US Data SUS Data Surprises, Will Gold Continue to Be Depressed? urprises, Will Gold Continue to Be Depressed?
Gold prices fell slightly at the start of Asian trading today (Friday, 6/28), after economic data from the United States (US) showed stronger results than expected. The number of weekly unemployment benefit claims fell to its lowest level in five weeks, while orders for durable goods recorded their largest increase in more than a decade. This condition has sparked doubts in the market about the possibility of an interest rate cut by the Federal Reserve (The Fed) in the near future.
According to Krisada Yoonaisil, an analyst from Exness, market players are now more cautious and waiting for the Personal Consumption Expenditures (PCE) inflation data to be released today as further guidance. The data is of primary concern because it is the Fed's preferred inflation indicator in determining the direction of its monetary policy. If inflation data is still high, expectations of an interest rate cut could fade further.
Even so, some market players remain wary of political uncertainty and potential disruption to the Fed's independence, which could boost demand for gold as a safe haven asset. At 08:00 WIB, the spot gold price was recorded to have fallen 0.3% to $3,318.80 per ounce. The gold market is expected to move cautiously ahead of today's major economic data releases.
Source: (ayu-newsmaker)
