Disclaimer:All content on this platform is sourced from the internet and is provided for informational purposes only. None of the content represents the views of this site, nor does it constitute investment advice. Please exercise caution when investing.
Analyst: Expectations for Fed Monetary Policy Easing May Return, Cooling Geopolitical Risks Favor Gold
Svmuu News On Wednesday, gold prices edged higher, hitting a near two-week high, primarily supported by a weaker US dollar. Edward Meir, an analyst at Marex, stated that talk suggesting the US might end the war within two to three weeks, even without the reopening of the Strait of Hormuz, has boosted US stocks and lifted gold prices alongside. However, if inflation expectations resurface, interest rates could climb further, which also caps gold's upside potential. The market has almost completely ruled out the possibility of a Fed rate cut this year, whereas before the war broke out, the market had anticipated two cuts this year. Christopher Wong, a strategist at OCBC, noted that if geopolitical tensions ease further, market expectations for Fed monetary policy easing could return. In such a scenario, real yields are expected to decline, thereby providing support for gold prices. (Jin10)
Disclaimer: This content reflects the author's personal views only and does not constitute investment advice. If you find any violations, please Click to Report
Recommended Reading


