- Binance walks away from the FTX deal
- Binance-FTX deal is off unless FTX US is included but US likely won't allow it - report
- RBNZ review: Monetary policy should have been tightened earlier in 2021
- A 6% Fed funds rate would add a leg to USD/JPY strength
- Tesla breaks support: Falls to the lowest since 2020
- So much for that split-Congress bump. Nasdaq down 2%
- US treasury auctions off $35 billion of the 10 year at high yield of 4.14%
- FTX's hole could be as high as $6B
- Atlanta Fed GDPNow growth estimate for Q4 rises to 4.0%
- European equity close: Mixed bag but well-above the lows
- US Midterms and the economic impacts
- Fed's Barkin willing to risk economic downturn to control inflation
- Bitcoin trades to a new session low and the lowest level since November 2020
- EIA weekly US oil inventories +3925K vs +1360K expected
- Russia orders withdrawal from Kherson
- US September wholesale inventories +0.6% vs +0.8% expected
- Changpeng Zhao says Bankman-Fried called him less than 24 hours ago
- German panel of economic advisors sees economy contracting 0.2% in 2023
- The CHF is the strongest and the NZD is the weakest as the NA session begins
- ForexLive European FX news wrap: Dollar gains slightly, US events in focus
- US MBA mortgage applications w.e. 4 November -0.1% vs -0.5% prior
- Goldman Sachs revises higher its forecast for USD/JPY, sees 155 in play
- Meta to cut 11,000 employees, or about 13% of its team
- Bullock defends RBA policy path, says "we have already raised rates aggressively"
The optics of the Binance purchase of FTX was on shaky grounds earlier today as chatter of potential improprieties sent the digital currencies lower including Bitcoin, Ethereum, Dogecoin and the FTX token FTT. Those worries became a reality when toward the end of the day Binance officially announced that:
- As a result of corporate due diligence, as well as the latest news reports regarding mishandled customer funds and alleged U.S. agency investigations, we have decided that we will not pursue the potential acquisition of FTX.com
They added that FTX's
- Issues are beyond our control or ability to help
That announcement pretty much "checkmated" any hopes for getting out of the quagmire that has seen the price of FTX's token move from $26.43 on November 1 to $1.73 today (trading at $1.94 now or down -92%).
Looking at the other digital currencies:
- Bitcoin is trading at $16134.71, down -11.19%
- Ripple is trading at $0.3421, down -13.83
- Ether is trading at $1146.79, down -12.54%
- Litecoin is trading at $51.60, down -$9.44
As for FTT, it is down -$3.53 or -65.04%...today.
IN the forex market, the CHF and USD were the strongest of the major currencies. The GBP was the weakest. The GBPUSD fell -1.63%. The USD rose by 1.18% vs the AUD and 1.21% vs the NZD. The only blemish in the run higher was a near unchanged move vs the CHF. The move to the upside in the USD today is the first in 3 days.
Technically,
- The EURUSD is closing back below the 100 day MA at 1.00365. The move above the 100 day MA lasted around 24 hours. That is a disappointment for traders. The low reached today below the 1.0000 parity level to 0.9992. IT trades at 1.0009 into the end of day. It would now take a move back above the 100 day MA again to give the buyers additional comfort. Conversely on the downside traders will be eyeing a swing area between 0.9965 to 0.9975. Below that is the rising 100 hour MA at 0.99583.
- The USDJPY based a few pips from the October 27 low at 145.098 (the low reached 145.16). The move to the upside stepped up (with ups and downs) to the falling 100 hour MA. That MA currently comes in at 146.696. A move above the MA and a swing area up to 146.98 and the 200 hour MA at 147.27 are the next steps higher into the new trading day. On the downside, if the 146.15 level is broken, the sellers near the 100 hour MA will feel more comfortable
- The USDCAD rebounded back into the swing area that confined the pair from September 27. Yesterday, the price moved away from that swing area (near 1.3500) to a low of 1.33867. However today, the price has moved back above the lower swing area between 1.3494 to 1.3510 and the 100 hour MA at 1.3524 as well. It will take a move back below the swing area near 1.3500 to give the sellers so hope. On the first move below, they failed.
In other markets:
- Spot gold is down -$6.14 or -0.36% at $1705.84
- Spot silver is down -$0.30 or -1.45% at $21.01
- Crude fell sharply with a decline of -$3.11 or -3.51% at $85.56
In the US stock market, the major indices all snapped their 3 day win streak with near 2% and greater declines:
- Dow fell -646.89 points or -1.95% at 32513.94
- S&P fell -79.54 points or -2.08% at 3748.56
- Nasdaq fell -263.02 points or -2.48% at 10353.19
- Russell 2000 -48.52 points or -2.68% at 1760.40
Oh... Tomorrow the markets will be dealing with a true binary economic release when the CPI data is released at 8:30 AM. The expectations are for a gain of 0.6% for the headline and 0.5% for ex food and energy. A key, key release with risk sky high. So understand your risk.