Bitcoin Below 34,000. Leonardo in Evidence

Markets’ fear of a 0.75% rate hike in June by the Federal Reserve and the Chinese government’s assertion of Covid-zero policy put Asia in trouble earlier in the week. At 7:10 Italian time, the Nikkei lost 2.4%, Hong Kong was closed for holidays, Shanghai moved above average, while the Dow Asia index fell 1.5%. And gold, in turn, lost 0.6% to $1,871 an ounce, while US West Texas Intermediate crude, pending G7 sanctions on Russian crude oil and gas, rose 0.25% to $110 a barrel. Meanwhile, the dollar is getting excellent again, the dollar is rolling at an average of 0.4% against the majors, the euro is changing at 1.0506, the yen is at 131.05, and the pound is at 1.2276, while the 10-year T-bond yields 3.14% (the BTP 3.15%) and Wall Street futures are losing more than 1%. The very sudden upward trajectory of the cost of money is causing investors to fear that Western economies will end in recession this year, and also because President Xi Jinping stressed over the weekend the importance of keeping cities closed due to contagion of Omicron variables. Covid. “We’ve seen a series of price increases and hawkish calls on the back of a downturn in Chinese and European activity, new sanctions on Russia and continued supply-side pressure,” Barclays analysts warned. This leads to persistent inflation expectations that will force central banks to raise interest rates despite the sharp slowdown in growth. Chinese Prime Minister Li Keqiang has warned of a “complex and dangerous” employment situation since Beijing and Shanghai tightened population movement restrictions (there are nearly 50 million people in the two big cities) in an effort to contain the Covid outbreak. In the most important cities of the country. The government has instructed all government departments and regions to prioritize measures to help companies retain jobs and overcome current difficulties, the government said at the weekend. “Employment stability is important to people’s livelihood, and it is a major support to allow the economy to operate within a reasonable range,” Li said, urging enterprises to resume production with countermeasures. The unemployment rate rose to 5.8% in March, the highest level since May 2020. Last week, Chinese leaders warned against attempts to question the country’s Covid Zero strategy. Meanwhile, John Lee, who appointed Hong Kong’s chief executive in an election described as unfair, has vowed to boost national security and speed up the city’s integration with mainland China. Speaking shortly after the victory was declared, the former police officer and security minister made it clear that the new job required accountability to both Beijing and the city. Exports from China increased 3.9% year-on-year in April, beating market expectations of +3.2%, a value contained when compared to +14.7% in March. This was the first increase in 18 months, although uncertainty over the war in Ukraine continued, but also the weakest since June 2020. Imports into China remained unexpectedly stable from a year earlier again in April compared to market expectations. After a 0.1% drop in the previous month. Imports of copper (the metal used in industrial processing) fell 4.0% year on year. China’s foreign exchange reserves also fell by $68 billion in April to $3.120 billion, the lowest since June 2020 and below expectations of $3.133 billion. It was the biggest drop in 5 years as the dollar rose at its highest levels since 2002. Meanwhile, gold reserves settled at 62.64 million ounces in April, unchanged from March, but its value declined. To 119.73 billion dollars from 121.66 billion dollars previously. (All rights reserved)

Markets’ fear of a 0.75% rate hike in June by the Federal Reserve and the Chinese government’s assertion of Covid-zero policy put Asia in trouble earlier in the week. At 7:10 Italian time, the Nikkei lost 2.4%, Hong Kong was closed for holidays, Shanghai moved above average, while the Dow Asia index fell 1.5%. And gold, in turn, lost 0.6% to $1,871 an ounce, while US West Texas Intermediate crude, pending G7 sanctions on Russian crude oil and gas, rose 0.25% to $110 a barrel. Meanwhile, the dollar is getting excellent again, the dollar is rolling at an average of 0.4% against the majors, the euro is changing at 1.0506, the yen is at 131.05, and the pound is at 1.2276, while the 10-year T-bond yields 3.14% (the BTP 3.15%) and Wall Street futures are losing more than 1%. The very sudden upward trajectory of the cost of money is causing investors to fear that Western economies will end in recession this year, and also because President Xi Jinping stressed over the weekend the importance of keeping cities closed due to contagion of Omicron variables. Covid. “We’ve seen a series of price increases and hawkish calls on the back of a downturn in Chinese and European activity, new sanctions on Russia and continued supply-side pressure,” Barclays analysts warned. This leads to persistent inflation expectations that will force central banks to raise interest rates despite the sharp slowdown in growth. Chinese Prime Minister Li Keqiang has warned of a “complex and dangerous” employment situation since Beijing and Shanghai tightened population movement restrictions (there are nearly 50 million people in the two big cities) in an effort to contain the Covid outbreak. In the most important cities of the country. The government has instructed all government departments and regions to prioritize measures to help companies retain jobs and overcome current difficulties, the government said at the weekend. “Employment stability is important to people’s livelihood, and it is a major support to allow the economy to operate within a reasonable range,” Li said, urging enterprises to resume production with countermeasures. The unemployment rate rose to 5.8% in March, the highest level since May 2020. Last week, Chinese leaders warned against attempts to question the country’s Covid Zero strategy. Meanwhile, John Lee, who appointed Hong Kong’s chief executive in an election described as unfair, has vowed to boost national security and speed up the city’s integration with mainland China. Speaking shortly after the victory was declared, the former police officer and security minister made it clear that the new job required accountability to both Beijing and the city. Exports from China increased 3.9% year-on-year in April, beating market expectations of +3.2%, a value contained when compared to +14.7% in March. This was the first increase in 18 months, although uncertainty over the war in Ukraine continued, but also the weakest since June 2020. Imports into China remained unexpectedly stable from a year earlier again in April compared to market expectations. After a 0.1% drop in the previous month. Imports of copper (the metal used in industrial processing) fell 4.0% year on year. China’s foreign exchange reserves also fell by $68 billion in April to $3.120 billion, the lowest since June 2020 and below expectations of $3.133 billion. It was the biggest drop in 5 years as the dollar rose at its highest levels since 2002. Meanwhile, gold reserves settled at 62.64 million ounces in April, unchanged from March, but its value declined. To 119.73 billion dollars from 121.66 billion dollars previously. (All rights reserved)


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