Decline in Risk Appetite in Global Markets: Bitcoin Below 90K!

Global Markets' Risk Appetite is Shrinking

This week, the selling pressure seen in Wall Street stock markets has deepened ahead of the U.S. employment data and Nvidia earnings.

Market Developments

On Monday, the sharp decline in the S&P 500 index brought the index down by 3.2% from its last record level on October 28. The Nasdaq 100 also experienced a 0.83% loss. While weakness in technical indicators has been prominent in market movements, it is expected that fundamental indicators will continue to gain importance as the week progresses.

Featured Companies

Major retailers Walmart Inc., Home Depot Inc., and Target Corp. are preparing to announce their expectations and earnings related to the upcoming holiday shopping season. Nvidia Corp.'s important earnings report, which is expected to impact the markets, will take place on Wednesday.

Employment Data

On Thursday, the U.S. government's September employment data, which was delayed due to the ongoing shutdown, will be released. Chris Larkin, an analyst at E*Trade under Morgan Stanley, stated, "The monthly employment report would normally dominate this week's economic calendar, but due to the recent sell-off in AI-related stocks, Nvidia's earnings will also be a significant factor this time."

Stock Market Decline

In the new trading day, both U.S. and European futures indices are showing a selling trend. In the first trading day of the week, the Bloomberg Dollar Index increased by 0.30% and is maintaining its gains. The yield on U.S. 10-year Treasury bonds is currently at 4.12%.

Overall Situation in Global Markets

The MSCI global stock index is trading at its lowest level in a month. The MSCI Asia Pacific Index experienced a 1.3% decrease led by technology companies and is on track to face losses for the third consecutive day.

Impact on Cryptocurrency Market

This decline in risk appetite has caused Bitcoin to fall below $90,000 for the first time in 7 months. Options investors are increasing their positions against the potential decline in Bitcoin, raising demand for protection at the $90,000, $85,000, and $80,000 levels. According to the Deribit platform, there is notable activity in contracts expiring at the end of this month.