【Market Storm Approaching】US CPI Triggers Chain Reaction, Palladium and Platinum Soar to New Highs

Tonight, the US will release the November CPI data, and the market faces multiple tests. Analysts expect the CPI year-over-year increase to rise to 3.1%. If the data exceeds expectations, it will reinforce the narrative of “higher interest rates for longer,” instantly reversing market sentiment.

Central Bank Intensive Decisions Spark Currency Fluctuations

The Bank of England and the European Central Bank will announce interest rate decisions tonight at 20:00 and 21:15 respectively. The market widely expects the Bank of England to cut interest rates by 25 bps, while the European Central Bank will keep the deposit facility rate unchanged at 2%. As a result, EUR/USD has fallen 0.16% to 1.1721. Investors should closely monitor currency fluctuations and their impact on global asset allocation.

Precious Metals Boom! Palladium and Platinum Hit Half-Century Highs

Platinum and palladium have risen for the sixth consecutive trading day, with platinum prices briefly surpassing $1978 per ounce, reaching the highest level since 2008. The World Platinum Investment Council issued a warning: by 2025, the global platinum market will face a supply shortage for the third consecutive year, with the gap potentially extending until 2029. As a member of the same group of precious metals, palladium also benefits from tight supply conditions.

This wave of precious metals rally reflects the market’s reassessment of recession risks and a deep game of chess over central bank monetary policy directions.

US Stock Futures Lead Gains, Tech Stocks Reignite Speculation

Before the opening of US markets on December 18, the three major stock index futures all rose. As of 5:04 AM Eastern Time, Dow futures are up 0.14%, S&P 500 futures up 0.44%, and Nasdaq 100 futures up 0.80%.

Tech stocks performed remarkably well, with NVIDIA(NVDA) rising 1.12% pre-market, and Tesla(TSLA) up 1.65%. Micron Technology(MU) led with a pre-market gain of 10.03%, driven by better-than-expected earnings. However, Oracle’s negative news rekindled concerns about an AI bubble, and market sentiment remains unstable.

Cryptocurrency Rebound Faces Challenges

Bitcoin(BTC) is currently priced at $87.61K, up 0.16% in 24 hours. Ethereum(ETH) is at $2.94K, down 0.56% in 24 hours. Yesterday, Ethereum briefly fell below $2800, indicating that the crypto market is still weighed down by AI concerns.

Wintermute strategist Jasper De Maere pointed out that before new catalysts emerge, Bitcoin will remain range-bound. The large options expiration in late December could become the next trigger point, and investors should stay vigilant.

Tonight, the US CPI, central bank decisions, and options expirations will intertwine, leading to increased market volatility. Rotation between risk assets and safe-haven assets will become the main theme.