PT Solid Gold Berjangka | Gold gains as rate cut bets hold ground in run-up to inflation test

01:33 26 March in Commodity, PT SGB, SOLID GOLD BERJANGKA | SOLID GROUP

GOLD EMAS Spot Emas Emas berjangka PT SGB Solid Group SG Berjangka Solid Gold Berjangka

Solid Gold Berjangka | Here is a summary of the information about gold prices and related market factors:

Gold prices rose on Monday, driven by expectations of interest rate cuts by the U.S. Federal Reserve this year, with traders awaiting inflation readings for confirmation on the timing of these reductions.

Spot gold gained 0.5% to $2,174.51 per ounce as of 1:45 p.m. EDT (1745 GMT), while silver rose 0.2% to $24.71.

U.S. gold futures settled 0.8% higher at $2,176.4.

The upcoming economic data includes the weekly initial jobless claims report on Thursday and the U.S. core personal consumption expenditure (PCE) price index data on Friday. Market reaction to the PCE data may be seen the following week due to the Good Friday holiday.

Bart Melek, head of commodity strategies at TD Securities, mentioned that gold could potentially reach $2,300 levels or higher in the second quarter as discretionary traders and exchange-traded fund investors, who have not yet participated in the rally, enter the market once rate cuts are confirmed. However, stronger economic data could prompt a retreat in gold prices.

The dollar also saw a decrease in value, making gold more affordable for overseas buyers.

Gold reached record highs last week after the Fed reiterated its view of three rate cuts in 2024.

Traders are currently pricing in a 70% probability of a rate cut in June, compared to 65% before the Fed’s March policy meeting last week.

Lower interest rates generally make zero-yield gold more attractive to investors.

Gold continues to be supported by strong central bank buying and safe-haven demand, according to analysts.

Among autocatalysts, platinum gained 1.1% to $903.59, while palladium climbed 2.3% to $1,008.08.

Source: Reuters