Recent Crypto Selloff Might Signal Increased Wariness Over Speculative Assets, Says BIS -- Market Talk

Dow Jones12-08

0905 ET - The slump in cryptocurrencies last month might signal the fragility of positive risk sentiment and increased investor wariness over speculative assets, according to the BIS quarterly review. Risk taking has met a bit of choppiness, BIS economic advisor Hyun-Song Shin says in a call with reporters. November saw a recoiling from risk after strong risk appetite in October, he says. "If the market gets ahead of itself, we may see a repeat of what we saw in November," he says. A key factor influencing risk sentiment next year will be how strong the real economy is and so far activity has been surprisingly resilient, he says. The impact of tariffs has been smaller than many had feared, he says. (renae.dyer@wsj.com)

 

(END) Dow Jones Newswires

1412 GMT - The slump in cryptocurrencies last month might signal the fragility of positive risk sentiment and increased investor wariness over speculative assets, according to the BIS quarterly review. Risk-taking has met a bit of choppiness, BIS economic advisor Hyun-Song Shin says in a call with reporters. November saw a recoiling from risk after strong risk appetite in October, he says. "If the market gets ahead of itself, we may see a repeat of what we saw in November." A key factor influencing risk sentiment next year will be how strong the real economy is, and so far activity has been surprisingly resilient. The impact of tariffs has been smaller than many had feared, he says. (renae.dyer@wsj.com)

 

(END) Dow Jones Newswires

December 08, 2025 09:12 ET (14:12 GMT)

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