Gold prices fall after Fed hints at two rate cuts due to economic uncertainty and tariffs

From Investing.com: 2025-06-19 04:30:00

Gold prices fell as Federal Reserve Chairman Jerome Powell made dovish statements, causing XAU/USD to drop towards $3,370. The FOMC left the fed funds rate unchanged, citing economic uncertainty and rising inflation due to trade tariffs. The committee revised US growth estimates lower and increased inflation forecasts, hinting at two rate cuts in 2025. Euro remained stable near 1.15000 after the Fed interest rate decision, while the Japanese yen weakened against the USD as the Fed maintained a data-dependent stance and the BoJ reiterated a cautious approach to monetary policy. Traders should monitor trade tariffs and geopolitical tensions for potential market impact.



Read more at Investing.com: Gold Under Pressure After Fed Leaves Rates Unchanged and Warns on Tariffs