Equity markets over the globe suffered a steep sell-off yesterday as US bond yields keep rising sharply amid inflation fears.

The tech-heavy Nasdaq suffered its worst day in nearly four months and fell 3.5%. Other indices suffered heavy losses as well.

Meanwhile, gold fell to its lowest since July, posting new cycle lows and confirming the medium-term downtrend. Since yields are spiking, it looks like the long-term trend is over as well, and gold topped in August. A drop to 1,600 US cant be ruled out. Silver was also down notably and fell below 27 USD.

In the FX, the dollar cant catch a break, and every smaller gets sold. It appears the EURUSD pair wants to stay above the 1.20 handle for a long time.

Oil was resilient to yesterday’s sell-off, and the WTI benchmark is trading above 62 USD. 

Source: https://www.axiory.com/market-news/soaring-yields-causing-massive-de-risking

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About Author

Peter Bukov

Peter comes from a background in corporate finance which began in 2013 when he completed the Corporate Finance Program at the University of Economics in Bratislava. He’s been actively involved in the market sector since 2008 and got his hands-on experience in trading in 2011. His experience in finance and trading continues not only as a market analyst at Axiory Intelligence but also through his studies to obtain a degree in Capital Markets. The study is in line with MIFID II regulations and is under the supervision of the European Regulator ESMA, which strongly emphasizes ethics and morale in investing and working with a client.

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