Weekly Update 8 Dec 2017: Bitcoin Ignites Second Stage
Digital tokens and commodities were again mixed, while other asset classes were mostly higher. Bitcoin made the largest gains, rising 50.8% for the week to close at 399.3 grams. Cotton ended in second place, up 2.6%. The largest losses were in coffee, which fell 3.5% for the week, while gold stocks dropped 2.8% and platinum fell 2.6% to close at 22.2 grams per ounce, a new all-time low.
The strongest currency was the US Dollar, which gained 2.0% to close at 24.9 mg, but the Chinese Yuan wasn't far behind, rising 1.9%. The Canadian Dollar and the Euro were the weakest currencies, gaining 1.0% apiece. Bonds tracked the Dollar closely, with long term bonds rising 2.1%, and short term bonds gaining 2.0%.
After closing the prior week at a new all-time high of 264.8 grams, Bitcoin traded in a fairly narrow range until Wednesday and Thursday, when it soared to a new high of 417.8 grams before pulling back on Friday to finish the week at 399.3 grams, up 50.8%. Bitcoin continued to slide over the weekend, losing about 11%, but rallied on Monday the 11th to 416.5 grams, just 0.3% below Friday's all-time high. Ethereum dithered early in the week, then dropped 7% on Wednesday, but recouped most of that loss on Thursday and Friday to finish the week down 0.3% at 11.3 grams. ETH swung wildly over the weekend, but climbed on Monday the 11th to close at a new all-time high of 12.8 grams.
Gold stocks were hit hard, falling 2.8% for the week, but all the major stock indexes were higher, led by the Dow Industrials which added 2.4%. The Japanese Nikkei rose least, gaining 1.3%.
Cotton was the strongest commodity again this week, rising 2.6%. Palladium was also strong, gaining 1.3%. Coffee was weakest, dropping 3.5%, and platinum fell 2.6% to a new all-time low of 22.2 grams per ounce. Silver and copper were also weak, falling 1.7% apiece. As in the prior week, crude oil rose slightly, adding another 0.2%.