Bitcoin hit a new peak above $109,000 and the US dollar fell on Monday, as investors pondered the fallout from Donald Trump’s second presidency.
Stock futures rose, following gains achieved by stock markets in Asia and Europe. As of 12:05 PM EST, shortly after Trump was sworn in, contracts tied to the major indexes were up about 0.5%. US stock and bond markets were closed on Monday for Martin Luther King Jr. Day.
Bitcoin rose to trade as high as $109,225, an intraday record. According to the CoinDesk indicatorbefore retreating. It traded at less than $105,000 shortly after Trump was sworn in.
Trump has positioned himself as a champion of cryptocurrencies, and has pledged to take steps such as… Creation of the American Bitcoin stock. Since his election, Bitcoin has risen more than 50%.
The president-elect and his wife Melania Started selling new cryptocurrencies In recent days, meme coins called $TRUMP and $MELANIA have appeared. The projects quickly drew pushback, with some critics saying the tokens created a major conflict of interest.
Before opening, The Wall Street Journal reported that Trump does not intend to impose tariffs On his first day in office – a scenario many business partners had feared.
The dollar extended losses, with the Wall Street Journal index falling 0.8% to its lowest level in about two weeks, while the currencies of economies expected to be hit hard by the tariffs strengthened. As of around midday, the British pound, euro, Mexican peso, Canadian dollar and offshore Chinese yuan were up 0.8% or more against the dollar.
Investors were warming up to Trump Issuing a campaign of executive orders Hours after he took office, it included border control, energy, and government reforms.
“Once those executive orders start to roll in and their effects are analysed, that’s where you’ll see the impact on markets,” said Susanna Streeter, head of finance and markets at Hargreaves Lansdowne.
That is likely to keep asset prices volatile, Streeter said. Some of the worst fears may not come true; On the other hand, there may be a move that comes out of the blue.
American stocks were made Big gains last weekthe next Strong bank profits And the proposed inflation report Fundamental price pressures are easing. But many investors are bracing for potential turmoil, concerned that Trump’s promised policies, including massive tariffs, could lead to accelerating inflation — with far-reaching consequences for emerging markets and economies. Federal Reserve policy.
Stock indices in Asia rose on Monday. Trump and Chinese leader Xi Jinping He spoke by phone on FridayTrump told his advisors that he wants to travel to China after taking office. The magazine reported. Promoting optimism, Chinese-owned social media app TikTok Service recovery has begun Sunday for its users in the United States, hours after it closed.
Hong Kong’s Hang Seng Index rose 1.7%, while the Shanghai Composite Index rose. In Europe, the Stoxx Europe 600 index rose less than 0.1%.
Brent crude futures, the global oil benchmark, fell more than 1% to trade below $80 a barrel.
This week will bring a wave of earnings from companies like Netflix, United Airlines, Procter & Gamble, and American Express. Interest rate decisions are due from central banks in countries such as Japan, Norway and Turkey.
Write to Caitlin McCabe at caitlin.mccabe@wsj.com