BTC crashes below $86000 now stocks stumble too: After Bitcoin crash, is the stock market next? Global stocks drop as BTC falls below $86,000 and S&P 500 futures slip 0.6%
Japan’s two-year bond yield hit 1.84%, the highest level since 2008. BOJ Governor Kazuo Ueda gave his strongest hint yet of a possible rate hike in December. The comments lifted global yields. The US 10-year Treasury moved up four basis points to 4.05%. With Japan long seen as a major source of cheap liquidity, any move toward policy tightening raised concerns about pressure on global carry trades and risk assets.
The yen strengthened sharply. The dollar fell to its lowest level since October. The Bloomberg Dollar Spot Index slipped 0.3% as investors reassessed global interest-rate paths.
Bitcoin crash hits sentiment across equities
The slide in Bitcoin sent shockwaves through broader markets. Ether fell 6.6% to $2,823, while top altcoins followed the same trend. Traders reacted to renewed volatility and aggressive deleveraging after the crypto market erased more than $637 million in long and short positions in a single day.
Crypto-linked stocks also weakened. Strategy Inc. shares came under pressure on fears the company may be forced to sell part of its $56 billion crypto portfolio if declines deepen.
Sentiment was already fragile after Bitcoin’s plunge below $86,000 and deteriorating readings on market stress indicators tracked by strategists.
US traders await fresh data and Fed shifts
Investors now turn to new US manufacturing reports and updated inflation readings. Fed officials will receive their preferred inflation gauge ahead of the December meeting. ADP private employment data is also due this week. President Donald Trump confirmed he has selected a successor to Federal Reserve Chair Jerome Powell, adding another layer of uncertainty as the Fed enters its blackout period. White House adviser Kevin Hassett is widely seen as a frontrunner.
Market analysts warned that December may be more volatile than expected, especially with futures pricing a 90% chance of a 25-bps Fed rate cut. Some believe the market has little room left for additional dovish support.
Commodities and corporate news move in mixed directions
Oil prices rose after an attack damaged one of the three loading moorings on a major pipeline carrying Kazakh crude to Russia’s Black Sea coast. Brent traded near $63 a barrel, while WTI climbed to $59.10. Silver and copper advanced after hitting new records on Friday. Gold rose 0.4% to $4,257 an ounce.
On the corporate front, Nvidia invested $2 billion into Synopsys as part of a new chip-design partnership. Merck began an eight-part debt offering. Barrick Mining surged more than 4% as the company explored an IPO for its North American gold assets. Airbus reported that almost all 6,000 A320-family aircraft affected by a software glitch had received updates, avoiding deeper operational disruption.
