Start trading now on Poste Italiane

Dollar index weakens amid stock market rally and dovish Fed stance

|

The fell by 0.23% on Tuesday, influenced by a stock market rally and Atlanta Fed President Bostic’s dovish stance on further interest rate hikes. This drop comes despite some safe-haven demand spurred by Middle East turmoil. Bostic expressed that the current policy rate is adequate to bring inflation down to 2%.

In contrast, the rose by 0.24% on Tuesday. This increase was triggered by the dollar’s weakness, hawkish signals from ECB’s Holzmann about potential interest rate hikes following supply shocks, and an unexpected increase in Italy’s industrial production.

The also saw an increase of 0.13% on Tuesday as the yen weakened due to reduced safe-haven demand after a substantial rally in the Stock Index, coupled with a decline in Japanese government bond yields.

Meanwhile, gold and silver prices rose for the third consecutive day, driven by factors such as a weaker dollar, dovish comments from Bostic, and a decrease in the 10-year T-note yield. The precious metals’ prices were buoyed by these factors, marking a continuation of gains from previous days.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Previous Post
Oil prices surge on fears of Mideast conflict adding to supply tightness
Next Post
Israel shekel sinks to lowest since 2016, default insurances soars

Leave a Reply

Your email address will not be published. Required fields are marked *

Fill out this field
Fill out this field
Please enter a valid email address.
You need to agree with the terms to proceed

Invest on crypto with Gianluca Vacchi project and start making money now
Win money trading on Amazon
INVEST NOW
keyboard_arrow_up