Source: The Patriot Light | AWK Network | VIEW ORIGINAL POST ==>
Investing.com– Gold prices were largely steady in Asian trade on Wednesday after falling in the previous session, as the Federal Reserve kicked off its December policy meeting that is expected to conclude with a rate cut.
However, markets remain concerned about the long-term rate outlook in the U.S.. The Fed is expected to lower more gradually next year after cutting it at the end of its two-day meeting on Wednesday.
was largely unchanged at $2,646.10 an ounce, while expiring in February were marginally lower at $2,660.72 an ounce by 22:51 ET (03:51 GMT).
Gold under pressure on expectations of slower Fed rate cut path in 2025
The Fed is widely expected to cut interest rates by 25 basis points, but the focus will be on the Fed’s future economic projections and Chair Jerome Powell’s comments.
Signals on the Fed’s long-term rate outlook remain in focus as inflation has remained stubborn and is expected to rise further under upcoming President Donald Trump.
Gold, unlike interest-bearing assets like bonds or savings accounts, does not generate income. Therefore, when interest rates are higher, the opportunity cost of holding gold increases, making it less attractive to…
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