Gold prices held firm as momentum for a US interest rate cut solidified after Fed Chairman Jerome Powell opened the door to a September rate cut. Gold reached nearly $3,370 per troy ounce, extending Friday's 1.1% gain when Powell raised risks to the labor market at Jackson Hole despite lingering inflation concerns.
The 2-year Treasury yield—which is sensitive to policy—fell, while the dollar strength index weakened after the comments, boosting non-yielding, USD-priced gold. Derivatives market participants now rate the probability of a September rate cut above 85%, but the policy direction after that remains unclear given that inflation remains above target and employment data shows weakness.
Powell described the economy as being in a "challenging situation" and hinted at whether President Donald Trump's tariffs could reignite inflation more systematically. Gold has gained more than a quarter this year, meeting demand for a hedge against geopolitical tensions and central bank buying. However, CFTC data showed hedge funds trimming bullish positions to a six-week low. This morning in Asia, spot gold traded slightly around $3,369; silver and platinum were relatively flat, while palladium gained slightly.
Source: Bloomberg
Gold price (XAU/USD) drifts lower to around $3,350 during the early European session on Monday(25/8), pressured by a stronger US Dollar (USD). Nonetheless, rising optimism of a September rate cut foll...
Gold slipped on Monday from a near two-week high, as the dollar crept higher, although increased expectations of U.S. interest rate cuts following Federal Reserve Chair Jerome Powell's dovish pivot la...
Gold prices continue to trend higher on Friday after the Federal Reserve (Fed) leaned dovish, as commented by the Fed Chair Jerome Powell, who said that "downside risks to the labor market are rising....
Gold strengthened 0.6% to US$3,359/oz in the US session on Friday (August 22nd), as the dollar weakened after Fed Chairman Jerome Powell opened the door to a September interest rate cut. Sentiment tur...
Gold weakened on Friday (August 22nd) due to a stronger dollar, with the market awaiting a speech by US Federal Reserve Chairman Jerome Powell at the annual Jackson Hole symposium for further insight ...
The EUR/USD pair has opened the week with a moderate pullback from Friday's highs, at 1.1742. The pair is trading at 1.1700 at the European session opening on Monday, as the US Dollar picks up from the low levels reached after the Federal Reserve...
European markets were lower to start the new trading week Monday as investors assessed the economic outlook after hopes of a Federal Reserve interest rate cut were boosted Friday. The pan-European Stoxx 600 was last down by 0.3%, with regional...
Gold prices were stable during the Asian session on Monday (August 25th), driven by a strengthening US dollar, but Powell's dovish signals at Jackson Hole kept downside risks limited. Expectations of a Fed rate cut in September lowered the...
US Federal Reserve (Fed) Chairman Jerome Powell is scheduled to deliver a speech titled "Economic Outlook and Framework Review" at the annual...
European stock markets closed higher on Friday, as investors continued to assess the full scope of the European Union's trade deal with America and...
Investors cheered Federal Reserve Chair Jerome Powell's Jackson Hole address, which gave a green light to buy risky assets on the hope the central...
Ukrainian President Volodymyr Zelenskiy said he has not been in contact with Russia regarding potential peace talks, although his dialogue with the...