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Gold edges lower as dollar climbs before US data
AI Summary
- Gold prices held steady with a negative bias as the dollar rose, following remarks by Fed Chairman Jerome Powell hinting at a rate cut
- Markets are pricing in over an 86% chance of a 25 basis point rate cut at the September Fed meeting
- Nvidia, Dell, and Marvell Technology will release earnings this week, with US Personal Consumption Expenditures data also due on Friday
Gold prices held steady with a negative bias during Monday trading as the dollar rose against most major currencies and markets assessed Federal Reserve policy expectations.
This followed remarks by Fed Chairman Jerome Powell at the Jackson Hole conference on Friday, where he hinted at an upcoming rate cut.
According to the CME FedWatch tool, markets are pricing in over an 86% chance that the Fed will cut rates by 25 basis points at the September meeting.
Later this week, Nvidia will release earnings after Wednesday’s close, followed by results from Dell and Marvell Technology.
Also due on Friday are US Personal Consumption Expenditures (PCE) data, the Fed’s preferred inflation gauge.
Meanwhile, the dollar index rose by 0.7% to 98.4 points as of 19:51 GMT, with a high of 98.4 and a low of 97.7.
As for trading, spot gold fell by less than 0.1% to 3,415.4 dollars an ounce as of 19:52 GMT.
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