Gold Hits Record as Silver Surges on Outlook for Fed Rate Cuts
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 03 2024
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Source: Bloomberg
- Gold and Silver Prices: Gold nears a record high above $2,288 an ounce, while silver reaches a two-year high of over $26 an ounce.
- Federal Reserve Expectations: Two Fed officials anticipate three rate cuts in 2024, boosting the outlook for precious metals due to lower rates benefiting non-yielding metals.
- Market Speculation: Gold has surged by nearly 11% this year amid expectations of rate cuts, but doubts arise as robust US economic data questions the timing of reductions.
- Short-Covering Impact: A decline in open interest suggests short-covering may have contributed to gold's recent records, leading to choppy price action.
- Upcoming Events: Fed Chair Jerome Powell's speech and US jobs figures are awaited for further insights into policy outlook and potential market impact.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
