On Monday, buoyed by both safe-haven sentiment and expectations of rising interest rates, the U.S. Dollar Index rose sharply, hitting a high of 99.736 before closing up 0.39% at 99.483—marking its largest single-day gain since the Jackson Hole symposium.The yield on the benchmark 10-year U.S. Treasury note rose to 5% during the session—the first time in nearly three years—and ultimately closed at 4.991%; the yield on the 2-year U.S. Treasury note, which is sensitive to the Fed’s policy rate, climbed to 4.671%.
With the Federal Reserve’s policy meeting approaching, soaring energy prices further intensified inflation concerns. Spot gold opened lower and continued to decline, falling below the $4,300 mark. It ultimately closed down 1.15% at $4,298.8 per ounce, hitting a new low in over a month;Spot silver ultimately closed down 1.96% at $63.24 per ounce.
International oil prices gapped higher at the open following the shutdown of Saudi Arabia’s East-West oil pipeline after it was attacked.WTI crude oil once again broke through the $100 per barrel mark during the session and ultimately closed up 1.44% at $98.01 per barrel; Brent crude oil closed up 1.41% at $103.16 per barrel.
All three major U.S. stock indices fell: the Dow Jones Industrial Average closed down 0.29%, the S&P 500 fell 0.48%, and the Nasdaq dropped 0.56%. SK Hynix (SKHY.O) fell 7.6%, while Meta (META.O) rose 2.7%.ASML (ASML.O) fell 7.2%, while Intel (INTC.O) and Micron Technology (MU.O) each fell more than 5%. The Nasdaq China Golden Dragon Index closed up 0.36%, with NetEase (NTES.O) rising 2%.