Bitcoin set for a rebound that could stretch toward $100000, BTIG says
Investing.com - Stocks in Asia broadly climb, while equities in Europe are steady, with U.S. markets due to be shuttered for Thanksgiving. An economic survey from the Federal Reserve underlines concerns around the American jobs market, as investors bet the central bank will slash interest rates once again in December. Chinese property stocks drop amid a debt restructuring by a major developer, while Bitcoin inches back above the $91,000 level.
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1. Asian markets rise
Most Asian stocks advanced on Thursday, tracking an extended recovery on Wall Street as investors bought back into technology shares amid growing conviction the U.S. Federal Reserve will cut interest rates next month.
China’s Shanghai Composite was buoyed by wagers on more stimulus measures from Beijing, as officials eyed renewed concerns over a property market crisis in the world’s second-largest economy. Japan’s Nikkei also advanced 1.3%.
Asian markets took positive cues from the major U.S. averages, which moved up for a fourth consecutive session on Wednesday. U.S. stock markets will be closed on Thursday for the Thanksgiving holiday and are slated to trade for a short session on Friday.
Elsewhere, European stocks had a muted open, with the pan-regional Stoxx 600 benchmark hovering around the flatline. The FTSE 100 in the U.K. edged down by 0.1%, while the DAX in Germany rose 0.4% and the CAC 40 was mostly unchanged.
2. Beige Book highlights labor market jitters
The U.S. labor market appears to be stuck in a phase of limited firing and tepid hiring activity, according to a report from the Fed on Wednesday.
In its "Beige Book" compendium of comments from businesses and households from its regional arms, typically released two weeks prior to its next monetary policy meeting, the Fed said "despite an uptick in layoff announcements, more Districts reported contacts limiting headcounts using hiring freezes, replacement-only hiring, and attrition than through layoffs."
Companies have been grappling with economic uncertainty throughout 2025, due partially to murkiness around the potential ramifications of sweeping U.S. tariffs.
This struggle seems to be lingering. The Fed said there were "multiple reports of margin compression or firms facing financial strain stemming" from the levies.
The U.S. labor market has, as a result, showed signs of weakening -- a fact that contributed to the Fed opting to slash rates in September and October. Theoretically, reducing borrowing costs can help spur investment and, potentially, hiring.
3. Chinese property stocks dip
Chinese property stocks fell on Thursday as major developer China Vanke (SZ:000002) sought to restructure some of its debt, sparking renewed concerns over a debt crisis in the long flailing sector.
Vanke’s Shenzhen shares tumbled more than 7%, tracking an extended slump in the company’s bond prices. Hong Kong-listed peers including Sunac China Holdings Ltd (HK:1918), Shimao Property Holdings Ltd (HK:0813), New World Development Co Ltd (HK:0017), Longfor Properties Co Ltd (HK:0960), and Sunac China Holdings Ltd (HK:1918) fell between 0.5% and 7%.
Vanke disclosed late Wednesday it will seek bondholder approval to delay repayment of a 2 billion yuan ($282.6 million) onshore bond, sparking renewed anxiety over a debt crisis in China’s property market.
Vanke stands to be the latest and possibly largest domino to fall in China’s beleaguered property sector, following high-profile defaults by private developers Evergrande and Country Garden over the past five years.
4. Oil muted
Oil prices were subdued in European trade after official data showed a much larger-than-expected build in U.S. crude stocks, while a Washington-backed Ukraine peace framework raised the prospect of more Russian supply returning to markets.
As of 03:33 ET, Brent Oil Futures expiring in January fell 0.1% to $62.49 per barrel, while West Texas Intermediate (WTI) crude futures were broadly flat at $58.63 per barrel.
Both contracts gained over 1% on Wednesday as markets hiked up bets for a Fed rate cut next month, a move which generally supports crude prices.
5. Bitcoin surpasses $91,000
Bitcoin rebounded on Thursday, edging back above the $91,000 mark as increasing expectations of a Fed rate cut drove a wave of renewed investor interest.
The world’s largest cryptocurrency was trading 4.5% higher at $91,305.5 by 03:33 ET.
After sliding to as low as roughly $80,000 last Friday -- its weakest level since April -- the flagship digital asset has reversed course.
Markets now price in roughly an 85% chance of a quarter-point rate reduction by the Fed, a sharp jump from a 44% probability a week ago. Lower rates could provide a lift to perceived risk assets such as Bitcoin.