Gold price (XAU/USD) struggles to break above $3,400.00 after testing this key level early Thursday. The precious metal hesitates to extend upside even as Federal Reserve (Fed) officials have shown support for interest rate cuts in the remainder of the year.
On Wednesday, Minneapolis Fed President Neel Kashkari, San Francisco Fed President Mary Daly and Fed Governor Lisa Cook argued in favor of reducing interest rates amid growing labor market concerns. "The economy is slowing and the Fed needs to respond to the slowing economy," Kashkari said in an interview with CNBC. Kashkari added, "It may still be relevant in the near term to begin adjusting the policy rate, and two rate cuts this year still seem appropriate."
The CME FedWatch tool showed that traders have almost fully priced in a 25 basis points (bps) interest rate reduction in the September policy meeting.
Theoretically, lower interest rates by the Fed bode well for non-yielding assets, such as Gold.
Meanwhile, resurfacing United States (US) President Donald Trump's tariff fears are expected to improve the demand for safe-haven assets, such as Gold. On Wednesday, Trump stated that he could impose a penalty on China in the form of tariffs for buying Oil from Russia. The same day, Trump increased import duties on India by 25% for buying Russian Oil.
Source: Fxstreet
Gold pared gains as markets weighed prospects for a truce in Ukraine after the Kremlin confirmed Presidents Vladimir Putin and Donald Trump would hold talks in the next few days. Bulli...
Gold prices edged higher Thursday, aided by growing safe-haven demand after fresh tariff threats from U.S. President Donald Trump and weak U.S. economic data, which renewed bets on a Federal Reserve i...
Gold strengthened on Thursday (August 7), supported by renewed safe-haven demand after US President Donald Trump imposed additional 25% tariffs on Indian imports, escalating trade tensions. Spot gold...
Gold held steady early in the Asian session as traders assessed geopolitical developments and tariffs. On the one hand, President Trump said there was a "high probability" he would soon meet with Russ...
Gold price retreats in the North American session, weighed down by rising US Treasury yields, traders booking profits, and news that US President Donald Trump might name Fed Governor Adriana Kugler's ...
The GBP/USD surges during the North American session, though trading below an eight-day high reached at 1.3436 after the Bank of England (BoE) decided to cut interest rates on a close vote split, signaling that policymakers remained worried about...
The European stock markets closed mostly higher in Thursday trading as the Stoxx Europe 600 rose 0.92%, Germany's DAX climbed 1.12%, the FTSE 100 was off 0.69%, France's CAC increased 0.97%, and the Swiss Market Index was up 0.80%. In Germany,...
Raphael Bostic of the Federal Reserve Bank of Atlanta warned that rising price pressures over the next six to twelve months could intensify the Fed's challenges. A ton of economic scenarios that could play out, hard to assign probabilities.Outlook...
European stocks continued their gains for a second consecutive session on Tuesday (June 5), with the STOXX 50 and STOXX 600 rising 0.4%. Investors...
European shares closed higher on Tuesday, buoyed by better-than-expected corporate earnings and renewed optimism that the Federal Reserve may cut...
The ISM Services PMI unexpectedly fell to 50.1 in July 2025 from 50.8 in June, below forecasts of 51.5. The reading showed the services sector...
Donald Trump said he would impose a 100% tariff on semiconductor imports, though it would exempt companies that move production back to the United...