What Went on in the Markets? February 2021
Markets continued the rally at the start of 2021 with stimulus optimism and Bitcoin driven “Elon Musk hopium” which further fueled the equity markets.
For about four hours Wednesday 24th February, Federal Reserve systems that execute millions of financial transactions a day — everything from payroll to tax refunds to interbank transfers — were disrupted by what appeared to be some sort of internal glitch.
- China index almost touched 20,684 highs while Nikkei an all-time high of 30,722 points before the both the indexes settled down in the month end at 18,301 and 29,230 respectively. This fall was primarily on account of the US government bond yields going up.
- Dow Jones crossed 32,000 points and DAX performance index crossed 14,100 points before closing the month at 30913 and 13787 resp.
- Dollar held strong near 91 big figure
- GBPJPY and GBPCHF top volatile pairs going into 2021.
- CHF was the weakest currency of the month while GBP and USD were strongest against its G-8 peers. GBPCHF gained 3.64% while Gold was the biggest loser with -6.54%
- Gold lost nearly $155 from high to low in February below settling to $1737, Silver clocked $30 big fugure highs below settling at $26.65.
- Platinum made a knee jerk rush to $1347 per ounce on supply fears before correcting to $1192.
- Soybeans and Corn closed higher in comparison to the market mayhem at $14.07 per bushel and $5.48 per bushel respectively.
- Crypto world came back to realization after reaching dizzy heights after the comments from Janet yellen that the cryptos are used for illegal financing.
- At the time of writing this report Bitcoin is trading at $44.3k while its smaller ally Ethereum trading at $1345.