reaching an all-time high of $107,780.58, with expectations of continued growth amid increasing institutional interest.
U.S. stock indexes pulled back, with the S&P 500 down 0.4% and Nvidia's stock falling 1.2%, marking its eighth loss in nine days. Despite this, the S&P 500 is up nearly 27% for the year, buoyed by strong economic resilience and expectations of favorable policies from President-elect Trump. Bitcoin briefly surpassed $108,000 before retreating to around $106,500.
Bybit will cease its withdrawal and custody services in France starting January 8, 2025, transferring user funds to Coinhouse, a regulated French platform. Accounts with 10 USDC or less will incur a termination fee, while those with higher balances will be converted to USDC and transferred. Users must register with Coinhouse and complete KYC to avoid monthly custody fees.
Sandoz has agreed to a $275 million settlement to resolve class action antitrust litigation in the US related to historical price-fixing allegations, with payments expected by the end of 2024. Additionally, the company has made a further provision of $265 million linked to the case.
Asian shares mostly declined following a record-setting day for the Nasdaq ahead of the Federal Reserve's upcoming interest rate decision. Tokyo's Nikkei 225 fell 0.2%, while Chinese markets continued to slide, with the Hang Seng down 0.1% and the Shanghai Composite losing 0.7%. In the U.S., the S&P 500 rose 0.4% and the Nasdaq climbed 1.2% to a record close, driven by strong performance from Broadcom. The Fed is expected to announce a third consecutive rate cut, aiming to support the job market as inflation stabilizes near its 2% target.
Asian stocks fluctuated as the dollar remained stable ahead of key central bank meetings, with expectations of a U.S. rate cut and the Bank of Japan maintaining its current stance. Bitcoin hovered near its record high, while the yen struggled amid low rate hike prospects. The Fed's upcoming dot plot will be closely watched for indications of future monetary policy adjustments.
The stock market faced a significant downturn, with the BSE Sensex dropping over 1,000 points and the Nifty 50 declining by 1.4%. Key factors included investor caution ahead of the US Federal Reserve's meeting, fears of foreign institutional investor selling due to China's budget deficit plans, and weak global market cues. Among the major losers were HDFC Bank, Reliance Industries, and TCS, while only ITC and Hindustan Unilever showed gains in the Sensex.
Asian shares showed mixed performance following a record-setting day for the Nasdaq, as investors await the upcoming Federal Reserve meeting. Market sentiment remains cautious as traders analyze potential implications of the Fed's decisions on interest rates and economic outlook.
Asian shares showed mixed results following a record-setting day for the Nasdaq, as investors await the Federal Reserve's interest rate decision. Tokyo's Nikkei 225 rose 0.2%, buoyed by technology stocks, while Chinese markets declined amid disappointing economic data. South Korea's Kospi fell 1% amid political turmoil, while Australia's S&P/ASX 200 gained 0.8%. The Fed is expected to cut rates for the third consecutive time, with projections for future rate changes and economic indicators to be revealed post-meeting.
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