Weekly Update 11 Dec 2020

Bonds and most national currencies moved higher while cryptocurrencies and stocks pulled back; commodities were mixed. The largest gains were in cotton, up 3.5%, and coffee, up 3.4%. The CCI30 crypto index (down 4.9%) and platinum (off 4.8%) had the largest losses.

The Euro, down 0.2% was the only national currency in the red. The Japanese Yen and Canadian Dollar outperformed, rising 0.3%. The US Dollar added 0.1%, as did its short term notes. Long term bonds did extremely well, rising 2.4%, the third largest gain for the week.

Cryptos were broadly lower, pulling back after the prior week's big runup. Bitcoin fared the best, retreating 3.4%. The broader index of 30 cryptos fell 4.9%, the largest loss of the week. By the weekend, however, Bitcoin was on the rise again.

Stocks were all lower, led by the Euro STOXX index, down 1.3%. The Japanese Nikkei (off 0.1%) and the HUI gold stock index (off 0.2%) outperformed the other equities. The S&P 500 fell 0.9%.

The largest price swings were in commodities. Coffee and cotton rose 3.5% and 3.4% respectively. Precious metals saw losses, as platinum fell 4.8% and silver dropped 1.7%.

Year over year, cryptocurrencies continue to dominate, with Ether up 196.8% and Bitcoin up 99.2%. Silver earns an honorable mention, rising 15%. The year's largest losses are in crude oil, down 36.2%, and coffee, down 27.6%. Third place goes to the US Dollar, off 20.4%.

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