PT Solid Gold Berjangka | Gold Steadies Above $2,400 as Markets Boost Bets on Fed Pivot
GOLD EMAS Spot Gold PT SGB Solid Group SG Berjangka Solid Gold Berjangka
Solid Gold Berjangka | Gold settled down after surging above $2,400 an ounce in the previous session as U.S. inflation fell below expectations and speculation grew that the Federal Reserve would soon begin cutting interest rates.
On Thursday, the precious metal rose 1.9%, its biggest gain since March, after the U.S. reported the lowest growth in core consumer prices (excluding energy and food) since 2021.
The data led traders to fully factor in the September rate cut for the first time in months, with at least two quarter-point rate cuts now expected in 2024. Lower borrowing costs usually benefit bullion, which does not pay interest.
Gold, which is close to its all-time high of $2,450.07 set in May, is up 17% this year despite headwinds such as high interest rates and persistent inflation. Strong buying by central banks, flight demand on the back of geopolitical tensions, and purchases by Chinese consumers have all supported bullion.
Analysts Brian Martin and Daniel Hines of ANZ Group Holdings said in a note that investors are eager to increase their exposure to gold as the market sees a likely monetary policy shift by the Fed in September.
Gold was down 0.1% at $2,412.47 as of 8:53 a.m. in Singapore. The Bloomberg Dollar Spot Index was little changed after falling 0.5% in the previous session. Silver fell following a 2.1% gain Thursday. Palladium fell, while platinum was steady.
Source: Bloomberg