Oil Rallies, US Data Dents Chances of Fed Rate Hike

On a Friday in August, something happened with money all around the world.

The price of oil, which is used to make gasoline, went up because people were worried about tense talks between the United States and Iran.

When countries argue, people worry there may not be enough oil, so it costs more.

At the same time, the prices of company shares went down in America and Europe.

There was news that people in America were spending less in stores than everyone expected.

That made people think the Federal Reserve, America's central bank, may not raise interest rates next month.

Lower spending can mean the economy is slowing down, so the American dollar became worth a little less.

People who feel unsure often buy gold, and its price went up.

The Japanese yen also grew stronger because of reports that the Bank of Japan might raise its rates in September.

So one Friday showed how oil, stocks, and money can all move together when countries and big banks make changes.