Forex news for Asia trading on Thursday 13 May 2021
The crypto complex saw price declines today led by BTC responding to a tweet from Elon Musk in which he said Tesla would no longer accept payment in the coin, citing fossil fuel use in mining and transactions being far too high. Musk indicated he would favour less energy-intensive crypto ahead.
The BTC price was trashed, with BTC/USD to lows (briefly) around USD46K accompanied by reports of exchanges suffering drops in service due to immense transaction volume. The price fall in BTC bled into other crypto also, of course.
After the lows were hit BTC had an impressive bounce, adding on more than $4,000 to take the price back above $50K where it sits as I post.
For the chronology, read from the bottom up:
- Here's the full statement from Musk on Tesla and Bitcoin (ICYMI)
- Bitcoin bounce, back above $50K. Other coins on the bounce also, DOGE back over 42c
- Bitcoin crumbles after Elon Musk bails. Why it may never recover
- Cryptocurrency exchanges under immense strain with BTC meltdown - Reports that Coinbase is down
- Bitcoin rout extends lower. BTC/USD now under $50k
- Bitcoin is continuing its slide after the Musk Tesla bombshell
- DOGE volatility prompted by Musk's abandoning Bitcoin for Tesla payments
- Musk says Tesla has suspended taking Bitcoin for vehicle purchases
Massive swings for BTC:
Fiat, on the other hand, had a sedate sort of session. The overnight surge in the USD after the US CPI data was barely retraced, ranges are small and mixed only.
There are a couple of events on the horizon to be aware of, a heads up:
- US inflation data - it ain't over yet, more to come on Thursday (Goldman Sachs preview)
- UK scientists alarmed over COVID-19 Indian mutant strain - possible delay to lockdown exit
Other:
- Coronavirus - Australia will be receiving 25m doses of Moderna vaccine doses
- The BOJ says its ready to extend pandemic relief beyond the September deadline if needed
- Kuroda says the BOJ is implementing easing steps no other central bank is taking
- Coronavirus - New Zealand PM Ardern cautious on international travel reopening - the bar is high
- PBOC sets USD/ CNY reference rate for today at 6.4612 (vs. yesterday at 6.4258)
- Bank of Japan Governor Kuroda says Japan's economy is picking up as a trend
- Taiwan's stock index TAIEX under renewed pressure, lower
- Japan data - current account, bank loans
- Boeing said to be near a fix for the 777
- UK data - April RICS house price balance +75%! (vs. expected 62%)
- Recap on Biden seeing an infrastructure compromise & Republican 'red line' on taxes
- BoE's Haldane says UK inflation is likely to be above 2% by the end of 2021
- Coronavirus - Five vaccinated people in US state of Ohio will get $1 million
- US gas shortage - pipeline expected to be restarted right about now
- Bridgewater says more inflation than the Fed expects is on the way (here's why)
- New Zealand house price index +26.8% y/y to a record high
- Trade ideas thread - Thursday 13 May 2021
- Ethereum founder Vitalik Buterin has donated $1bn in Dog-Themed meme coin to India COVID-19 releif
- US President Biden says he sees room for compromise on infrastructure bill
Regional equities:
- Japan's Nikkei -1.8%, Topix -0.6%
- China's Shanghai Composite -0.64%
- Hong Kong's Hang Seng -0.67%
- Australia's S&P/ASX 200 -0.39%
