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Major U.S. indexes ended the week positively, with small- and mid-cap stocks outperforming larger counterparts despite declines in tech giants like Nvidia and Alphabet. The Russell 2000 rose 4.5%, reflecting a shift in investor focus towards cyclical sectors and smaller companies. Meanwhile, the People’s Bank of China maintained its lending rate, and developed nations pledged $300 billion annually to combat climate change at COP29.
Bitcoin paused just below $100,000 as traders assessed the optimism from President-elect Trump's pro-crypto stance. The cryptocurrency dipped to $95,776 before recovering to $98,065, while US bond yields showed signs of stabilization after a two-month selloff. Oil prices reached two-week highs amid rising geopolitical tensions, and US business activity hit a 31-month high, reflecting hopes for pro-business policies under Trump. Meanwhile, Nvidia shares fell over 3% due to disappointing revenue growth projections, and the SEC summoned Gautam Adani over bribery allegations.
Major U.S. indexes ended the week positively, with the Dow Jones up 2% and the Russell 2000 surging 4.5%, as investors shifted focus from large-cap tech to small- and mid-cap stocks. Despite Nvidia and Alphabet facing declines, Amazon's $4 billion investment in AI startup Anthropic highlights ongoing interest in the sector. At COP29, developed nations pledged $300 billion annually to combat climate change, significantly increasing their previous commitment.
The Indian stock market is currently facing a downturn, yet some stocks are demonstrating bullish trends amidst the bearish sentiment. As Bitcoin approaches a six-figure valuation, these stocks may be positioned for significant gains if the Nifty50 index continues to show signs of recovery. Investors should keep an eye on these potential breakout opportunities.
Bitcoin's rally has stalled after approaching the historic $100,000 mark, retreating to as low as $95,776. The digital asset came within $300 of the milestone but struggled to maintain momentum, reflecting concerns over overblown investor optimism linked to President-elect Donald Trump's support for cryptocurrency.
State Street's George Milling-Stanley cautions that the recent bitcoin rally may mislead investors, diverting them from gold's stability. He emphasizes that while bitcoin is a speculative return play, gold has consistently appreciated, suggesting it could reach over $100,000 in the next 20 years. Despite acknowledging the uncertainty of gold's future, he believes it will perform well.
Trump has appointed hedge fund manager Scott Bessent as Treasury Secretary, leveraging his investment expertise to navigate a slowing global economy and the dollar's status. Bessent advocates for bank deregulation and supports a friendlier approach to cryptocurrency, earning praise from Republicans and Wall Street figures, while facing criticism from Democrats and progressive groups for his ties to the financial elite.
The speculative frenzy on Wall Street is intensifying, with gamblers pouring billions into leveraged markets despite a cooling trend in traditional stocks and corporate credit. Heavy trading and significant price fluctuations are evident in assets like cryptocurrencies and leveraged exchange-traded funds, even as volatility in the S&P 500 and Nasdaq 100 begins to stabilize.
Bitcoin is testing the $100,000 mark as the weekend approaches, highlighting a significant moment in the cryptocurrency market. CNBC Crypto World provides daily updates and insights, featuring Bitwise CEO Hunter Horsley, who discusses the ongoing crypto rally and potential corrections on the horizon.
MicroStrategy Inc.'s shares experienced a significant surge last month, leading to challenges for Matt Tuttle's leveraged ETF, the T-Rex 2X Long MSTR Daily Target ETF (MSTU). Prime brokers informed Tuttle that they had reached their limits on swap exposure for the fund, which had quickly become one of the most volatile ETFs on Wall Street.
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