Headline: Markets Split as Dow Hits Record; NBIS Wins $3B Meta Contract; Commodities and Crypto Advance
Introduction: Risk sentiment was mixed across global markets as investors balanced policy expectations, corporate momentum, and supply-driven commodity moves. Equities diverged, energy and softs rallied, and crypto drew fresh institutional capital while macro signals from China stayed cautious.
The Dow climbed to a record on optimism around a government funding resolution, even as the Nasdaq eased amid rotation out of Big Tech and into defensive sectors. Rate-cut expectations from the Federal Reserve remained intact. In corporate news, NBIS reported a fourfold surge in revenue and secured a $3 billion contract with Meta. Despite those catalysts, the stock remains about 30% below its peak, with several analysts projecting roughly 40% upside from current levels.
Policy and currency dynamics were in focus. Goldman Sachs now anticipates China’s “dual cut” arriving in early 2026 as the PBOC prioritizes currency stability over near-term stimulus. Any appreciation of the yuan is expected to be gradual and dependent on stronger exporter inflows. In Australia, RBA Assistant Governor Brad Jones cautioned that markets are struggling to accurately price risk, underscoring the fragility of current valuations.
Commodities and digital assets advanced. Natural gas jumped around 4%, while coffee and cocoa extended gains on tight supplies. Grains were mixed, with algorithmic flows lifting corn as soybeans and wheat drifted lower. In crypto, a former BlackRock executive committed over $3 billion to Ethereum, citing an approximate 3% staking yield, growing institutional trust, and ETH’s potential as future financial infrastructure. Travel disruptions added to the day’s headlines as operational turmoil grounded roughly 1,200 flights, with delays persisting even as systems normalized.
Key Points: – Dow sets a record as defensive rotation weighs on the Nasdaq; Fed rate-cut expectations remain firm. – NBIS revenue quadruples and lands a $3B Meta deal; shares are ~30% below highs, with analysts seeing ~40% upside. – Goldman Sachs expects China’s “dual cut” in early 2026 as the PBOC prioritizes currency stability and a slower yuan path. – RBA’s Brad Jones warns markets are struggling to price risk appropriately. – Commodities: natural gas up ~4%; coffee and cocoa rally on tight supplies; grains mixed with corn higher. – Crypto: ex-BlackRock executive allocates $3B+ to Ethereum, citing yield and institutional adoption; widespread flight delays impact travelers.
