Gold fell to around $3,730/oz on Thursday (September 25th), continuing its correction from record highs as the market weighed the Fed's interest rate outlook. Jerome Powell struck a cautious tone amid stubborn inflation and a cooling labor market, while Fed officials were torn between two additional cuts this year, a more measured approach, or a more aggressive easing option. An unexpected surge in U.S. new home sales in August—the fastest since early 2022—contributed to the complicating expectations of further interest rate cuts. Despite the weakening, gold's appeal as a safe-haven asset...
Brent, around $69.04 in the European session, tended to hold gains due to signals of demand entering the off-season (post-peak travel season), while falling US stockpiles data remained a support underneath. On the supply side, the market weighed news that Kurdistan pipeline exports could resume, potentially increasing supply, along with OPEC+ output trending upward into Q4. This combination of factors made yesterday's rally feel more sentiment-driven than a strong fundamental shift. At the same time, geopolitical risks remain alive—Ukrainian attacks on Russian energy infrastructure and...
Silver held steady around $43.99/oz during Thursday's European session. Support came from a slightly weaker US dollar and expectations that the Fed would continue to trend toward gradual easing if inflation (PCE) continues to cool and the job market weakens. This sentiment has lowered the opportunity cost of holding precious metals, maintaining interest in silver ahead of US data releases (jobless claims and PCE) that could shift policy expectations.In terms of industrial fundamentals, silver remains supported by strong demand from solar, electric vehicles, and electronics, while supply is...