Traders
What to Watch as Commodities Traders Prepare for Powell
- Fed’s rate decision tops agenda for raw materials this week
- European Union steps up preparations for winter energy crunch
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Jerome Powell takes center stage for commodities this week, with the Federal Reserve chief set to unleash another large rate hike that could pile more pressure on energy, metals and crops.
Markets were in jittery form Monday ahead of the Fed’s big mid-week reveal: crude reversed earlier declines in the day to edge higher, gold is again pushing toward a two-year low and most industrial metals slid. The fear is that stronger anti-inflation medicine from the US and other central banks will not just squeeze demand or even trigger recessions but add to a dollar surge that’s battering commodities.