Summary:
- US500 breaks to all time high at 2600
- DE30 recovers to hit highest level of the week
- USDTRY also rises to all time peak
- Bitcoin and Dash make record highs
- NZD attempts to bounce despite large GDT drop
Today has been a record breaking session in many ways with all-time peaks tumbling in several markets. First of, let’s begin with US stocks as they have enjoyed a strong up day as the US has breached its previous peak to hit a new high of 2600.
The positive global risk appetite has been arguably down to the DE30 and the market’s reaction to the failed German coalition talks. After opening lower on Monday the index has first recovered the drop before today moving above last week’s high. Such a strong reaction to potentially negative news could bode well for bulls going forward who may well have further gains in their sights.
The second market making all-time records today is the Turkish Lira, but this time for all the wrong reasons. The currency has fallen to an all-time low against both the USD and Euro as president Erdogan continues to pursue unorthodox policies relating to monetary policy and inflation.
The price action in Bitcoin is similar to that in the DE30, in that despite a fairly strong fundamental reason for declines the market is charging higher. The cryptocurrency swooned overnight and dropped around 5% after reports of a $31M theft from a digital wallet but the bulls were unperturbed by another example of security risk surrounding the asset class and gleefully bought the dip, pushing price back above its previous high to post a new all-time high above 8300. Also in the crytpo space its worth mentioning Dash which has rallied more than 12% to top the 500 level for the first time.
The latest GDT auction results are in with the price index showing a second consecutive large drop in coming in at -3.4%. Despite the decline the New Zealand dollar has been on the rise today with the Kiwi appreciating against most of its peers.
Finally, Gold has recovered somewhat today after some sizable declines during Monday’s session. A technical overview of the market can be found here.