Midday Market Insights: Bank of Japan Announces Interest Rate Hike, Benchmark Rate Reaches 30-Year High

Market and Policy Global Indices

The Hang Seng Index closed at 25663.41, up 165.28 points or 0.65% from the previous trading day. The highest price reached was 25692.71, and the lowest was 25545.92. Turnover was HK$97.521 billion.

The Hang Seng Tech Index closed at 5480, up 61.71 points or 1.14% from the previous trading day. The highest price reached was 5497.57, and the lowest was 5432.41. Turnover was HK$21.512 billion.

Bitcoin price is $87,087.95, up +322.50 in the last 24 hours (+0.37%).

Ethereum (ETH) price is $2,922.05, up +83.80 in the last 24 hours (+2.95%).

Bank of Japan announces interest rate hike, benchmark rate reaches 30-year high

The Bank of Japan decided to raise interest rates by 25 basis points at its monetary policy meeting on the 19th, raising the policy rate from 0.5% to 0.75%, reaching its highest level in 30 years.

Industry/Company Trends

Middle East Digital Transformation: Gulf Countries Compete to Build Advanced AI Data Centers

① Gulf countries are currently increasing investment in the construction of AI data centers, viewing them as a pillar of non-oil economic growth;

② Saudi Telecom and Humain have established a joint venture to develop and operate advanced AI data center infrastructure in Saudi Arabia;

③ Global electronics giant ABB has partnered with Nvidia to develop next-generation data center infrastructure in Saudi Arabia and the UAE, expected to provide strong support for AI computing power loads in both countries.

Revitalizing AI Confidence! Wall Street Praises Micron's Earnings: One of the Biggest Surprises in US Chip History

① Micron Technology recently released better-than-expected earnings, driving its stock price up 14%, becoming one of the biggest surprises in the history of the US chip industry;

② Wall Street analysts have raised their earnings forecasts and target stock prices for Micron, giving it a "buy" rating, believing that its DRAM chip revenue growth of 69% has boosted the confidence of US tech bulls.

ByteDance is Advancing AI Phone Cooperation with Multiple Manufacturers

Jiemian News has exclusively learned that ByteDance is advancing cooperation with hardware manufacturers such as vivo, Lenovo, and Transsion on AI phones, pre-installing AIGC plugins on their devices to gain user access and reverse the current passive situation of AI at the execution level. Several vivo employees confirmed to Jiemian News that vivo and ByteDance have confirmed cooperation, and the two sides are discussing specific cooperation details. Jiemian News sought confirmation from ByteDance, vivo, Lenovo, and Transsion regarding this news, but as of press time, none of the above manufacturers have responded.

TikTok's US Plan Revealed! ByteDance Retains E-commerce and Advertising Businesses; Oracle and Two Other Investors Join in New Company

① ByteDance and TikTok have signed agreements with three investors to establish a new TikTok US joint venture;

② ByteDance will retain its e-commerce and advertising businesses. The joint venture will be responsible for data security.

Hong Kong Financial Services and the Treasury: Studying Legal Regulatory Framework for Tokenized Bond Issuance and Trading

The "Web5 Ecosystem" Summit was held in Hong Kong, hosted by Fosun Wealth Holdings and Starway Technology. At the summit, Chan Ho-lim, Under Secretary for Financial Services and the Treasury, stated that government departments are studying the legal regulatory framework for tokenized bond issuance and trading, exploring optimization measures, promoting the adoption of tokenization technology in the Hong Kong bond market, and enriching the product range in Hong Kong's tokenized and digital asset sectors. In addition, the Hong Kong Monetary Authority is promoting a digital currency project, including encouraging commercial banks to launch tokenized deposits and promoting the trading of real tokenized assets. Starway Technology is Hong Kong's first platform to support the distribution of multi-currency tokenized funds. Cheng Kang, CEO of Fosun Wealth Holdings and Chairman of Starway Technology, stated that the assets under management (AUA) are currently close to HK$30 billion.

Michael Saylor: Bitcoin Has Made Significant Progress in Regulation and Institutional Adoption Over the Past Year

In an interview, Michael Saylor stated that despite Bitcoin's poor price performance (falling from $100,000 to $87,000), the past year has seen unprecedented progress in regulation, institutional adoption, derivatives markets, bank credit, and fair value accounting, laying the foundation for global adoption. Bitcoin represents a breakthrough in economic power and can extend human economic lifespan. Furthermore, Michael Saylor is optimistic about quantum computing, believing it will trigger network upgrades and deflationary events. He holds a conservative view on changes to the Bitcoin protocol, arguing that unnecessary functional expansion should be avoided to maintain its core status as a digital asset.

Grayscale: Stablecoin Supply to Reach $300 Billion in 2025, with Monthly Trading Volume of $1.1 Trillion

Grayscale stated on its X platform that stablecoins will experience explosive growth in 2025, with a supply reaching $300 billion and monthly trading volume reaching $1.1 trillion. With the passage of the GENIUS Act and the increase in stablecoin adoption, blockchain projects such as ETH, TRX, BNB, and SOL will benefit from the growing transaction flow, as will infrastructure such as Chainlink (LINK) and emerging networks such as XPL.