Stock and cryptocurrency markets on Thursday saw volatility, after experiencing fluctuations during the tensions between China and Taiwan on Tuesday and Wednesday. Major indexes like the S&P 500, Dow Jones, and NYSE have shed a few percentages today, while the global cryptocurrency market capitalization lost 2.5% in 24 hours, dropping to just above the $1.1 trillion range. Precious metals, on the other hand, traded higher as U.S. president Joe Biden’s administration declared the Monkeypox virus a public health emergency in the United States.
Stock and crypto prices fluctuate due to China and Taiwan tensions and reports of monkeypox, growth in the precious metals market is catching up to ‘safe-haven demand’
Stock and crypto traders faced some headwinds on August 4, the day after US Representative Nancy Pelosi of California traveled to Taiwan to discuss democracy with Taiwanese President Tsai Ing-wen. Global markets witnessed some volatility ahead of the US diplomat’s visit to Taipei and also on Wednesday.
Equities and precious metals markets slid the day before on August 3, while the crypto economy managed to consolidate for another day. U.S. equities markets took a dip again on Thursday as the Dow Jones dropped 85 points lower during the afternoon (EST) trading sessions. Cryptocurrencies followed the drop in stock markets during the course of the day.
While the Nasdaq was up, the S&P 500, NYSE and several other stocks posted losses during the day. The crypto economy also suffered, as the entire digital asset is down 2.5% over the past 24 hours against the US Dollar today.
The leading crypto asset bitcoin (BTC) slipped 5% on Thursday afternoon from $23,548 to $22,395 in value. Ethereum (ETH) too lost 5% today after tapping a 24-hour high at $1,666 per unit down to a low of $1,545 per coin. Out of the top ten crypto market cap contenders, solana (SOL) lost the most losing 5.6% during the day and polkadot (DOT) shed 5.5%.
In Europe, the Ukraine-Russia war continues and tensions between China and Taiwan have escalated this week. While Asia is grappling with tensions, Europe is grappling with energy crisis and recession. American bureaucrats and their experts have said otherwise, even though many believe the US is also dealing with a recession.
On Thursday, the U.S. Labor Department published the weekly jobless claims data, which notes claims increased by 6,000 to 260,000. As the weekend approaches, stock traders have been interested in America’s July jobs report, which is due to be published on Friday. A couple of hours before the closing bell on Thursday, a few of the top Wall Street indexes like the Dow, and the S&P 500 rebounded slightly. By the end of Wall Street’s trading day on Thursday, three out of the four major indexes were down.
Meanwhile, gold and silver markets witnessed some respite on Thursday as both the assets climbed higher. Gold rose 1.64% per ounce, while silver rose 1.04% per ounce against the US dollar. On August 4, Jim Wyckoff of Kitco attributed the rise in precious metals to tensions in Asia, when he said gold and silver prices in the US were “higher on safe-haven demand as China-Taiwan-US tensions rose this week.” has increased.”
Furthermore, on Thursday, reports detail that the U.S. has officially declared the virus Monkeypox a public health emergency. The Washington Post (WP) reporter Dan Diamond explained that “two officials who spoke on the condition of anonymity” said that the Biden administration would declare monkeypox an outbreak and a public health emergency. Diamond wrote that the message would stem from the White House Health and Human Services secretary Xavier Becerra.
Following the report, Becerra, during an afternoon news briefing, declared monkeypox a public health emergency in what is now the US. “We stand ready to take our response to the next level in addressing this virus, and we urge every American to take monkeypox seriously,” the health secretary stressed to the press.