Overnight Market Review (2022.6.13) U.S. inflation exploded again last Friday, the U.S. dollar hit the highest in four weeks, U.S. stocks fell sharply, and gold prices rose. This week, the focus is on U.S. retail sales, the Fed’s interest rate decision, the Bank of England’s interest rate decision and the Bank of Japan’s interest rate decision. .
Global Gold: Gold prices rebounded in choppy trade last week as the focus turned to economic risks after rising U.S. inflation data supported bets on aggressive interest rate hikes. Gold futures rose 1.2% to $1,875.50 an ounce.
After the U.S. reported record-high inflation on Friday, analysts see the odds of the Fed raising rates by 75 basis points this week are increasing, with Barclays being the first to call out that the Fed is justified in raising rates by 75 basis points this week. institution.
U.S. stock index futures plummeted and the U.S. Treasury yield curve inverted before the market opened on Monday. Markets are worried that the Federal Reserve’s aggressive interest rate hikes to curb inflation, which has hit a new high in more than four decades, will lead to a recession.
Fed interest rate futures show that the market sees a 30% chance that the Fed will raise interest rates by 75 basis points at its June meeting, and an 83% chance that it will raise interest rates by 75 basis points in July.
Trading strategy deployment: it is recommended to go short at high levels
All transactions involve risks, the above analysis is for reference only. When placing an order, be sure to set the lot size and remember to set the stop loss.