The dollar jumped to a 16 -month high on Monday as U.S. stocks declined a deck of investor concerns about the unclear economic picture.
This is because concerns over the rising and expected inflation trend have weighed on the Wall Street market to the point of hurting stocks and oil, further pushing for the dollar to continue to rise.
The dollar index, which measures the dollar, hit 95,510 on Monday, the highest since 2020, which last rose 0.398% at 95.394.
The rise in the dollar came after a surprise report last week that saw US inflation soar that it weighed on the market. A string of that, investors are wondering if the Federal Reserve (Fed) might have to raise rates sooner and if U.S. consumers should consider higher prices for the long term.
Meanwhile, the Dow Jones Industrial Average is down 0.04%, the S&P 500 is unchanged and the Nasdaq is down 0.04%.
The MSCI world equity index that tracks stocks in 45 countries rose 0.08%.
Investors may be waiting for US retail sales data to be released on Tuesday after taking note of a report on Friday that showed consumer sentiment hitting its lowest level due to inflation.
20 -year bond yields rose 5 basis points at 2.04% and 30 -year bond yields rose 5 basis points at 2.04%.
The 10 -year benchmark yield was up 4 basis points at 1.62% and rose from its one -month low on Tuesday of 1.42%.
Oil prices remained after hitting a week -long low in an early trading session that ended mixed. Crude oil prices fell on speculation that President Joe Biden’s administration would use the U.S. Strategic Petroleum Reserves.
Brent futures were down 12 cents or 0.2% at $ 82.05 a barrel while U.S. crude oil prices. west Texas Intermediate (WTI) was up 8 cents or 0.1% at $ 80.88.
The spot gold price fell 0.10% at $ 1,862.24 per ounce.
