Institutions: The market is beginning to view gold as a tool to hedge against the Fed's "policy missteps".

MarketPulse analyst Christian Norman stated that the better-than-expected US non-farm payroll data for September reinforced the Federal Reserve's tendency to postpone interest rate cuts. However, a core question now exists in the market: how can the Fed guarantee making the right decisions in the absence of sufficient data? Therefore, although a high-interest-rate environment should be bearish for gold, there are signs that the market is beginning to view gold as a hedge against "policy mistakes." If the Fed decides to hold rates steady in December, but subsequent data proves that not cutting rates was a mistake, it could shake market confidence in the dollar. In contrast, gold has become a more reliable "safe haven." While this is currently only a secondary logic, it could indeed provide some support for gold prices, as it reflects a decline in market confidence in the Fed's ability to accurately control the economy (in the absence of complete information). (Jinshi)