In the third week of August 2022, several neutrals actually followed Wall Street sessions, we saw reductions again. In tandem with them, US Treasury bonds fell and the dollar strengthened. Expectations for interest rate hikes in the US in the near future have intensified.
All this translated into the fact that the Nasdaq Composite lost more than 2 percent. on the value, reaching the result of 12,705.22 points and it was the strongest daily drop of this index for more than a month. He recorded declines S&P 500 index – by 1.29 percent and Dow Jones – by 0.86%
Low oil price in 6 months – not for long
On August 17, 2022, oil prices in the US reached their lowest level in more than six months. Unfortunately, drivers around the world have no reason to be enthusiastic, because after the downward dive, crude oil began to rise. Investors are considering the prospects for an increase in Iran’s oil supply. Forecasts for global economic growth are weakening.
What was the valuation of a barrel of oil if we are talking about records of low values? Well last week was New York’s NYMEX Stock Exchange West Texas Intermediate oil barrel for IX deliveries, it was just $ 87.48. A barrel of Brent on ICE, October deliveries were traded at $ 93.22.
Copper prices increase slightly
On the LME, the metals exchange in London, copper prices rose slightly last week. This is related to the fact that investors are assessing the energy crisis in Europe, where energy rates are rising sharply, which unfortunately is a negative factor for heavy industry.
Copper in 3-month deliveries to the LME was valued higher compared to USD 7,979.00 per tonne recorded earlier. At Comex it was pay for a pound of copper $ 3.6255.
Will gold become an investment hit again?
At the beginning of 2022, many investors were looking for a so-called safe haven for their money, choosing for this purpose, among others, gold. However, since then, the interest in the precious metal on the global financial markets has definitely decreased. The fall in gold prices accumulated in July. Since that time gold is laboriously rebuilding its valuation.
After the US Federal Reserve tightened its monetary policy, gold prices began to decline, and with them, the popularity of investment gold. In August, the price of this precious metal in USD was lower by 2.35 percent. than at the beginning of the year.
The dollar appreciates at the expense of the yuan
So far throughout 2022 U.S. Dollar strengthens in various fields. It is currently doing this at the “expense” of the Chinese yuan. The Middle Kingdom economy has experienced a significant slowdown recently, which is the most important explanation for the dollar’s appreciation against the yuan. Weaker economic data from China and 10 basis point cuts in interest rates helped kick the dollar against the yuan from 6.74 to 6.80.
Will Bitcoin be valued at $ 100,000 again?
Today it is difficult to expect that even the most optimistic investors will see Bitcoin’s potential for diametrically opposed, even 5-fold price increases this year. However, 3iQ, Canada’s first regulated digital asset mutual fund, indicates that after stabilization of the BTC exchange rate Most likely just above $ 20,000 by the end of the summer, the cryptocurrency will take another step up.
In trading, BTC is currently trading below $ 24,000, but many analysts agree that Bitcoin’s price is low and that it has a chance of increasing it in the future.