MTECHTIPS;-Gold Prices Rise Ahead of Fed Rate Announcement, Powell Remarks in Focus MTECHTIPS-Gold prices rallied for a fifth consecutive session on Wednesday ahead of the Federal Reserve’s decision on interest rates and a follow-up press conference with its chairman, Jerome Powell. Gold futures for August delivery on the Comex division of the New York Mercantile Exchange, rose $1.80, or 0.1%, to $1,431.50 a troy ounce by 7:47 AM ET (11:47 GMT). “There is no let-up in gold demand from investors, even as they await the outcome of today’s Fed meeting and any comments on forward guidance,” Wenyu Yao and Warren Patterson, commodities strategists at ING, said in a daily note, pointing to the fact that total ETF holdings in gold hit a fresh six-year high a day earlier. “The Fed is widely expected to cut rates by 25 basis points at today’s meeting, and then the market will be focused on what the Fed signals in terms of further cuts moving forward,” they added. Ahead of the announcement at 2:00 PM ET (18:00 GMT), expectations for the quarter-point reduction remain at 100%, with market odds at 70% for an additional cut in September and at just above 50% for a third cut in December. John Hardy, strategist at Saxo Bank, said guidance would be key for markets that want to know whether this will be a one-off cut or the beginning of a series MTECHTIPS-Apply For 2 Days Free Trails Equity & Commodity Tips WWW.MTECHTIPS.COM 07489294118-119
Published on Jul 31 2019 7:57PM, by MTECHTIPS in Commodity tips| Share This