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Indonesia News Portal for Traders | Financial & Business Updates

18 November 2024 11:06  |

Gold Recovers After Sharp Drop

Gold prices rose near $2,600 an ounce on Monday, recovering from their biggest weekly decline since 2021, as the U.S. dollar rally stalled.

Recent data in the U.S. showed retail sales rose more than expected in October, underscoring the economy’s resilience. Comments from several Federal Reserve officials last week also added to uncertainty over the timing and extent of a potential interest rate cut.

However, markets are currently pricing in about a 65% chance of a 25bps rate cut in December. Investors are now focused on upcoming remarks from other Fed policymakers this week, looking for clearer guidance on the direction of U.S. interest rates in the coming months.

On the geopolitical front, ongoing tensions in the Middle East and the escalating conflict between Ukraine and Russia could drive safe-haven inflows, providing additional support for gold.

Source: Trading Economics

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