Analysts: Dollar weakness no longer supports commodities due to concerns about Fed independence
According to online reports, institutional analysts pointed out that in recent trading days, the weakening of the US dollar has been a force supporting commodity futures such as agricultural products and energy. However, due to concerns about the independence of the Federal Reserve, prices have fallen across the board, and the weakening of the US dollar has been ignored today. There are few exceptions except precious metals. Normally, a weaker dollar means that the prices of U.S. goods are more competitive relative to other options, but the U.S.'s new tariff policy is undermining that-and for now it seems that it will continue. The U.S. dollar index fell 1% on Monday, crude oil fell 2.9%, wheat fell 1.3% on the Chicago Board of Trade, and the main contract for gold futures rose 3% as investors sought safe havens to store money amid market turmoil.
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