From Bitcoin to Dubai Airshow: Top 5 Things that Moved Markets This Past Week

Published November 19th, 2017 - 08:00 GMT
Here's a look at the top 5 things that moved global markets this past week. (Karim Sahib/ AFP)
Here's a look at the top 5 things that moved global markets this past week. (Karim Sahib/ AFP)

Here's a look at the top 5 things that moved global markets this week.

1. Bitcoin hit new all-time high

Bitcoin recorded fresh all-time highs on Friday, rising above $8,000 for the first time in its nine-year history amid reports that a group of bitcoin miners plan to move ahead with an upgrade of the bitcoin network which may lead to a split, or “hard fork”.

Bitcoin rose to an all-time high of $8,040 before paring gains.

A small group of Bitcoin miners – users who help maintain the system by validating transactions stored in “blocks” on the network – plan to initiate the SegWit2x upgrade despite the developers shelving plans for the upgrade last week.

Bitcoin demand usually surges ahead of an upgrade of the bitcoin network as it tends to lead to a split or so-called hard fork in Bitcoin, creating a new digital currency which is usually freely distributed to existing holders of bitcoin.

2. Airbus, Boeing won orders worth $77 billion at Dubai Airshow

In its largest single order ever, European plane maker Airbus on Wednesday clinched the deal for 430 aircraft from US-based private equity fund, Indigo Partners, in a deal valued at $49.5 billion in list prices.

With this, Airbus stole Boeing’s day-one thunder (Emirates $15.1b order for 787-10s) at this year’s Dubai Airshow. But Boeing, too, managed to grab another sizable order on Wednesday with flydubai committing to 225 aircraft for its 737 MAX type in a deal worth $27 billion.

The combined $76.5 billion in deals kept the momentum alive on the third day of the air show.

The surprise 430-aircraft order by Airbus comprises a commitment for 273 A320neos (new engine options) and 157 A321neos. These would be lapped up by four ultra low-cost airlines including Wizz Air from Hungary, US-based Frontier Airlines, Volaris from Mexico, and a three-and-a-half month old Chilean airline JetSMART.

The plane maker, however, refused to divulge details on its ongoing talks with Emirates for a potential order for additional A380 superjombos.

3. Gold prices surged to 5-week highs

Uncertainty surrounding U.S. tax reform and an uptick geopolitical fueled safe-haven demand, pushing gold prices to a second week of gains in a row.

The precious metal wrapped up the week amid bullish sentiment, rising to a five-week high on Friday after North Korea ruled out negotiating with Washington on curbing its nuclear weapons programme.

“As long as there is continuous hostile policy against my country by the U.S. and as long as there are continued war games at our doorstep, then there will not be negotiations,” North Korea’s US ambassador Han Tae Song said.

Gold prices closed at $1294.27, up 1.25% on Friday.

4. Global workforce is not prepared for what lies ahead, says Cisco

The next twenty years represent the greatest technological expansion and most powerful digital disruption we’ve ever seen but there are warnings that the global workforce does not have the skills required to meet the needs of the next two decades, according to a study by Cisco.

It is estimated that even by 2020, 90% of all jobs will require digital skills, and experts believe that more than a third of the desired core skill sets of most occupations will be comprised of skills that are not yet considered crucial today.

It is therefore vital, according to Cisco, to promote diversity in the tech field and provide unique learning opportunities to students of all backgrounds. 

Unless businesses focus on providing a greater number of today’s workforce with enhanced digital skills, companies and individuals risk being displaced.

5. Crude oil prices posted second weekly loss

Crude oil prices settled higher on Friday but failed to offset a weekly loss as investors had to contend with a steep losses in oil prices earlier in the week as fears over rising US output persisted, while falling expectations for an extension of OPEC-led output curbs weighed on sentiment.

Preliminary U.S. production figures showed weekly output rose by 25,000 to an all-time high of 9.65 million barrels per day, the EIA said.

U.S. producers are expected to account for 80% of the global increase in oil production over the next decade, the International Energy Agency said earlier this week.

Crude oil prices for December delivery rose 2.6% to settle at $56.55 a barrel.

Editor's note: The article has been adapted from its original source.

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