World Street | Bitcoin inches close to $100,000, China factory activity expands, Bulgari eyes India and more
2024-12-02

Bitcoin recorded one of its best months in November as the cryptocurrency surged around 40 percent to edge closer to the $100,000-mark. China's manufacturing activity expanded in November, reflecting the positive impact of recent stimulus measures in rejuvenating certain sectors of the struggling economy. LVMH-owned jeweler Bulgari is turning its focus to India, aiming to counterbalance the impact of weakening luxury demand in China amid the country's economic slowdown. All this and more on the December 2 edition of World Street.
Going up!
Bitcoin recorded one of its strongest months this year, tracking a 38 percent gain for November, per Coin Metrics. The flagship cryptocurrency surged to consistent new records following former President Donald Trump’s election victory. This marks Bitcoin’s best performance since February, when it rallied 45 percent after the debut of spot Bitcoin ETFs, achieving its first new high since November 2021. Looking ahead, bitcoin enthusiasts forecast the cryptocurrency’s price to reach $100,000 by the end of 2024 and potentially double by the close of 2025. While the US election outcome offered a short-term lift, many investors believe its influence as a driver for Bitcoin's growth will diminish in 2024.
Swelling with pride
China's manufacturing activity saw continued expansion in November, suggesting that recent stimulus measures are beginning to bolster parts of the struggling economy. The Caixin/S&P Global manufacturing purchasing managers' index (PMI) came at 51.5 in November, surpassing the 50.5 estimate from a Reuters poll. This marks the second consecutive month the reading has stayed above the critical 50 threshold, indicating growth.
Shifting focus
LVMH-owned jeweler Bulgari is shifting focus to India to counter the impact of waning luxury demand in China amid an economic slowdown. Bulgari CEO Jean-Christophe Babin, in an interview with Bloomberg TV, highlighted the brand's plans to capitalize on India’s robust growth and favorable demographics. Currently, the brand operates 13 boutiques or official retailers in the country. “We anticipate significant growth in luxury over the coming months and years, positioning India among the top five or eight markets globally,” Babin remarked.
Global luxury giants, including LVMH and Kering, have faced declining sales in China during the first nine months of the year as the country’s economy grapples with recovery challenges from a housing crisis.
Keep it low
Shares of Australian-listed GQG Partners tumbled 13 percent after UBS analysts downgraded the stock, citing concerns over a potential loss of A$600 million ($390 million) in funds under management linked to the Adani Group indictment. GQG, a prominent supporter of Adani Group companies, faces scrutiny after Adani's founder, Gautam Adani, and seven associates were charged by U.S. authorities with bribery. The Adani Group has dismissed the allegations as baseless and pledged to pursue "all possible legal recourse." UBS downgraded GQG from a buy to neutral rating, slashing the stock's price target from A$3.30 to A$2.30.
Back in redGazprom reported a Q3 2024 loss of 53 billion roubles ($492.5 million), attributed to an expected 20 percent profit tax hike in 2025, compared to a 56.4 billion rouble profit in Q3 2023. However, nine-month net income surged to 990 billion roubles, driven by higher gas prices, increased supplies, and strong oil sales. EBITDA rose 23 percent year-on-year to 2.14 trillion roubles, among the company’s highest. Gazprom's dividend payout base reached 842 billion roubles, but no dividends were paid for 2023 due to its first annual loss since 1999.