US Federal Reserve Chairman Powell: the risk of rising inflation increases. Price increases are related to the disruption of supply chain caused by COVID-19. The Fed's inflation test is clearly complete.

As inflation heats up and the risk of virus mutation rises, Powell and Yellen will testify in Congress. Federal Reserve Chairman Powell and Treasury Secretary Yellen will attend the Senate Finance Committee to testify and discuss the recovery of the economy out of the epidemic. They will also attend the House Financial Services Committee on Wednesday.

The dollar index fell 0.28% to close near 95.91, taking back Powell's gains after his testimony to the Senate Committee; Earlier, US Federal Reserve Chairman Powell said that the inflation risk had increased and suggested that the term "temporary" should no longer be used to describe high inflation. He also urged the fed to accelerate the reduction of asset purchases.

Spot gold hit a new low of $1770 / ounce since November 4. Due to the hawkish remarks made by US Federal Reserve Chairman Powell, the gold price was dragged back by more than 1% increase driven by concerns about Omicron variant virus. COMEX February gold futures fell 0.5% to $1776.50 / ounce.