Yesterday the PPI core data showed a value of 0.0% lower than the forecast value of 0.3% and the previous revision of 0.5% and PPI Wholesale Prices data of -0.2% was lower than the forecast of 0.1% and the previous revision of 0.5%, which should have a good impact on gold. Unemployment claims also rose 242k from a forecast of 225k and a previously revised 229k. It seems that the market did not respond much to this data and yesterday the price of gold was corrected down to $2295 and drew a bearish candlestick.
Meanwhile, from the FOMC statement, most Fed officials will probably ease at the end of this year. The FOMC is divided on the number of interest rate cuts in 2024 with 7 Fed officials predicting one rate cut, 8 officials predicting two rate cuts, and the deciding factor is 4 Fed officials who now predict no rate cuts this year. The majority of Fed officials expect the start of the easing cycle at the end of this year.
The Fed did not lower interest rates at its meeting on Wednesday and kept rates unchanged at 5.50%, but it projects only one rate cut of 0.25% in 2024.
Meanwhile, from the FOMC statement, most Fed officials will probably ease at the end of this year. The FOMC is divided on the number of interest rate cuts in 2024 with 7 Fed officials predicting one rate cut, 8 officials predicting two rate cuts, and the deciding factor is 4 Fed officials who now predict no rate cuts this year. The majority of Fed officials expect the start of the easing cycle at the end of this year.
The Fed did not lower interest rates at its meeting on Wednesday and kept rates unchanged at 5.50%, but it projects only one rate cut of 0.25% in 2024.
