Global Markets Stabilize as US-China Trade Negotiations Approach, Bitcoin Reaches $103K

Global stock markets closed the week with minimal changes as investors assessed a new tariff agreement between the U.S. and the U.K., alongside an important meeting between trade representatives from Washington and Beijing scheduled for the weekend.

Stocks remain stable amid tariff uncertainty

The MSCI global equity benchmark experienced a slight increase of 0.11%, reaching 846.80, which helped to reduce a weekly loss of 0.3%. In Europe, the STOXX 600 saw a rise of 0.44%, while Germany’s DAX achieved yet another record closing value.

In the United States, the Dow Jones dipped by 0.29%, the S&P 500 fell 0.07%, and the Nasdaq posted a minor gain. Overall, weekly performance was negative for the indices, reflecting a general sense of caution as traders anticipated new tariffs.

Dollar declines while Treasury yields stabilize

The U.S. Dollar Index decreased by 0.28%, landing at 100.37. Despite this drop, it sustained a weekly increase against the yen, euro, and Swiss franc. Meanwhile, the benchmark 10-year Treasury yield rose to 4.386%, though the 2-year note slightly decreased to 3.887%.

Rising yields can have significant effects on the cryptocurrency markets, highlighting the importance of monitoring Treasury yield fluctuations.

Bitcoin and Ethereum see upward movement

Investor interest shifted towards digital currencies, with Bitcoin gaining 0.58% to reach $103,224, its highest price since January, marking four consecutive days of gains. Ether surged by 6.7% to $2,493, as traders pointed to ongoing uncertainty in traditional markets and optimistic expectations for future interest rate cuts.

For in-depth analysis on cryptocurrency price developments, further insights can be gleaned from recent projections on Bitcoin’s future value up to 2025.

Oil and gold receive support

• WTI crude oil finished at $61.02 (+1.85%)
• Brent crude settled at $63.91 (+1.7%)
• Spot gold rose 0.67% to $3,327.53 per ounce

The price of these commodities improved due to a weaker dollar and optimism surrounding potential relief in trade disputes, which could enhance demand.

Future outlook

Attention now shifts to the Geneva summit on Saturday, where U.S. Treasury Secretary Scott Bessent will meet with China’s Vice-Premier. While expectations for a significant breakthrough are low, any modest signs of advancement could influence global risk assets and, by extension, cryptocurrencies in the lead-up to next week’s U.S. Consumer Price Index report and the mid-May Federal Reserve meeting minutes.