CBOE, which has the largest share of US options markets, is gearing up to launch options and derivatives on bitcoin, just as the controversial cryptocurrency embarks on its experiment that will help determine its future.
The Chicago exchange on Wednesday agreed an exclusive licencing deal to take bitcoin data from Gemini Trust, the virtual currency exchange run by twin Cameron and Tyler Winklevoss.
The deal comes at a sensitive time for the cryptocurrency, which this week undertook the most significant change in its nine-year history by splitting into two currencies because some users felt transaction volumes increased to unmanagable levels.
Rebel users created a new version of the currency, known as Bitcoin Cash. Over the last five years, the total value of all bitcoin outstanding has grown from less than $1bn to nearly $50bn. The total value of all cryptocurrency tokens outstanding is now approximately $100bn.
Following the split, a divergence of more than $1000 has appeared between the rough market prices for the “core” bitcoin and the new version. The Gemini data the CBOE will use covers the older version of the bitcoin currency.
The U.S. stock market finished higher Tuesday, with the Dow logging its second straight record and a sixth straight session in positive territory on the back of upbeat earnings, shaking off less-than-stellar reports on manufacturing and inflation.
The Dow Jones Industrial Average DJIA, +0.33% added 72.80 points, or 0.3%, to finish at an all-time closing high at 21,963.92, marking its 31st record in 2017 and putting the blue-chip gauge within 40 points of a milestone at 22,000. The Dow had touched an intraday all-time high at 21,990.96 before retreating somewhat.
The S&P 500 index SPX, +0.24% rose 6.05 points, or 0.2%, to 2,476.35, not far from its record close set last week at 2,477.83. Financials and technology were among the best sector performers of the S&P 500’s 11 industry groups.
The Nasdaq Composite Index COMP, +0.23% advanced 14.82 points, or 0.2%, to 6,362.94.
The S&P 500 has climbed to an all-time high on the back of a heavy day of corporate results highlighted by well-received reports from McDonald’s and Caterpillar and gains for bank shares.
On Tuesday the Nasdaq also managed to set a record high despite declines in Google parent Alphabet after its results. Alphabet shares ended down 2.9 per cent.
Shares of McDonald’s rose 4.8 per cent after the fast-food chain reported strong global sales. Caterpillar shares surged 5.9 per cent after the heavy equipment maker raised its full-year outlook for the second time this year.
Those stocks spurred the Dow industrials, leaving the index close to record territory.
Data showing a jump in US consumer confidence amid optimism over the labour market added to the bullish sentiment.
The Dow Jones Industrial Average rose 100.26 points, or 0.47 per cent, to 21,613.43, the S&P 500 gained 7.17 points, or 0.29 per cent, to 2477.08 and the Nasdaq Composite added 1.37 points, or 0.02 per cent, to 6412.17.
The Standard & Poor’s 500 index rose 7.73 points, or 0.3 percent, to 2,372.60. The Dow Jones industrial average gained 44.79 points, or 0.2 percent, to 20,902.98. The Nasdaq composite added 22.92 points, or 0.4 percent, to 5,861.73.
Stocks had mostly fallen since March 1, the day indexes soared to their most recent record highs.
Overall it was a slow week for stocks. The current bull market had its eighth anniversary, but six-week winning streaks for the S&P 500 and Nasdaq ended, and the Russell 2000 index of small-company stocks took its biggest loss in three months.
U.S. employers added 235,000 jobs in February, according to the Department of Labor. The gains in hiring and pay, along with higher consumer and business confidence since the November election, could lift spending and investment in coming months and accelerate economic growth.
A poor jobs report was probably the last thing that could have stopped the Federal Reserve from raising interest rates next week.
Stocks closed out the week in a strong fashion Friday as the Dow, S&P 500 and Nasdaq all jumped to new all-time highs in the market’s push further into record territory.
The Dow Jones industrial average rose 96.97, or 0.5%, to close at a record 20,269.37, according to preliminary calculations. The Standard & Poor’s 500 index gained 8.23 points, or 0.4%, to 2316.10 and the Nasdaq composite index added 18.95, or 0.3%, 5734.13. Both the S&P and Nasdaq were up for a fourth straight day.
Miners and other raw materials companies led the market rally and rising crude oil prices also gave energy companies a big boost. Investors kept their focus on strong company earnings and corporate deal news.
Investors have focused on companies quarterly results lately as they size up corporate America’s growth prospects. Earnings are on track to mark the second-consecutive quarter of growth after a losing streak of five straight quarters. Beyond earnings, investors are also eying Washington D.C. for signs the Trump administration will deliver on the promised business-friendly policy proposals that helped drive a market rally last fall, including slashing government regulations and taxes.
Benchmark U.S. crude was up 91 cents, or 1.7%, at $53.91 a barrel in New York. The contract rose 66 cents on Thursday. Brent crude, the benchmark for international oil prices, was up $1.05, or 1.9%, at $56.68 a barrel in London.
Stock indexes wavered between small gains and losses before ending mixed Thursday as investors sized up the latest company earnings news. Consumer goods and industrial stocks climbed the most, while health care and utilities were among the biggest laggards.
The Dow Jones industrial average climbed further above the 20,000 level it passed Wednesday. gaining 32 points, or 0.2% to 20,100.91.
Wall Street came off solid gains from the day before. The Dow Jones industrial average, after topping the magic 20K milestone and staying there, hit a record closing high along with the Nasdaq composite and the S&P 500.
On Thursday the Nasdaq slipped fractionally, losing just 0.02% to 5655.18. Off a little less than 0.1% was the S&P 500, now at 2296.68.
It’s been a record-making week on Wall Street. The S&P 500 index and Nasdaq composite closed at all-time highs on Tuesday and Wednesday. The Dow, which tracks 30 major industrial companies, added its own milestone Wednesday after it breached the 20,000 mark for the first time.
The market is getting a general boost from strong company earnings and investor optimism that the Trump administration’s policies on taxes, regulation and trade will be good for business.
Oil prices jumped as benchmark U.S. crude oil was up $1.07, or 2%, at $53.82 per barrel in New York. Brent crude, used to price international oils, was up $1.08, or 1.9%, at $56.50 a barrel in London.
Stocks sank on the last trading day of 2016, with the Dow now 237 points short of the 20,000 milestone that it came closest to hitting on Dec. 20.
It was merely a weak end to a very strong year, however, with the S&P 500 gaining 9.5% and the small-company Russell 2000 jumping 19.5% for 2016.
For the day, the Dow Jones industrial average lost 0.3%, off 57 points to 19,762.60. But for 2016, the blue chips gained 13.4%.
The S&P 500 ended 0.5% lower for the day, while the Nasdaq composite fell 0.9%
Global stocks mostly rose on the year’s last day of trading, with Britain’s index rallying to hit another all-time high. The FTSE 100, which was trading for only a half day, rose 0.3%. That leaves the index 14.4% higher over 2016. Elsewhere in Europe, Germany’s DAX rose 0.3%, while France’s CAC 40 gained 0.5%.
Stocks gained Thursday, the Nasdaq joining the Dow, S&P 500 and Russell 2000 in record territory as all four indexes hit new all-time closing highs.
After a quiet start, major U.S. stock indexes jumped in afternoon trading as the market built on a surge the previous day. Banks and basic materials companies made the biggest gains, and technology companies also climbed. Defense contractors and other industrial companies took losses.
The small-stock Russell 2000 surged 1.5%.
Meanwhile the Dow Jones industrial average ended up about 65 points, or 0.3%. The Standard & Poor’s 500 index rose 0.2%. The Nasdaq composite jumped 0.4%.
These are the new closing highs for the four indexes:
U.S. government bond prices fell, sending yields higher. The yield on the 10-year Treasury note rose to 2.40% from 2.34%. That drove banks stocks up since higher interest rates will allow banks to charge more for lending money. Goldman Sachs (GS), which has surged 32% since the presidential election and is trading at a nine-year high, was up 2.5%, and Bank of America (BAC) picked up 1.7%.
European stocks climbed for the second day in a row. Germany’s DAX index was up 1.8% and France’s CA 40 index gained 0.9%. London’s FTSE 100 rose 0.4%.