As China Covid-related worries increase, so do demand worries for oil.
- Crude oil is down to $88.90, -2.5%
- Gold is flat
- Silver is down 1.5%
- Futures on the 3 major US Indices are down 0.5%
- Uranium spot closed yesterday up a little bit, but is still under $49.
- The UK
Bank of England extended support of the bond market on Tuesday, as it’s worried about the financial stability of the country.
With that, UK’s bond yields shot up, and the pound fell to a low of $1.10.
That happened while unemployment fell to 3.5%, a multi-decade low. However, real wages also fell sharply. So, people are working more but are earning less, in real terms.
Experts are concerned that the UK economy will be the first domino to fall, after which many others will follow. “The last jurisdiction to restart asset purchases would likely experience the most currency appreciation”, wrote Joseph Wang, ex-FED trader.
France said that it’s looking into increasing its uranium enrichment capacity from 7.5M to 11M SWU/Year as soon as possible.
- FOMC’s Harker is set to speak today.
- Consumer inflation expectations will be released today.