Gold prices dropped after the Federal Reserve decided to lower borrowing costs as expected and upward revised the fed funds rate to 3.87%, for 2025. At the time of writing, the XAU/USD trades volatile at around $2,610-$2,630.The Federal Reserve cut rates by 25 basis points to the 4.25%-4.50% range, yet the decision was not unanimous, as Cleveland Fed President Beth Hammack opted to keep rates unchanged. When comparing the statement to the past meeting, there was little change, though traders were focused on the Summary of Economic Projections (SEP). According to the SEP, the dot plot...
Gold prices plummet as Federal Reserve Chair Jerome Powell takes a stance after the US central bank decided to cut rates. Projections suggest the Fed shifted less dovish. The XAU/USD trades around the $2,600-$2,610 range, about to fall beneath the former.Federal Reserve Chair Jerome Powell indicated that the central bank may adopt a more cautious approach to future policy adjustments, noting that current measures are less restrictive. He emphasized that inflation risks and uncertainties remain tilted to the upside, partly explaining the dot plot changes. Powell also projected that it could...
Oil fell as expectations for fewer interest-rate cuts by the Federal Reserve next year boosted the dollar. February West Texas Intermediate fell toward $69 a barrel, while Brent crude settled above $73. Fed officials lowered borrowing costs as expected on Wednesday but kept the amount of cuts they expect to make in 2025 in check. The dollar strengthened to its strongest level in more than two years, making commodities more expensive for most buyers. Crude rose on Wednesday after U.S. national inventories fell for a fourth straight week. Futures headed for their narrowest annual price...
Gold fell sharply, as traders weighed the outlook for interest rates after the Federal Reserve signaled caution over the path of easing next year. Bullion traded near $2,590 an ounce, after falling 2.3% to a one-month low on Wednesday as the U.S. central bank cut interest rates for a third straight time but controlled the number of reductions expected in 2025. Fed Chair Jerome Powell told reporters that while the bank is "on track to continue cutting," officials must first see more progress on inflation. New quarterly forecasts showed some officials are expecting fewer rate cuts next year...
Gold staged a partial recovery in Asian trading after tumbling more than 2% in the previous session as the Federal Reserve adopted a more cautious tone on the pace of rate cuts next year. Bullion climbed as much as 1.3% to trade near $2,620 an ounce. The Fed reduced borrowing costs on Wednesday, but Chair Jerome Powell said that while the bank was "on track to continue to cut," officials would first have to see more progress on inflation. Fresh quarterly forecasts showed several officials penciling in fewer rate cuts for next year, causing swap traders to significantly...