On Thursday, US equity indices continued their decline for the fourth consecutive day, on the back of statements by the Federal Reserve chairman, in which he stressed that it is still too early to talk about stopping the rise in interest rates or lowering it.
A day after the planned decision to raise interest rates on bank funds by three-quarters of a percentage point, US markets are still working Understanding the words of Jerome PowellThe President of the Bank and the extent of their impact on his next decision, in the last meetings of the year, on US interest rates.
At the end of a trading day, most of which was in the red, and its losses have increased in the last few minutes, the Dow Jones Industrial Average has lost nearly half a percentage point and the S&P 500 Index losses have surpassed the 1%, while the Dow Jones The industrial average lost nearly half a percentage point. losses Nasdaq index of 1.75%.
US Treasuries did not escape losses, as Powell’s words caused yields to rise Ten-year bonds The benchmark yield climbed 10 basis points to 4.15 percent, while the two-year bond yield jumped to its highest level since 2007, at the time of the global financial crisis, at 4.74 percent. The price of bonds decreases as the yield increases.
Gold has not escaped the Federal Reserve massacre, and its price has fallen to its lowest level in more than a month, as the cost of maintaining it increases with each hike in the dollar rate. The precious metal recorded a price of $ 1,629.97 an ounce at the end of trading on Thursday, down 0.3 percent, although the losses during the day were greater.
Thursday’s losses touched the black horse of the year as oil prices fell more than 1.5%, with Brent crude returning $ 94.67 a barrel on liquidation, while the price of West Texas crude oil was $ 88.17 a barrel in futures markets.
The drop in prices is due to the market’s fear of a drop in demand for black gold as interest rates continue to rise and the global economy enters a recession.
