Producers of metals and other raw materials ticked up as the U.S. dollar continued its retreat against rival currencies.
Bond and foreign-exchange traders remain convinced that the Federal Reserve will soon pivot to rate cutting. Even if Fed Chairman Jerome Powell is discouraged by recent data, such as the up-tick in wholesale inflation, his replacement, due to be appointed in early 2026, will likely cut rates, said Lorenzo Di Mattia, manager of hedge fund Sibilla Global Fund.
One strategist said speculation in formerly sleepy commodities such as platinum suggests that markets have become complacent. Between the start of 2020 and March of this year, platinum futures were practically unchanged. Since March, the price of the metal has shot up 46%, which surprised IG North America Chief Executive and veteran commodities trader Pete Mulmat.
“Even the dog with fleas is getting bought, and that’s where it’ll be interesting to see at what point there’s a material resetting where interest rates have an impact on equities,” said Mulmat.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
August 15, 2025 17:22 ET (21:22 GMT)
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