Bond interest rates may determine market direction

SPECULATORS on stocks and bitcoin learned this week that market "melt-ups" - greed-fuelled, rocket-paced rallies such as those of the last three months - are so-called because of how often they are followed by meltdowns.

With the biggest January gains since 2003, the stock market melted up at the start of the year and, last week, it melted down.

This week, the same momentum that carried stocks and digital currencies to such heights could perpetuate the slide, particularly if interest rates continue climbing on the bond market.