Gold holds steady near $4,200 ahead of US inflation figures
Gold prices remained stable during trading on Wednesday, September 30, amid expectations of continued tightening of U.S. monetary policy. This puts downward pressure on the yellow metal and weakens prospects for recovering losses that exceeded 5% in September. Markets are also awaiting the release of U.S. Personal Consumption Expenditures (PCE) price index data, which is a key indicator of inflation. The forecasts suggest a 47% chance of interest rate hikes in October and a 91-92% likelihood in December, based on the Federal Reserve's potential rate increases. Expectations of interest rate hikes negatively impact gold because it does not offer periodic income, while the dollar and bond yields continue to support pressures on the prices of the precious metal.
Notice: This Is an AI-Generated Summary
Comments (0)