The Value of the U.S. dollar has prompted a pause in the metals and raw materials market. As the dollar rises, the sector experiences a retreat due to the anticipation of “higher for longer” interest rates.
On Friday, several senior Federal Reserve officials, including Fed Bank of Boston President Susan Collins, echoed Chairman Jerome Powell’s statements from earlier in the week. These officials warned that the U.S. central bank may continue raising interest rates, leading to further uncertainty in the market.
Amidst this volatility, there has been a slight recovery in dollar-sensitive gold futures, which regained some of the ground lost during the recent selloff. Economists at brokerage Bank of America Global Research expressed their view that another interest rate hike may occur in November, although the decision remains uncertain due to prevailing economic headwinds.
In other news, Weyerhaeuser, the largest private U.S. landowner and a prominent forest-products firm, has received approval to proceed with its first sale of forest-carbon offsets. Through a partnership with offset firm Carbon Direct, Weyerhaeuser plans to manage approximately 50,000 acres of timberlands in the North Maine Woods. By allowing these trees to accumulate carbon, the company aims to monetize this eco-conscious endeavor.
Meanwhile, Dmitry Sytii, the newly appointed head of the Wagner paramilitary group in Africa, is busy securing access to gold and diamond mines on the continent. Operating from his headquarters in the Central African Republic, Sytii is focused on expanding opportunities in these lucrative sectors.
