The US dollar is hovering at a one-year low Gold continues to rise, with the possibility of breaking historical highs again

28 Aug, 2024

On Tuesday (August 27th), driven by the prospect of an upcoming US interest rate cut, the US dollar index fell to its lowest point in over a year and is expected to record its largest monthly decline

On Tuesday (August 27th), driven by the prospect of an upcoming US interest rate cut, the US dollar index fell to its lowest point in over a year and is expected to record its largest monthly decline since November 2022, ultimately closing down 0.30% at 100.56. The range of inverted US Treasury bonds has narrowed, with the benchmark 10-year US Treasury yield closing at 3.8310%; The two-year US Treasury yield, which is more sensitive to monetary policy, ultimately closed at 3.9120%.

 

Gold prices rose 0.26% on Tuesday (August 27th) to close at $2524.44 per ounce, driven by the weakening of the US dollar. The US dollar index hit a new low in over a year, helping gold prices stay above the 2500 mark and rise again. Investors are waiting for inflation data, which may provide clues for the Federal Reserve's interest rate cut next month.

 

On August 27th, due to senior US military officials stating that the danger of escalating conflict between Israel and Hezbollah has eased, oil prices have fallen, production in Libya has been halted, and the upward trend caused by tensions in the Middle East has been suspended. WTI crude oil ultimately closed down 1.81% at $75.70 per barrel; Brent crude oil fell below $80 and ultimately closed down 1.77% at $79.81 per barrel.

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