Prices of a number of commodities continued to rise yesterday, supporting inflation concerns.

Gold has continued its decline as the strength of the dollar reduces the attractiveness of gold as a hedge against inflation, despite global interest rate cuts raising inflation concerns.

Inflation concerns have influenced the selling in stock and bond markets in recent weeks.

Gilt yields hit their highest levels in nearly a year, as inflation concerns continued to drive a government bond sell-off.

Fed officials remain fairly certain that they will be doing no such thing and that they might still have to nudge rates higher if inflation concerns persist.