Gold (XAU/USD) edges higher on Wednesday as traders lean into a more dovish Federal Reserve (Fed) outlook, with XAU/USD trading around $4,171, near two-week highs after closing almost unchanged on Tuesday. Traders grew more confident in a softer monetary policy path after reports that White House Senior Adviser Kevin Hassett has emerged as the leading candidate to become the next Fed Chair. Hassett's rise to the top of the shortlist is being viewed as a dovish signal, especially since he has previously advocated for interest rate cuts. Furthermore, delayed US economic data released on...
According to the latest reports, the US dollar weakened against many major world currencies after disappointing US economic data reinforced speculation that the Federal Reserve (The Fed) will cut interest rates in the near future. This dollar weakening provided a boost to "riskier" currencies and emerging market currencies, such as the South African currency, which appreciated today. Furthermore, stock indices in Asia also rose as investors regained their comfort in taking risks after lingering doubts about the US economy. This situation has led to a positive response from safe-haven...
Gold rose as expectations for a US interest rate cut grew, while Deutsche Bank AG joined Goldman Sachs Group Inc. in raising its price forecasts for next year. Dovish comments from policymakers since last week have revived bets on a December rate cut. The latest US jobless claims data—which showed applications for unemployment benefits unexpectedly fell last week to their lowest level since mid-April—is not expected to deter the Federal Reserve from cutting interest rates next month. Enhancing the prospect of lower interest rates, a top economic adviser to Donald Trump has emerged as a...