GOLD SHY AWAY FROM $2600, MCX PRICES EXCEED RS 73000 AS FED RATE CUT LOOMS

Published on Sep 13, 2024 15:08

Gold futures approached $2600 per ounce on Friday, driven by a weaker dollar and lower bond yields. This record-setting rise came in anticipation of more aggressive Federal Reserve rate cuts next week, following new economic data. The MCX gold futures also saw a significant increase, surpassing Rs 73000 per 10 grams, although they are still below the all-time high of over Rs 75000. The dollar index fell to 101 as expectations grew for the Fed`s actions, contributing to gold`s surge. In the US, rising jobless claims and weak payrolls data indicated a cooling labor market, while slightly higher producer prices and a 25 bps rate cut by the ECB pointed to easing inflation trends.