Dramatic illustration of Fed Chair Jerome Powell facing DOJ probe, with collapsing dollar, soaring gold record, and surging Chilean stock amid copper boom.
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Investigation against the Fed weakens dollar and lifts gold to record

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The US Department of Justice opened a criminal investigation against Jerome Powell, chair of the Federal Reserve, raising fears over the central bank's independence and shaking global markets. The dollar fell to lows as gold hit a new all-time high. In Chile, the Ipsa reached a record driven by copper.

The Mexican peso appreciated 0.35% against the US dollar, closing at 18.1919 pesos per dollar, according to Banxico data. This gain occurs one day before the Federal Reserve's two-day meeting, expected to end with a 25 basis point rate cut.

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Asian shares were mixed as investors remained cautious ahead of the Federal Reserve's interest rate decision. Heightened tensions between Japan and China weighed on sentiment. Japan and Australia called for calm following a Chinese military aircraft's radar lock on Japanese jets.

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