On Monday, after rejecting Iran’s latest peace proposal, Trump said the U.S.-Iranian cease-fire is still on “life support”, but it was also revealed that he is studying and judging the re-use of force against Iran.
Affected by the news that the U.S. and Iran failed to agree on a peace deal, the U.S. dollar index jumped higher, then erased most of the day’s gains, and ultimately closed up 0.09% at 97.92; benchmark 10-year U.S. bond yields closed at 4.413%, and 2-year U.S. bond yields, which are sensitive to the Federal Reserve’s policy rate, closed at 3.966%.
As the dollar and U.S. bond yields narrowed their intraday gains, precious metals opened lower and then higher. Spot gold hit a high of 4748.55, up nearly $100 from the day’s low, and eventually closed up 0.43% at $4734.97/oz; spot silver rose even more, driven by technical buying, and eventually closed up 7.18% at $86.12/oz.
U.S.-Iran tensions continue to make the energy supply risk lingering, international oil prices after the high open to maintain gains. wti crude oil once back above $100, and finally closed up 3.4%, at $98.62 / barrel; Brent crude oil finally closed up 3.74%, at $102.51 / barrel.