You are visiting the website that is operated by Ultima Markets Ltd, a licensed investment firm by the Financial Services Commission “FSC” of Mauritius, under license number GB 23201593. Please be advised that Ultima Markets Ltd does not have legal entities in the European Union.
If you wish to open an account in an EU investment firm and protected by EU laws, you will be redirected to Ultima Markets Cyprus Ltd (the “CIF”), a Cyprus investment firm duly licensed and regulated by the Cyprus Securities and Exchange Commission with license number 426/23.
On Monday, gold prices slipped by 0.16%, closing at $2,499 per ounce. This followed a 0.7% decline last Friday after U.S. inflation data indicated that the Federal Reserve might opt for a smaller-than-expected interest rate cut this month.
(Gold Daily Price Chart, Source: Trading View)
Friday’s data revealed that U.S. consumer spending saw a solid increase in July, casting doubt on the likelihood of a half-percentage-point interest rate cut by the Fed this month. The personal consumption expenditures price index rose by 0.2% in July, aligning with expectations after a steady 0.1% rise in June.
The Fed is anticipated to initiate a rate-cutting cycle during its monetary policy meeting on September 17-18. According to the CME FedWatch tool, traders currently estimate a 67% probability of a 25 basis-point cut and a 33% chance of a 50-basis-point reduction this month.
Amidst the prevailing uncertainty, market participants are adopting a cautious approach, awaiting clearer signals from the Fed. Investors are now turning their attention to the upcoming ADP employment data and the U.S. non-farm payroll report expected later this week.
Disclaimer
Comments, news, research, analysis, price, and all information contained in the article only serve as general information for readers and do not suggest any advice. Ultima Markets has taken reasonable measures to provide up-to-date information, but cannot guarantee accuracy, and may modify without notice. Ultima Markets will not be responsible for any loss incurred due to the application of the information provided.