Gold prices are rising on Wednesday after US President Donald Trump continued to exert pressure on the Federal Reserve (Fed) as he demands Fed Governor Lisa Cook resign due to an investigation of mortgage fraud. Threats of curtailing the Fed's independence pushed XAU/USD higher, from around $3,330 toward $3,350, its daily high. At the time of writing, Gold trades at $3,342, up 0.84%.
Domestic political issues in the US weighed on the US Dollar. The US Dollar Index (DXY), which tracks the performance of a basket of six currencies against the Greenback, is down 0.05% at 98.21.
A Bloomberg article revealed that Federal Housing Finance Agency (FHFA) Director Bill Pulte leaked information that Lisa Cook "falsified bank documents and property records to acquire more favorable loan terms, potentially committing mortgage fraud under the criminal statute."
The Wall Street Journal revealed that Trump told aides that he could attempt to fire Cook in response to the fraud accusation.
Aside from this, Gold traders are eyeing the release of the latest Minutes of the Fed's August meeting, in which the central bank decided to hold rates unchanged, with two dissenters voting for a 25-basis-point (bps) rate cut.
Ahead this week, the US economic docket will feature the release of Initial Jobless Claims data and Fed Chair Jerome Powell's speech at Jackson Hole.
Source: Fxstreet
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