Stocks, gold and dollar resumed rally as safe-haven move on news of russian missiles attacking poland faded. Oil prices slid on falling inventories. Crypto proved resilience.Updated time: 22 Nov, 2022, 07:30 (UTC+04:00)
Wall Street resumed its rally amid signs that inflation is cooling, after safe-haven demand for Treasury yields was previously lifted by geopolitical tensions arising from an unconfirmed scandal of two Russian rockets hitting NATO-member state of Poland, faded as investors shifted attention to weigh on further data. Dow Jones added 0.2%, S&P 500 0.8% and Nasdaq 1.45% respectively. Poland's government urgently conducted a national security meeting, despite the denial of Russian officials that it was their weapons.
Producer price index added a half of below the expected price of 0.4%, sending the futures down 0.2% apiece. Ahead of the day, investors will focus on retail sales and earning results from major corporations.
Oil prices extended losses as U.S crude stockpiles declined 5.8 million barrels last week, more than expected. The U.S WTI crude futures now traded at $86.80 per barrel after rising 1.2% to $86.92.
The Russian missile strike on Polish territory boosted gold prices to hit their three-month highs with 0.1% advance for both spot gold and gold futures, up to $1,780.62 and $1,784.05 respectively. This added to 0.5% gains in Tuesday's session.
Dollar settled higher, bringing its index up 0.19% to 106.63 against major peers. The euro heavily suffered due to the Russia-Poland tension, trading 0.05% lower at $1.0345. Sterling sank 0.21% to $1.18435. For the yen and offshore yuan, the dollar held the upper hand at 139.47 and 7.0544. Aussie and kiwi also dropped 0.24% and 0.41% to $0.6740 and $0.6132 respectively.
Crypto slightly inched up for the second consecutive day as the FTX debacle may alter Hong Kong's approach to regulating cryptocurrencies. Bitcoin showed resilience of 1% to settle above $16,800 although investors still took cautious steps. Meanwhile, Ethereum was recently changing hands at about $1,250, up about 1% since Monday.