Weekly news summary for June 17 to June 23
Friday, June 17: Yen Posts Losses as BoJ Keeps Ultra-Loose Policy
The yen on Friday dropped again after a 24-year low, putting it on track to its lowest weekly close against the US dollar since 1998, as the Bank of Japan (BoJ) kept its ultra-loose monetary policy, going against the flow of central banks that took a different stance.
The greenback gained 2.0% against the yen after BoJ Governor Haruhiko Kuroda dismissed the idea of policy tightening and reiterated that the central bank is prepared to ease it further, despite the rate of the yen’s fall negatively affecting Japan’s economy.
Monday, June 20: Bitcoin Recovers After Sliding to $17,000
Bitcoin bounced back on Monday after sliding to a new record low of $17,601 over the weekend, but investors’ worries remained due to certain macro factors and several issues in the broader cryptocurrency market, including the Terra Luna crash and Celsius Network’s potential insolvency.
Bitcoin was trading above $20,000 on Monday, although it is still 70% below its all-time high reached in November, with industry spectators stating that the rally might only be a dead cat bounce and may not last for long.
Tuesday, June 21: Twitter Board Votes in Support of Musk’s $44B Deal
Twitter Inc.’s board of directors has voted to recommend the approval of Tesla Inc. Chief Executive Elon Musk’s $44-billion proposal to acquire the social media giant.
Musk is looking forward to proceeding with the deal, but shares of Twitter continued to trade for less than his offering price and the $54.20 per share he offered to pay for every share, signaling huge uncertainty over the acquisition.
Wednesday, June 22: UK May Inflation Hits 40-Year High
UK inflation surged to a 40-year high in May, with higher food and energy prices mainly contributing to the increase and extending the country’s issue with the cost of living.
Data from the Office for National Statistics (ONS) showed that Britain’s consumer price index (CPI) rose to 9.1% year-on-year in May, the highest rate out of the Group of Seven countries, while its month-on-month rate was at 0.7%.
Thursday, June 23: Oil Declines as Investors Reassess Recession Risks
Oil prices extended losses on Thursday and were at their lowest since mid-May as investors reconsider the risks of a recession and the potential effect of interest rate increases in key economies on fuel demand.
Brent crude oil futures were down 1.8% to $109.61 per barrel, and the US West Texas Intermediate (WTI) crude futures lost 1.3% to $104.78 per barrel after both benchmarks declined as much as $3 per barrel earlier in the session and following a 3% slide in the last session.