On Tuesday, the U.S. launched a new round of airstrikes against Iran, dampening optimistic market expectations for a near-term ceasefire and thus boosting demand for the safe-haven dollar. The dollar index finally closed up 0.18% at 99.15; the benchmark 10-year U.S. bond yield closed at 4.490%, and the 2-year U.S. bond yield, which is sensitive to the Fed’s policy rate, closed at 4.049%.
The situation in the Middle East is tightening again to exacerbate inflation concerns, the Fed rate hike is expected to warm up to suppress gold prices, spot gold shocked downward, and finally closed down 1.36% at $4,507.56 / ounce; spot silver finally closed down 1.41% at $76.92 / ounce.
The latest clash between the United States and Iran overshadowed the prospect of reaching an interim deal and reopening the Strait of Hormuz, and international oil prices surged more than 3%. WTI crude oil finally closed up 3.3% at $96.29/barrel; Brent crude oil finally closed up 3.41% at $99.57/barrel.
The three major U.S. indices were mixed, with the Dow closing down 0.21%, the S&P 500 up 0.61% and the Nasdaq up 1.19%. Micron Technology (MU.O) closed up 19%, U.S. Rare Earths (USAR.O) closed up 9.6% and Intel (INTC.O) closed up 3.07%.