Forex Today: Trump Trade Sends Bitcoin, US Stocks To Record Highs - 11 November 2024

The Republican victory in the US elections is sending cryptocurrencies and major US stock market indices higher to reach new all-time high prices.

  1. Following the decisive election victory of President Trump, the Republican capture of the US Senate, and the near-certain Republican majority in the House of Representatives, the “Trump trade” is performing well. Cryptocurrencies, notably Bitcoin, are rising firmly, with Bitcoin making new highs over the weekend to end up at the time of writing trading above $80,000. Bitcoin is rising in blue sky and how high it will go is anyone’s guess – bulls will be hoping that the $100,000 milestone is reached within the coming weeks or months. Similarly, futures in major US stock market indices such as the NASDAQ 100 and the S&P 500 have also traded at new record highs during today’s Tokyo session. Trend and momentum traders will be looking to be long of these assets, although any new entries today in US stock market instruments will have to be made outside the USA as it is a public holiday (Veterans’ Day) today. There is no such problem for Bitcoin, which trades around the clock and on holidays.
  2. There was a release of New Zealand Inflation Expectations data which came in slightly higher than its previous value, rising to 2.12% from 2.03%.
  3. In the Forex market, the New Australian Dollar has been the strongest major currency since today’s Tokyo open, while the Japanese Yen has been the weakest, putting the AUD/JPY currency cross in focus.
  4. The release of minutes of the Bank of Japan’s policy meeting last month showed division and uncertainty within the committee about the timing of the next rate hike, citing volatility and uncertainty about US monetary policy and economic trends.
  5. As well as the public holiday in the USA, it will also be a public holiday today in Canada and France.

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