Dollar Traded Flat on Weak Data as Rising Bond Yields Weighed on US Indices and AI Crypto Miners

In US equity markets, the Dow Jones, S&P 500, and Nasdaq indices closed the day lower due to selling pressure in chip stocks and elevated bond yields. Driven by inflation concerns and AI-focused bond issuances, global borrowing costs reached multi-decade highs. One of the most popular ETFs tracking US treasury bonds fell to its lowest level since 2004 amid this wave of bond sell-offs.

Rising yields also negatively affected the shares of crypto mining companies attempting to transition to the AI sector. During the day, Cipher Mining shares lost 9 percent and TeraWulf shares lost 7 percent in value. In the foreign exchange market, the dollar generally traded flat as weak economic data from the US supported expectations of a soft rate path.

In the cryptocurrency market, although Bitcoin pulled back to the 64 thousand dollar level, this was described as a "liquidity illusion" due to declining trading volumes. On the institutional front in the sector, Citigroup announced that it will offer Bitcoin custody services for its institutional clients.

In the media sector, US-based broadcasting giant Disney accused the Federal Communications Commission (FCC) and the Trump administration of restricting freedom of speech on the grounds that they did not approve of broadcast content.

This content is for general information purposes and is not investment advice.