Key Highlights:
- SEC's hacked Twitter account falsely announced Bitcoin ETF approval, causing Bitcoin to swing over $3,000.
- Cryptocurrency markets saw $40+ million in liquidations within an hour.
- Japan's central bank signaled reduced bond purchases, reigniting "black swan" rate hike expectations.
- Global markets await U.S. CPI data for Fed policy clues.
Market Overview
The ICE Dollar Index rose 0.31% to 102.53 as investors awaited Thursday's U.S. inflation data. Bitcoin experienced extreme volatility after the SEC's compromised Twitter account falsely claimed ETF approval, later clarified as unauthorized by Chair Gary Gensler.
👉 Discover how Bitcoin ETF approvals could reshape crypto markets
Currency and Commodity Snapshot (January 9 Close)
| Category | Details |
|---|---|
| Forex | EUR/USD: 1.0929 (-0.20%) |
| GBP/USD: 1.2709 (-0.31%) | |
| Commodities | Gold: $2,030.23/oz (+0.11%) |
| WTI Crude: $72.24/barrel (+2.1%) |
Critical Developments
1. SEC Twitter Hack Creates Crypto Chaos
The SEC's unauthorized Bitcoin ETF announcement triggered a 10-minute frenzy before being debunked. Over a dozen asset managers have pending ETF applications, with decisions expected this week.
2. Japan's Stealth Policy Shift
The Bank of Japan reduced ultra-long bond purchases without formal announcement, boosting speculation about impending stimulus reduction. The yen surged 85 points intraday.
3. Institutional Warnings
- BlackRock flagged potential "rollercoaster inflation" resurgence
- J.P. Morgan warned of geopolitical risks dampening 2024 equity returns
- Wharton's Jeremy Siegel projected S&P 500 could hit 5,200 (+10%)
Market Performance
Equities
- U.S.: S&P 500 (-0.15%), Nasdaq (+0.09%) led by tech recovery
- Europe: Stoxx 600 (-0.19%) with mining stocks down 1.35%
- Asia: Shanghai Composite (+0.20%) amid tourism sector gains
Cryptocurrencies
- Bitcoin volatility reached 7.5% hourly
- Total crypto liquidations exceeded $400 million in 24 hours
Commodities Outlook
Gold held above $2,030 despite dollar strength, while oil rebounded 2% on Middle East supply concerns. Analysts caution that hotter-than-expected CPI data could delay Fed rate cuts.
👉 Explore gold's hedge potential against inflation volatility
Upcoming Economic Calendar (January 10)
| Time (UTC+8) | Event |
|---|---|
| 15:45 | French Industrial Production |
| 23:30 | EIA Crude Inventories |
| 02:00 (11th) | 10-Year Treasury Auction |
FAQ Section
Q: Why did Bitcoin drop suddenly?
A: A hacked SEC account falsely announced ETF approval, causing a $3,000 swing before correction.
Q: What's significant about Japan's bond purchase change?
A: The unannounced reduction suggests potential policy normalization, affecting global yield curves.
Q: How might Thursday's CPI impact markets?
A: Higher-than-expected inflation could reduce March rate cut odds below the current 64% probability.
Q: Are Bitcoin ETFs really coming soon?
A: Multiple applications are under review, with decisions expected by January 15 despite the false start.
Q: Why is BlackRock warning about inflation?
A: They anticipate supply chain disruptions and energy volatility could reignite price pressures mid-2024.