According to PANews, QCP Capital stated that the New Taiwan Dollar surged 8% on Monday, while other Asia-Pacific currencies like the South Korean Won generally strengthened, with the spot and one-year forward contract spread for the New Taiwan Dollar reaching a 20-year high. The main reasons are the increasing speculation regarding a US-Taiwan trade agreement and Taiwanese insurance institutions increasing their dollar asset hedges.
QCP believes this could be an early signal of a global capital flow adjustment, similar to the significant fluctuations in the yen last year due to interest rate differentials. Gold prices rose nearly 3% on Monday, reflecting market concerns about a weakening dollar and geopolitical risks. In the future, Bitcoin may be affected by this, either decoupling from gold trends or benefiting from progress in trade negotiations, with the foreign exchange market potentially serving as a barometer for macro changes.
