The US Federal Bank (FED) President Jerome Powell repeats the warning that “more often and permanent supply shocks” may be experienced, and that the economic environment has changed significantly since 2020 and that the review of the bank’s monetary policy strategy will reflect its evaluations on these changes.
The weak US inflation data was effective on the prices in the markets, while the US Consumer Price Index (CPI) in the United States increased by 0.2 percent on a monthly basis and remained below expectations.
In the pricing in the money markets, the Fed’s expectation that the FED will continue to monitor tariff -based price prints despite the slowdown in annual inflation. In the money markets, the first interest rate reduction expectation is shifted to September, while a total of two discounts are foreseen during the year.
With these developments, the US 10 -year bond interest completed the week from 4.44 percent with an increase of 5 basis points, while the dollar index rose by 0.8 percent to 101.1.
With the decrease in gold trade tension, it experienced the worst week of the last six months
Dear metals, with the increase in the global risk appetite, the safe port demand decreased and the strengthened dollar index has lost value.
The price of ounce of gold, the US-China trade voltage weakened with the demand for a weakened port demand and the rising dollar index declined to 3 thousand 200 dollars and the worst weekly performance since November 11, 2024, he said.
Analysts stated that the gold, which does not have interest rates, usually gains value in low interest environments, and said that the strengthening in the dollar and the temporary trade agreement between the US-China, as well as pricing in the money markets, put pressure on gold prices.
