The situation of the Israeli-Palestinian war is becoming increasingly fierce The US dollar and gold are advancing rapidly

The situation of the Israeli-Palestinian war is becoming increasingly fierce

The US dollar and gold are advancing rapidly

Last week, the fierce conflict between Palestine and Israel ignited the “Middle East powder keg”, causing global markets to fall into a wave of risk aversion at the beginning of the week and before the weekend. Gold and crude oil erupted crazily, while the dove chorus of the Federal Reserve restored confidence in risky assets in the middle of the week. The US dollar and bond yields both plummeted, while the closely watched US CPI turned the other way and the US dollar “rebounded”.

In terms of market performance, the global market has experienced ups and downs under the influence of multiple news, with US stocks taking back most of their gains, the US dollar experiencing a crazy reversal, gold soaring back to $1,900, and crude oil soaring by over 5%, approaching the 21 day moving average.

Last week, the US dollar staged a crazy reversal. Due to the increasing bet on the Fed's interest rate peaking, US bond yields have continued to decline from high levels, coupled with the unexpected dovish turn of Federal Reserve officials. The US dollar has been dragged down since the beginning of the week and closed down for six consecutive trading days as of last Wednesday, marking the longest decline in more than three years, reaching the lowest level of 105.53. However, boosted by Thursday's more than expected US CPI inflation data, the US index has frantically pulled back above the 106 level, Reversing all the decline of the week, it hit 106.79 levels last Friday under the influence of safe haven buying due to the escalation of tensions in the Middle East, with a weekly increase of 0.54%.