August 20, 2026 - Dow Rises 0.22% to 53,463.05, Gold Falls 0.90% to $4,482.50 and Brent Falls 0.24% to $87.18

Global Markets

(A) Precious Metals

Gold: $4,482.50/oz (-0.90%)

Gold fell 0.90% to $4,482.50/oz as profit-taking followed the previous session’s sharp rally. Persistent inflation concerns in the Federal Reserve minutes and the possibility of higher rates for longer also limited demand, despite softer Treasury yields and a weaker dollar.

Silver: $66.72/oz (-0.43%)

Silver declined 0.43% to $66.72/oz as investors booked profits after the recent precious-metals rally. Uncertainty over the Federal Reserve’s rate outlook kept pressure on silver, even as lower U.S. yields provided some support.

(B) Energy

Brent Crude: $87.18/bbl (-0.24%)

Brent crude fell 0.24% to $87.18/bbl after U.S. crude inventories unexpectedly rose by 4.4 million barrels. The decline was limited by continued uncertainty over Middle East supply and shipping through the Strait of Hormuz, with conflicting statements over whether the waterway remains fully open.

(C) FX

USD/JPY: 158.55 (-0.63%)

USD/JPY fell 0.63% to 158.55 as lower U.S. Treasury yields weakened the dollar. Expanded Treasury bond buybacks pushed long-term yields lower, helping the yen recover from near 160.

EUR/USD: 1.1674 (+0.84%)

EUR/USD rose 0.84% to 1.1674 as the dollar slipped near a three-month low. Lower U.S. yields and softer dollar demand supported the euro, although Fed inflation concerns limited gains.

AUD/USD: 0.7079 (-0.34%)

AUD/USD fell 0.34% to 0.7079 after Australian employment dropped 15.8K and unemployment rose to 4.5%. The weaker labour data reduced expectations for a near-term Australian rate increase.

High-Impact Economic Events

Note: These high-impact economic events are for informational purposes only. Please conduct your own research before making any market decisions.

Volatility

The VIX fell to 14.89, reflecting easing market anxiety as Treasury yields retreated and U.S. equities stabilized following measures to calm the bond market.

What Traders Are Watching

1. U.S. Treasury Bond Buybacks and Yields - Markets are assessing the impact of the U.S. Treasury’s decision to double liquidity-support buybacks for longer-dated bonds. The announcement pushed the 30-year Treasury yield lower after it had reached a 19-year high earlier in the week, while also weakening the U.S. dollar.

1. Middle East Supply Risks - Oil markets remain focused on the U.S.-Israeli war with Iran and disruptions around the Strait of Hormuz. Shipping flows remain well below pre-war levels, while the lack of progress toward a diplomatic resolution continues to support concerns over global energy supplies.

1. Federal Reserve Inflation Outlook - Minutes from the Federal Reserve’s July meeting showed increased concern about inflation, with several policymakers prepared to support higher interest rates if inflation fails to move toward the central bank’s 2% target. Markets currently price roughly a 33% probability of a September rate increase.