Monday, 21 July 2025
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Gold Regains Strength After FOMC Meeting
Thursday, 10 July 2025 02:04 WIB | GOLD |GOLDEMAS

Gold rallied above $3,300 an ounce on Wednesday, recovering from earlier losses following the release of the latest FOMC minutes. At the June meeting, Fed officials differed on how quickly and aggressively to cut interest rates.

While most predicted some rate cuts were likely this year, their views varied, ranging from calls for a rate cut in July to no rate cuts at all in 2025. The Fed kept its benchmark interest rate unchanged at 4.25%–4.5%, maintaining a cautious and data-driven stance amid mixed economic signals—tariff-driven inflation concerns, slowing consumer spending, and a resilient labor market.

Despite continued political pressure from President Trump, Chairman Powell reaffirmed the Fed's independence. Meanwhile, Trump ruled out further delays to the August 1 tariff deadline and announced broad new measures, including a 50% tariff on copper, a potential 200% duty on pharmaceutical products, and a 10% levy on imports from BRICS countries. The expected inflationary impact of these tariffs could limit the Fed's flexibility for further easing. (alg)

Source: Trading Economics

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