After the US Federal Reserve raised interest rates, the dollar gained and gold prices fell, while oil prices remained stable.
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The US dollar is making big gains today
The US dollar posted significant gains today, Thursday, after the US Federal Reserve raised interest rates by half a percentage point, in line with most expectations, while gold prices fell and oil prices rallied. are stabilized in the first exchanges.
Fed policy makers expected further hikes and keeping interest rates high for longer than previously hoped.
US Central Bank President Jerome Powell referred to the FOMC’s determination to “calm inflation despite recession risks” by expecting the interest rate to exceed 5%.
Gold prices have fallen
In parallel, gold prices fell nearly 1% on Thursday following a statement from Powell, in which he said “next year we will see more interest rate hikes.”
Spot gold fell 0.9% to $1,791.71 an ounce as of 07:24 GMT, further down from its recent more than 5-month high. U.S. gold futures fell 0.9% to $1,802.10.
For his part, Christopher Wong, an analyst at VOCBFX, said: “The US central bank’s participation in the trend to tighten monetary policy is putting pressure on the metal and that gold price expectations depend on the amount of tightening that central banks, especially the central bank of the United States – intends to do.” from now on”.
And earlier this month, the World Gold Council announced in its monthly report that “Central banks have maintained their appetite for the yellow metalAnd his possession was revoked last October.
Gold is known as an inflation hedge, but high interest rates tend to weaken its attractiveness because they increase the opportunity cost of holding non-returnable metal.
Oil price stability
Similarly, oil prices were broadly stable in early Asian trade today Thursday as investors gauged optimism about the demand outlook in China amid a possible rise in interest rates at central banks of all the world.
At 01:21 GMT, Brent crude futures were up 1 cent to $82.71 a barrel, before easing slightly during morning trading.
West Texas crude futures, the U.S. broker, fell 4 cents to $77.24 a barrel, before continuing to decline slightly.
And yesterday, Wednesday, the US Department of Energy’s weekly magazine revealed, Low oil stocks In the US Strategic Reserve, it increased by 4.7 million barrels last week to reach 382.3 million barrels.
