Daily summary: US100 at new high fuelled by Broadcom gains 📌

The US500 is experiencing a correction today, losing 0.15% two hours before the session close. This movement is likely tied to profit-taking after last week's strong performance.

On the other hand, the US100 reached new all-time highs this week, driven by renewed interest in artificial intelligence. Broadcom delivered very strong financial results yesterday, resulting in a more than 20% surge today, pushing its market capitalization above $1 trillion. However, the US100 has retraced toward previous closing levels, reducing its gains to below 0.5%.

Earlier this week, news surfaced of AI chip collaboration between Broadcom and Apple, driving Apple’s stock to its own all-time highs.

Another factor behind the US100’s rise was Alphabet’s announcement of ongoing development on its quantum chip, Willow, designed to perform calculations in five minutes that would take longer than the entire history of the world on standard computers.

The dollar (USDIDX) is down 0.30% today, trading at 106.6000 points. Losses have been partially reduced, as they reached as much as 0.65% earlier in the day. EURUSD is up 0.25%, testing the 1.0500 level. Meanwhile, despite the weaker dollar, USDJPY is gaining 0.75% to 153.7000, with the yen remaining the weakest G10 currency.

The Bank of Japan is reportedly considering postponing an interest rate hike at its monetary policy meeting on December 18–19, according to Kyodo News. The swaps market currently estimates an 83% probability that the BoJ will refrain from raising interest rates.

Bitcoin is up 1.50% today, trading at $101,500. Bitcoin’s dominance has increased to 56.60%. Ethereum is seeing smaller gains of 0.90%, while the total market capitalization of other cryptocurrencies is rising only by 0.10%.

Texas has proposed a bill to establish a strategic Bitcoin reserve aimed at enhancing financial stability, enabling tax acceptance in BTC, and combating inflation.

Next week will feature significant events for financial markets, including decisions from the Fed, BoJ, and BoE.