Stocks Rally as Trade Tensions Ease; Crypto Markets Watch for Spillover Effects
U.S. equities surged late Friday after President TRUMP struck an optimistic tone on U.S.-China trade relations, with the S&P 500 posting its strongest weekly gain since August. The risk-on shift saw capital rotate from bonds to stocks, lifting regional bank shares while pressuring haven assets like gold.
While the article makes no direct mention of cryptocurrencies, the renewed risk appetite in traditional markets often correlates with increased capital flows into digital assets. Bitcoin and major altcoins typically benefit when macroeconomic uncertainty diminishes, as seen during previous trade war de-escalations.
The Treasury yield climb suggests investors are pricing in reduced macroeconomic risks—a development that historically precedes institutional crypto allocations. Market makers on exchanges like Coinbase and Binance often see increased stablecoin flows during such risk-on rotations.
