Asia Stocks Extend Tech-Led Rebound on Fed Cut Bets; Bitcoin Stabilizes as Traders Map $80k–$90k Range
Asian equities rose in early trade, tracking Wall Street’s tech surge and softer U.S. yield dynamics as markets leaned into renewed Federal Reserve easing hopes. Crypto sentiment steadied after a sharp pullback, with Bitcoin oscillating inside a tightly watched $80,000–$90,000 corridor. In commodities, Moscow moved to lock in Chinese demand via a decade-long oil supply extension as Russia’s energy receipts falter, while Woodside and Timor-Leste set an LNG development window into the mid-2030s. UK fiscal risk also moved up the agenda with fresh signals of tax increases.
Tech momentum lifts risk appetite – Asia’s major benchmarks advanced, led by technology and internet names, after an overnight rally driven by AI-linked gains in U.S. mega-cap tech. Alphabet’s outperformance underpinned the rebound, bolstering risk sentiment across semiconductors and cloud-exposed shares. – The equity bid came as traders added to Fed rate-cut positioning on expectations that cooling U.S. economic prints could temper policy restraint. Lower front-end yields and a softer rates vol backdrop improved liquidity flows into growth stocks, while FX volatility stayed contained across the region. – Some desks flagged concentration risk, with positioning still heavy in AI winners and an eye on potential cross-currents from Nvidia-related supply chain headlines. Nonetheless, breadth improved as dip-buying extended beyond the mega-cap complex.
Crypto: Volatility cools, focus on $80k support and $90k resistance – Bitcoin’s recent slide eased, with the 14-day RSI near 32 signaling proximity to oversold territory. Derivatives desks reported a narrowing in put premia, suggesting reduced demand for downside hedges after spot held key support. – Traders mapped near-term resistance around $90,000 with topside interest clustered around $87,000, while ETFs continued to see modest outflows—tempering aggressive upside calls and keeping a lid on implied vols. A sustained break above $90,000 would likely reset the topside narrative; a slip below $80,000 risks a momentum unwind.
Energy: Russia targets longer China tie-up as revenues decline – Moscow is seeking to extend oil supply arrangements with China for up to 10 years, a bid to secure predictable flows and pricing amid shifting global trade patterns. The push comes as Russia’s oil revenues reportedly fell about 35%, pressured by a stronger ruble and softer crude pricing. – A longer-tenor deal would anchor export volumes and hedge against wider sanctions-related dislocations, but it could also entrench discounts and limit upside participation if benchmark prices rebound.
Woodside–Timor-Leste LNG sets timeline, investors parse route and fiscal terms – Woodside Energy and Timor-Leste finalized a framework for LNG development with first gas targeted for 2032–2035. Investors are watching fiscal frameworks, cost recovery structures, and competing pipeline routes that will determine project economics. – The elongated timeline keeps supply additions at the back end of the decade, with potential implications for regional LNG balances and long-dated price curves.
UK fiscal outlook raises gilt, sterling sensitivity – The UK budget process is leaning toward further tax increases as elevated inflation and public debt curtail fiscal space. Markets will scrutinize the upcoming plan for signals on growth strategy, spending discipline, and the glide path for deficits. – For Prime Minister Keir Starmer, the stakes are high: a credible consolidation path could stabilize gilt term premia, while growth-friendly measures will be judged against constraints on public finances. Sterling traders remain highly sensitive to any tax or spending headlines that shift the macro mix.
Market Highlights – Asia equities track U.S. tech-led rally; risk appetite improves on Fed cut hopes. – Bitcoin steadies; RSI near 32, puts cheapen; traders eye $80k support, $90k resistance; ETF outflows persist. – Russia seeks 10-year oil extension with China as energy revenues drop ~35%. – Woodside–Timor-Leste LNG targets first gas 2032–2035; investors assess route and fiscal design. – UK signals more tax hikes; markets weigh growth versus consolidation.
What traders are asking
Q: What is driving the tech-led rally in Asia? A: AI-related gains in U.S. megacaps—particularly Alphabet—improved global risk appetite. Softer U.S. yields on rising Fed easing expectations supported duration-sensitive growth names across Asia.
Q: How firm is Bitcoin’s support around $80,000? A: Options pricing and the RSI suggest selling pressure has moderated near $80,000. A decisive break below would risk a momentum reset; holding the level keeps the $87,000–$90,000 topside in play.
Q: Why is Russia pushing for a decade-long oil deal with China? A: With oil revenues pressured by a stronger ruble and lower prices, Russia is seeking long-term demand certainty and reduced pricing volatility via extended supply commitments to China.
Q: What are the key watchpoints for the UK budget? A: The balance between tax increases and growth initiatives. Gilt yields, sterling, and equity risk premia will react to signals on fiscal credibility, investment incentives, and the medium-term debt path.
This article was produced for global investors by BPayNews’ markets desk.
