STARTRADER Monday’s Market Update (29/08/2022)

Federal Reserve Chair Jerome Powell’s signal of higher-for-longer interest rates coursed through markets Monday, sinking stocks and equity futures and lifting two-year Treasury yields to levels last seen in 2007. Fed’s hawkish tone increased the demand for the dollar pushing the U.S. Dollar Index to a new two-decade high at 109.40. Meanwhile, the European currency traded below the parity levels at 0.9913. WTI remains negative due to concerns about the supply-demand trading below $93 a barrel. In the meantime, gold flirts with the support at $1,720 and targets 1,680 in the short term.