A cryptocurrency hoax! Kroger Co. stated a news release announcing the grocery chain’s plans to accept Bitcoin Cash was fake. A Kroger spokesperson told Bloomberg News the corporation had not made a comment. The grocer’s website has removed the phony document.
The notice surfaced Friday morning on PRNewswire, a wire service utilized by many major corporations to make official announcements. Kroger’s investor relations website picked up the information automatically. Several major news outlets, including Bloomberg News, took up the comment.
Over two months ago, a different wire service, GlobeNewswire, issued a false announcement claiming Walmart Inc. had partnered with Litecoin. Walmart later denied the claim and removed the statement.
Requests for comment from PRNewswire went unanswered.
Kroger shares fell 0.4% in premarket trading in New York at 8:25 a.m.
The grocer said that Reuters Kroger Co is investigating a bogus press release stating it accepts bitcoin currency at its stores on Friday.
The announcement was later removed from Kroger’s investor relations page.
The company claims the page gets a direct feed from PR Newswire (PRN), which also published the bogus announcement.
“This information was fake, unsubstantiated, and should be ignored,” a business spokeswoman said via email, adding that Kroger has contacted PRN.
PRN retracted the false statement and said it was “urgently examining the event, including possible criminal activities.”
Bitcoin Cash is a 2017 fork of the bitcoin software code led by a small group of predominantly Chinese bitcoin miners. (https://reut.rs/3bL8MNO)
In September, a bogus press release advertising cooperation between Walmart and litecoin was published. The news drove the price of the obscure cryptocurrency soaring.
Despite a run of hoaxes, mainstream investors and companies like AMC Entertainment Holdings Inc are accepting bitcoin, ether, bitcoin cash, and litecoin for ticket transactions.
Bitcoin values fell somewhat after Kroger called the publication a hoax.
An SEC representative stated the agency would not comment on “the existence or nonexistence” of a probe into the bogus press release.
Dollar jumps following jobs data then retreat
It rose to its highest level in almost a year on Friday as statistics revealed more significant than expected employment growth in October. Still, it fell in late trade as risk appetite improved and markets surged.
Last month’s nonfarm payrolls grew by 531,000, above expectations of 450,000. August and September numbers were revised upward by 235,000 jobs.
After the jobs report, the dollar index hit 94.634, its highest since Sept. 25, 2020.
The safe-haven currency weakened as risk appetite rose and markets rallied. With so many central bank meetings this week, investors had to reassess their rate hike forecasts.
On Wednesday, Jerome Powell, the Fed’s chairman, indicated that there was “still ground to cover” to reach maximum employment. There was a $15 billion monthly taper announced by the central bank.
A TD Securities strategist said the payrolls print “is consistent with Powell’s statement at the Fed press conference, when he stated that job growth of this magnitude are consistent with making meaningful further progress.”
They added that the dollar is set for a significant rise, which coincides with the November seasonal tendency.
An unchanged participation rate in the US jobs report may prompt the Fed to act sooner than expected, according to Sal Guatieri, the senior economist at BMO Capital Markets.
As the jobless rate continues to fall, “further weakness in participation could lead to faster tapering and earlier rate hikes,” he warned.
The Bank of England’s decision not to raise ultra-low benchmark rates on Thursday stunned markets, sending sterling down 1.6% on the day, its most significant one-day drop in over 18 months.
On Friday, sterling sank 0.5 percent to a new one-month low of $1.34250. It was down 0.7% yesterday.
Despite inflationary pressures, the Reserve Bank of Australia kept rates earlier in the week. The Aussie rose 0.01 percent to $0.73995, reversing overnight losses, but was still on track for a weekly loss of approximately 1.6 percent.
On Wednesday, ECB President Christine Lagarde rebuffed market expectations for a rate hike in October, saying it was unlikely to happen in 2022.
The euro rose 0.8% to $1.15635.
Bitcoin fell 0.89 percent to $60,908.40, having generally traded sideways since hitting a new high above $67,000 last month.