Markets on edge as US Fed meets to tackle high inflation
LONDON — Oil prices jumped, U.S. bond yields rallied and equities retreated Tuesday as the Federal Reserve looked set to raise interest rates, with high inflation and AI concerns dominating market sentiment. Brent crude futures again pushed towards $110 a barrel, while average diesel prices in the United States struck a record high of just under $6.27 a gallon, heaping pressure on President…
Markets worldwide braced for uncertainty as the U.S. Federal Reserve convened to address soaring inflation, causing significant market turbulence on Tuesday. Rising oil prices, a surge in U.S. bond yields, and a decline in equities were the key indicators of market distress.
Brent crude futures surged close to $110 per barrel, while American diesel prices reached a record high of under $6.27 per gallon, placing additional strain on President Donald Trump ahead of the upcoming midterm elections.
The volatility in financial markets persisted unabated, with energy prices remaining prohibitively high and concerns mounting over the potential impact on inflation and interest rates, according to Susannah Streeter, chief investment strategist at Wealth Club.
The yield on the 10-year U.S. Treasury note reached a level not seen since 2007, prior to the global financial crisis, as investors factored in a probable increase in U.S. interest rates. The Federal Reserve commenced their rate-setting meeting on Tuesday, with markets anticipating policymakers to act on a rate hike to combat persistently high consumer prices in the world's largest economy.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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- Markets on edge as US Fed meets to tackle high inflation koreatimes.co.kr
