Global markets react to central bank rate hikes and tech rally

Federal Reserve interest rate Bank of Japan rate hike cryptocurrency market volatility semiconductor stocks SEC innovation exemption

Global financial markets reacted to significant central bank actions and shifts in the technology sector. The Federal Reserve raised interest rates by 25 basis points to a range of 3.75%-4%, marking its first hike since 2023. Following this, major US indices rebounded, led by a surge in technology stocks. In Japan, the Bank of Japan raised its policy rate by 0.25% to approximately 1.25%, while the Nikkei 225 rose to recover the 65,000 level, driven largely by semiconductor and AI-related stocks.

In the cryptocurrency market, Bitcoin experienced a price recovery toward $77,000 despite continuous outflows from US spot Bitcoin ETFs, which totaled approximately $770 million over three days. Market volatility was high, with $203 million in total liquidations occurring within a 24-hour period, primarily affecting short positions. Meanwhile, the SEC introduced a five-year 'innovation exemption' to facilitate the trading of tokenized US-listed stocks via blockchain.

In Asia, Taiwan's stock market saw a significant rise of 892 points, supported by strong performance in semiconductor giants like TSMC and MediaTek. The semiconductor sector remains a primary driver of growth globally, with Nvidia's CEO predicting a doubling of chip sales next year due to AI adoption. However, some analysts, including Jeffrey Gundlach, have warned that future economic recessions could trigger debt crises and disrupt the traditional role of bonds as safe-haven assets.

Entities

Bank of Japan · Bitcoin · Federal Reserve · Intel · Nvidia · SEC · Securities and Exchange Commission

Claims

What the coverage asserts, and how many sources carry each claim.

[○ 1 SOURCE] The SEC introduced a five-year 'innovation exemption' to allow tokenized securities platforms to trade certain US-listed stocks via blockchain. www.etnet.com.hk
[○ 1 SOURCE] Nvidia CEO Jensen Huang predicts chip sales could double next year due to AI adoption. www.etnet.com.hk
[○ 1 SOURCE] Micron Technology shares increased by 5.5%.
[● 3 SOURCES] The Federal Reserve raised interest rates by 25 basis points to a range of 3.75%-4%. www.blocktempo.com · www.etnet.com.hk · blockcast.it
[● 2 SOURCES] Major US stock indices rebounded on Thursday, with the Nasdaq rising 1.7% and the S&P 500 rising 1.1%. www.blocktempo.com · www.etnet.com.hk
[○ 1 SOURCE] Crypto liquidations totaled $203 million in 24 hours, with $147 million coming from short positions. www.blocktempo.com
[○ 1 SOURCE] Solana saw a 2.89% increase, reaching $101.46. www.blocktempo.com
[○ 1 SOURCE] Intel shares rose by approximately 7.7% on Thursday.