Bitcoin hits record high above $124,000
US stocks ended higher Wednesday, with the S&P 500 index and the tech-heavy Nasdaq reaching new heights this week, contributing to the cryptocurrency's rise.
Bitcoin's value has recently soared, fuelled by US regulatory changes under US President Donald Trump, a strong backer of the crypto sector.
Its price has also been boosted by large holders of cryptocurrency, referred to as "whales".
"The crypto market is enjoying a period of highly favorable fundamentals," said Samer Hasn, senior market analyst at XS.com.
"President Donald Trump has moved to end restrictions that previously prevented banks from doing business with companies flagged for reputational risk concerns, a category in which crypto firms were often unfairly placed," he added.
Trump may also be inclined to "accelerate the integration of cryptocurrencies into the national financial system and lift additional restrictions, given his and his family's growing involvement in the sector", Hasn said.
Trump's media group and Tesla, the electric carmaker owned by tech billionaire Elon Musk, are among an increasing number of companies buying huge amounts of bitcoin.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The National
3 hours ago
- The National
S&P raises India's credit rating to BBB in first upgrade for 18 years
S&P Global Ratings upgraded India 's long-term sovereign crediting rating to "BBB" from "BBB-" on Thursday, owing to the country's fiscal consolidation, credible monetary policy and strong economic growth. It was India's first upgrade in 18 years. 'The upgrade of India reflects its buoyant economic growth, against the backdrop of an enhanced monetary policy environment that anchors inflationary expectations,' S&P Global analysts wrote. "Together with the government's commitment to fiscal consolidation and efforts to improve spending quality, we believe these factors have coalesced to benefit credit metrics." S&P also raised India's short-term ratings to "A-2" from "A-3", adding that the outlook on the long-term rating is stable. It also revised its transfer and convertibility assessment to "A-" from "BBB+". India's Ministry of Finance said it welcomed S&P's decision to upgrade the country's credit rating. The ratings agency said India's economy had a 'remarkable comeback' from the Covid-19 pandemic, with real GDP growth averaging 8.8 per cent over the 2022 fiscal year to the 2024 fiscal year, the highest in the Asia-Pacific. Analysts said they expect GDP to increase 6.8 per cent annually over the next three years. 'India remains among the best performing economies in the world,' S&P Global said. S&P Global also expects the effects of the US tariffs on India's economy 'will be manageable', noting that about 60 per cent of its growth comes from domestic consumption. US President Donald Trump last week doubled India's tariff rate to 50 per cent because of its continued imports of Russian energy. 'We expect that in the event India has to switch from importing Russian crude oil, the fiscal cost, if fully borne by the government, will be modest given the narrow price differential between Russian crude and current international benchmarks,' analysts wrote. Analysts also anticipated that, factoring in sectoral exemptions on pharmaceuticals and consumer electronics, the exposure of Indian exports that would be subjected to tariffs at 1.2 per cent of GDP. While this could lead to a one-off hit to growth, S&P does not anticipate it will hurt India's long-term growth prospects. S&P also projected a general government deficit of 7.3 per cent of GDP in the 2026 fiscal year to fall to 6.6 per cent by to the 2029 fiscal year. It also anticipates the country's debt-to-GDP ratio to fall to 78 per cent by the 2029 fiscal year. S&P said it may lower the ratings if it finds weak political commitment to consolidated public finances. It may raise the ratings if fiscal deficits narrow in a way that would lower the general government debt below 6 per cent of GDP on a structural basis.
Arabian Post
4 hours ago
- Arabian Post
Rate cut expectations drive markets to new highs
US markets have been hitting record levels this week, and the catalyst of growing conviction that the Federal Reserve will cut rates in September. The Dow surged 463 points on Wednesday, the S&P 500 notched another all-time high, and the Nasdaq also finished at a record for the second straight day. The optimism is being driven by a tamer-than-expected inflation report that has traders assigning a near 100% probability to a rate cut at the Fed's next decision. Add in a resilient earnings season, with even small caps showing renewed strength, and you have a market rally that is no longer confined to the usual megacap tech leaders. ADVERTISEMENT When the cost of borrowing falls, capital becomes cheaper for companies, financing becomes less of a drag, and equity valuations tend to expand. Lower rates also give consumers more room to spend, which can ripple quickly through corporate revenues. This is why rate expectations are such a potent driver of equity markets, and why we've seen the rally broaden beyond the so-called 'Magnificent Seven' to small- and mid-cap stocks, with the Russell 2000 gaining 2% on Wednesday alone. But this is not just a US story. The US is still the primary engine of global capital markets, and when Wall Street moves, liquidity, sentiment, and valuation re-rating tend to spill across borders. Emerging market equities, for example, often benefit disproportionately when US rates come down – capital flows in search of higher yields and growth potential can accelerate. Developed market exporters, particularly in Europe and Asia, can also see upside if a weaker dollar boosts their competitive position. The near-term picture, if the Fed does deliver in September, is a global risk-on environment. Equities would likely extend their gains, credit spreads could tighten, and certain currencies sensitive to growth and risk sentiment, such as the Australian dollar or the South African rand, may strengthen. Commodities tied to industrial activity, including copper, could get a boost as the growth narrative firms. Of course, markets rarely move in straight lines. The risk is that optimism runs ahead of reality, especially if economic data turns quickly or if central bankers signal that cuts will be more measured than investors hope. Inflation, while easing, has not disappeared, and the Fed will want to avoid the perception that it is acting too aggressively. For investors, this is a moment that demands both clarity and discipline. The broadening of the rally is a healthy sign – it suggests that markets are no longer reliant on a small cluster of giants – but it also means that opportunities are appearing in areas that have been overlooked for much of the past year. This includes sectors and regions that stand to benefit directly from a lower cost of capital and a potential reacceleration in global trade. It also calls for an awareness of currency implications. A Fed rate cut would likely weaken the dollar, which could enhance returns for non-US assets in dollar terms, but it could also introduce volatility in foreign exchange markets. Investors with global exposure need to understand how this might affect both portfolio performance and risk. We are entering a period where positioning ahead of policy moves can have a material impact on outcomes. The market is already pricing in a September cut – which means the real opportunity lies in anticipating how capital will reallocate once that cut is delivered. It's a question of identifying the sectors, asset classes, and geographies best placed to benefit in the first phase of easier policy, while also protecting against the possibility of a bumpier path than markets currently expect. The Fed's next move is not just about rates. It's about resetting the tempo of the global financial system after two years of aggressive tightening. As always, such a reset will create winners and losers – and the difference between them will come down to preparation. Nigel Green is deVere CEO and Founder Also published on Medium. Notice an issue? Arabian Post strives to deliver the most accurate and reliable information to its readers. If you believe you have identified an error or inconsistency in this article, please don't hesitate to contact our editorial team at editor[at]thearabianpost[dot]com. We are committed to promptly addressing any concerns and ensuring the highest level of journalistic integrity.
Dubai Eye
4 hours ago
- Dubai Eye
India PM Modi likely to meet Trump in US next month, newspaper reports
Indian Prime Minister Narendra Modi is likely to meet President Donald Trump during a visit to the US next month to attend the UN General Assembly meeting, the Indian Express newspaper reported on Wednesday, citing sources. India's foreign ministry did not immediately respond to a request for comment. An Indian official familiar with the matter said a decision has not yet been taken, and that countries usually reserve slots for the General Debate at the assembly, which is why India's "head of government" features in a provisional list of speakers on September 26. "The list will go through revisions," the official said, adding that it had not yet been decided if Modi would be going to the assembly. The General Assembly kicks off on September 9, but the debate, the annual meeting of heads of state and government, will be held from September 23-29. Although the reason for the potential visit will be to attend the UN meeting in New York, a key objective will be to hold talks with Trump and iron out trade and tariff issues that have led to some souring of ties between the two countries, the newspaper reported. News of a possible Modi trip to the US comes days after Trump announced an additional 25 per cent tariff on Indian goods to penalise New Delhi for continuing to buy Russian oil. The penalty took the total levy on Indian goods exported to the US to 50 per cent, among the highest levied on any US trading partner. Trade talks between New Delhi and Washington collapsed after five rounds of negotiations over disagreement on opening India's vast farm and dairy sectors and stopping Russian oil purchases. On Tuesday, US Treasury Secretary Scott Bessent said several large trade agreements were still waiting to be completed, including with Switzerland and India, but New Delhi had been "a bit recalcitrant" in talks with Washington. Bessent told Fox Business Network's "Kudlow" he hoped the Trump administration could wrap up its trade negotiations by the end of October. "That's aspirational, but I think we are in a good position," he said, adding "I think we can be, we will have agreed on substantial terms with all the substantial countries."
