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The dollar strengthened to a maximum for the first time in 1.5 years as the reaction of the markets

The American currency is gaining momentum. On the eve of the dollar index (DXY), it rose to the maximum mark for the first time since May 2017. At the same time, the EUR / USD pair dropped to its lowest level since June last year.

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As a rule, the strengthening of the dollar negatively affects the dynamics of assets, which happened again. Thus, oil quotes continued the downward movement and updated the local minima.

The precious metals market followed oil. On Monday, the gold fell by 0.3% and silver by 0.85%.

In turn, the US stock indexes completed the upward correction and resumed their fall. Following the results of yesterday's trading session, the S&P 500 lost 2.3% and the Nasdaq almost by 3%. In particular, the securities of Apple Inc. collapsed more than 5%.

There is also tension in emerging markets. Although such a collapse here in August was not observed but these assets do not look promising now.

The experts noted, "It is assumed that in December the US Federal Reserve (FRS) will once again raise the interest rate. It is possible that in the course of the next year the regulator will take a pause, thus avoiding a hard fall in financial markets. However, while it seems that the American Central Bank is ready to go to the end and blow off all the "bubbles" that have accumulated over the past years ".

The material has been provided by InstaForex Company - www.instaforex.com