Daily Summary: Bitcoin returns to around $72,000 while USD remains weak 📌

U.S. indexes end the first session of the week without a clear direction. The US500 is up 0.05%, while the US100 loses 0.05%. Investors are waiting for the CPI report from the U.S. on Wednesday, expected to dictate the market sentiment for the coming days.

The USD is one of the weakest currencies among the G10 today. The USD index, USDIDX, is down nearly 0.20%. EURUSD is up 0.18% to 1.0856.

Uncertainty in the markets is visible through the rising yields of U.S. 10-year bonds, which today reached 4.41%, the highest level since the end of November 2023.

On the broader FX market, the Australian and New Zealand dollars are performing very well, while we see significant drops in the Swiss Franc and Japanese Yen.

Wall Street shows mixed sentiments. On one hand, gains in the Russell 2000 and Nasdaq indexes are supported by a weakening dollar. On the other hand, they are counteracted by the yields of U.S. bonds, which are pointing in a different direction, gaining today to 4.43% – levels last seen at the end of November 2023.

Tesla is an American company that is drawing investor attention today, with its shares gaining close to 5%, thereby recovering some of the significant losses observed since the beginning of 2024. Shares positively reacted to the announcement that Tesla's long-awaited robotaxi product will be unveiled on August 8 this year.

Microchip Technology has strengthened its partnership with Taiwan Semiconductor Manufacturing Company (TSMC) by integrating a specialized 40-nanometer manufacturing process at Japan Advanced Semiconductor Manufacturing.

The NY FED's forecasts today indicate slightly higher inflation in the medium term.

Data on industrial production in Germany for February was published today in the first part of the day. The report was a big positive surprise. Monthly, production rose much more than expected, while the annual decline was significantly less than expected. Monthly: 2.1% m/m vs. expected 0.3% m/m (previously 1.0% m/m). Annually: -4.9% y/y compared to expected -6.8% y/y (previously -5.5% y/y).

Bitcoin begins the new trading week with a dynamic upward movement, breaking above the $71,000 level. The popular cryptocurrency enters a key phase just before the halving, estimated to occur on April 20, 2024.