Positive US initial unemployment data showed The US dollar staged a deep "V" -shape reversal

On Thursday (February 22), the US dollar index staged a deep V reversal, hitting a low of 103.432 during the day. However, it continued to rebound after strong US economic data and Federal Reserve officials poured cold water on expectations of recent interest rate cuts. It briefly reached the 104 level and was close to recovering all the day's losses, ultimately closing down 0.046% at 103.94. The yield on US Treasury bonds continued to rise, with the benchmark 10-year yield closing at 4.327%. The yield on the 2-year Treasury bond, which is most sensitive to the Federal Reserve's policy rate, closed at 4.72%, reaching a new high since the Federal Reserve's policy meeting in December last year.

Gold fell from nearly two weeks high on Thursday (February 22), as the previously released initial unemployment claims data indicated a strong US economy. However, the speeches of the two Federal Reserve officials were slightly dovish, and the geopolitical situation remained tense, still helping gold prices stay above the $2,020 level. Investors are waiting for more economic data to be released, providing guidance for the Federal Reserve's interest rate stance.

Oil futures closed slightly higher on Thursday (February 22), as hostile actions in the Red Sea region continued. Hussein militants allied with Iran intensified their attacks near Yemen, but a significant increase in US crude oil inventories limited gains. Overall, the technical outlook shows an increase in opportunities for bulls, and the speeches of Federal Reserve officials are slightly biased towards the dovish side. The prospect of Fed rate cuts this year is expected to provide opportunities for further bullish gains.