Bitcoin breaks $99,000 as Asia stocks rise on stimulus hopes, Ukraine worries lift oil

Rising geopolitical tensions tempered the atmosphere and pushed oil higher after Russia hit Ukraine with a new-generation intermediate-range missile and sent a warning to the West.

Rising geopolitical tensions helped push oil prices higher Friday, while a retreat in US interest rate expectations fuelled gains in world stocks and lifted bitcoin to a new record high.

After a recent rally fuelled by hopes for a tech-led boom under US President-elect Donald Trump, traders had been bracing for a weak showing from Nvidia, which is seen as a bellwether for the sector.

But while the firm’s earnings beat forecasts, they still fell short of analysts’ sky-high expectations, sparking initial concerns that the rally might be running out of steam.

However, traders quickly shrugged off the disappointment, helped by the firm’s upbeat comments on production of its keenly anticipated Blackwell line-up.

All three main indexes on Wall Street ended on a positive note, with the Dow adding 1.1 percent.

The gains in New York filtered through to Asia. Tokyo climbed one percent as the government prepares to announce a $140 billion stimulus package to kickstart the country’s stuttering economy, while Sydney, Seoul, Singapore, Wellington, Taipei and Jakarta also rose.

Hong Kong, Shanghai and Manila slipped.

Bitcoin, meanwhile, continued its heady run higher and broke $99,000 for the first time.

While it eased back slightly soon after, there is a broad expectation that it will soon burst through $100,000 as investors grow increasingly hopeful that Trump will pass measures to deregulate the crypto sector.

Bets on an easier environment for digital units in a Trump White House have seen bitcoin soar more than 40 percent since his election victory this month, while it has more than doubled since the turn of the year.

Adding to the positive vibes was news that Securities and Exchange Commission chair Gary Gensler — who oversaw a number of measures to rein in cryptocurrencies — intends to leave when Trump takes office on January 20, Bloomberg reported.

Oil prices edged higher on rising Ukraine worries after Russian President Vladimir Putin said Thursday that the conflict had characteristics of a “global” war and did not rule out strikes on Western countries.

His comments came after Moscow test-fired a new missile at its neighbour, which Ukraine President Volodymyr Zelensky called a major ramping up of the “scale and brutality” of the war.

Both main crude contracts extended the two percent gains seen Thursday when natural gas prices also hit their highest level in a year.

Key figures around 0230 GMT

Tokyo – Nikkei 225: UP 1.0 percent at 38,415.32 (break)

Hong Kong – Hang Seng Index: DOWN 0.2 percent at 19,561.61

Shanghai – Composite: DOWN 0.4 percent at 3,355.75

Euro/dollar: DOWN at $1.0470 from $1.0476 on Thursday

Pound/dollar: DOWN at $1.2585 from $1.2587

Dollar/yen: DOWN at 154.42 yen from 154.54 yen

Euro/pound: DOWN at 83.18 pence from 83.20 pence

West Texas Intermediate: UP 0.4 percent at $70.39 per barrel

Brent North Sea Crude: UP 0.4 percent at $74.49 per barrel

New York – Dow: UP 1.1 percent at 43,870.35 (close)

London – FTSE 100: UP 0.8 percent at 8,149.27 (close)