Bitcoin surging once more
03/07/2019

After it fell as low as $9,728.50 yesterday, Bitcoin starts its rebounce on Wednesday during early morning trades in Asia.

At 03:45 GMT, Bitcoin gained around 8.9% and reached $11,338.7.

As from last Thursday, Bitcoin started to fall and dropped by almost $4,000 from its recent highs.

There is often a positive relationship between Bitcoin and other major cryptocurrencies.

This has again been proven with Litecoin and Ethereum. Both were up by 1.5% and 2.6% respectively.

Nevertheless, Ripple (XRP) dropped by 0.8% to 0.40247.

No major change in the Dollar and Euro despite Christine Lagarde nomination to lead the ECB

According to reports, Christine Lagarde, the chief of the International Monetary Fund (IMF) has been nominated to lead the European Central Bank (ECB).

Nevertheless, the US dollar and Euro saw minimal change in Asia on Wednesday.

The U.S. dollar index traded near flat at 96.282.

In the west, the US President is considering to nominate the executive vice president at the Federal Reserve Bank of St. Louis, Christopher Waller and the economic adviser to the president during his 2016 campaign, Judy Shelton to replace the current Federal Reserve chairman, Jerome Powell.

Last month, Shelton said in an interview that she would cut interest rate to 0% within two years of time if she is appointed.

After the Reserve Bank of Australia (RBA) cut rates to a record low of 1%, the AUD/USD pair rose by 0.1% to 0.6997.

Similarly, the EUR/USD pair was up at 1.1287 while the USD/JPY pair was dropped by 0.3% to 107.60.

Asian stocks fall amid uncertainties in regards to trade talks

Yesterday, the White House trade advisor, Peter Navarro hinted out that the trade deal between the US and China is a long distance away.

As a result, during early morning trades in Asia, stocks fell.

At 03:30 GMT, the Shenzhen Component dropped by 0.9% while China’s Shanghai Composite went down by 0.7%.

Hong Kong’s Hang Seng Index also fell by 0.3%.

According to Navarro, the deal documentation has over 150 pages and it will take time to go through all these properly in order to avoid any confusion.

Consequently, Japan’s Nikkei 225 dropped by 0.7% despite a stronger yen.

South Korea’s KOSPI was also down by 0.9% while Australia’s ASX gained by 0.5%.

Financial Events to watch for today

  • 08:30 GMT – Services PMI (Jun) [UK]
  • 12:15 GMT – ADP Nonfarm Employment Change (Jun) [USA]
  • 14:30 GMT – Crude Oil Inventories [USA]