Gold prices stagnant, euro stable awaiting Federal Reserve comments

From Investing.com: 2024-08-20 04:52:00

Gold prices remained unchanged as investors awaited new signals from the Federal Reserve. Attention is on the FOMC meeting minutes and Powell’s speech. Secretary Blinken announced progress in Gaza ceasefire negotiations, but concerns of broader conflict persist. Markets expect 100 bps in rate cuts by the Fed this year. China’s PBoC allocated new gold import quotas. XAU/USD may retest support at $2,487. Meanwhile, the euro awaits the FOMC minutes amid expectations of rate cuts. Fed Chair Powell’s speech at Jackson Hole could confirm a September rate cut, causing the US dollar to struggle. Lastly, traders bet on aggressive Fed rate cuts, lifting the Australian dollar. Fed President Kashkari suggested September rate cuts may be appropriate, but markets may be overestimating. RBA rules out immediate rate cuts, supporting AUD/USD. The pair targets 0.67500 if Fed speakers give a dovish message.



Read more at Investing.com: Gold Remains Flat, Euro Moves Sideways as Investors Await Fed Comments