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MORNING BID AMERICAS-Euro/dollar gazes at parity, Bitcoin eyes $100k.

A take a look at the day ahead in U.S. and worldwide markets from Mike Dolan

Darkening skies over Europe's economy, trade and politics sent out the euro plunging to its most affordable in two years - simply 3%. from dollar parity - as post-election U.S. crypto optimism sees. Bitcoin flirt with $100,000 for the very first time.

Round figures often imitate magnets for financial markets.

But what resembles a best storm over the euro zone -. and its greatest economy Germany in specific - has seen the. sharpest regular monthly move in the world's essential Transatlantic. exchange rate in 2 years.

Facing prospective trade wars with both the United States and. China, a ratcheting up of geopolitical tensions to its East,. creeping energy costs and a German election early next year,. the euro's 4% fall up until now in November is its greatest monthly. loss considering that April 2022 - the month after Russia attacked Ukraine.

With another set of alarming business surveys revealing German and. euro zone activity contracting this month, the euro plunged to. two-year lows of $1.033 on Friday. And pressure is installing on. the European Central Bank to accelerate its reducing simply as the. Federal Reserve thinks twice with more rate cuts stateside.

Cash markets are now leaning towards a 4th ECB rate cut. of the year next month of as much as 50 basis points to 2.75%,. while futures still see little more than a 50% opportunity the Fed. will move at all next month.

At simply shy of 230 basis points, the two-year U.S.-German. bond yield gap is at its best considering that 2022 as well.

Together with the latest bleak service surveys, Russia's. increasingly pointed nuclear hazards and amazing missile. strikes on Ukraine today have actually jarred the continent once again as. Moscow eyes the isolationist position of Donald Trump's inbound. U.S. administration as a chance to reinforce its position.

And European wholesale gas prices hovered near annual highs. after fresh U.S. sanctions on Russia's Gazprombank raised fears. over what remains of gas supplies from Russia, simply as cold. temperatures resulted in drawdowns in Europe's gas stores.

But the prospect of Trump catalyzing worldwide trade wars in. which Europe would be left most exposed was maybe the biggest. economic cloud event.

In the starkest caution up until now from the ECB about the. repercussions of a trade war, the reserve bank's primary economic expert. Philip Lane stated on Thursday that global economic output would. suffer a significant loss, while any immediate boost to inflation. would fade over a couple of years.

The euro's losses, meantime, have actually catapulted the dollar. greater throughout the world - with the dollar index likewise. hitting its finest levels given that 2022 and now up more than 6% for. the year to date. China's yuan briefly struck its weakest. because July.

With another set of hot U.S. labor market readings from the. weekly jobless claims series on Thursday, Treasury yields. held company about 4.4%.

But with still no indication of Trump's pick for Treasury. Secretary, the increasing dollar presents something of a headache. for a protectionist new administration. The most recent reports. suggest previous Fed governor Kevin Warsh is still preferred to get. approval - until the Fed Chair Jerome Powell's position becomes. uninhabited a minimum of.

Bitcoin touched a fresh record high of $99,380 on. Friday, with its sights set strongly on the $100,000 barrier, in the middle of. hopes of a more friendly regulative environment under Trump.

Trump welcomed digital assets during his campaign, guaranteeing. to make the United States the crypto capital of the planet and. to build up a national stockpile of bitcoin.

And crypto investors see an end to increased analysis under. U.S. Securities and Exchange Commission Chair Gary Gensler, who. said on Thursday he would step down in January when Trump takes. office.

Overseas stock markets were mostly in the red on Friday,. with European stocks down and China's underperforming. with losses of more than 3%.

Somewhere Else, Gautam Adani's Indian corporation could deal with a. funding squeeze after a U.S. arrest warrant for its billionaire. creator over an alleged $265 million bribery scheme, credit. analysts stated, with some banks thinking about stopping fresh credit. to the group.

Back on Wall Street, stocks recuperated on Thursday after. Nvidia's short wobble when another set of stellar results. at first saw some profit-taking on its record gains.

Secret developments that ought to supply more direction to U.S. markets in the future Friday:. * United States flash company surveys for November from S&P Global and. final November home sentiment survey from University of. Michigan. * Federal Reserve Board Guv Michelle Bowman speaks;. European Central Bank board member Isabel Schnabel speaks; Swiss. National Bank Chair Martin Schlegel speaks. * United States business profits: Intuit

(source: Reuters)