Global stock markets are experiencing strong growth despite the Middle East conflict.
Global stock indices rose on Friday, as investors maintained their sentiment amidst the tense developments in the Middle East. They shifted capital away from safe-haven assets like gold, while increasing investments in riskier assets. Stocks in Europe and Asia surged, contrasting with the slight decline in US futures.
The European market and key indices.
According to data from Reuters, the Stoxx 600 index of Europe increased by 0.6% during the Friday morning session. Almost all sectors reported growth, except for the oil and gas sector which remains under pressure from the tense situation between Israel and Iran.
Germany's DAX index led the region with an increase of 1.2%. Brent crude oil fell by $1.78 to $77.07 per barrel, marking a decrease of 2.3%. Nevertheless, the market still predicts a decrease of 1.1% this week, reflecting strong volatility in energy stocks.
The impact of political volatility on the cryptocurrency and gold markets.
In this uncertain context, investors remain cautious. The yield on the US 10-year Treasury bond rose slightly to 4.417%, while gold continued to decline by 0.5% to $3,354 per ounce, preparing to lose 2.3% for the week.
This proves that diversifying the investment portfolio remains the optimal strategy. Cryptocurrencies, like Bitcoin, are becoming an attractive alternative for investors seeking high liquidity during turbulent times.
The US Dollar Index and capital flow trends.
The US Dollar Index rose strongly by 0.6% over the week, marking the highest increase in more than a month, indicating that capital is flowing strongly into USD-based currencies. Investors have prioritized cryptocurrency and higher liquidity assets like gold due to concerns about global risks.
US futures markets are also reflecting cautious sentiment, with indices like Nasdaq, S&P 500, and Dow all experiencing slight declines after the holiday.
Asia welcomes expectations of economic stimulus and supportive signals from the central bank.
Asian stocks rose, thanks to stimulus policies from South Korea, as new President Lee Jae Myung launched a budget expansion plan, pushing the Kospi index above 3,000 points for the first time since early 2022. Cryptocurrency continues to attract interest as a form of asset diversification.
The People's Bank of China maintained the basic interest rate, with the yuan slightly increasing to 7.18. Meanwhile, inflation data in Japan surged, which may prompt the Bank of Japan to raise interest rates soon to curb the rising yen.
Fluctuations in currencies and their impact on the cryptocurrency market.
The currency markets in Europe and Australia saw slight declines, with the Swiss franc depreciating while the Norwegian USD fell by 1% as Norges Bank cut rates by 25 basis points.
In this context, cryptocurrency has stood out as a hedge against inflation and geopolitical issues, as investors seek new benchmarks for global capital flows.
Source: https://tintucbitcoin.com/chung-khoan-toan-cau-tang-vot-vang-giam-manh/
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