Gold Prices Steady Amid Fed Rate Cut Speculation

According to Odaily, gold prices remained stable on Monday as expectations for a Federal Reserve rate cut next month increased, offsetting the pressure from a stronger dollar. Ole Hansen, Head of Commodity Strategy at Saxo Bank, noted that investors are evaluating the prospect of another rate cut by the Federal Reserve after New York Fed President John Williams suggested there might be room for a rate reduction if the labor market weakens. However, other officials have been more cautious in their tone. On Friday, Williams stated that U.S. interest rates could decrease without jeopardizing the Fed's inflation targets, while also helping to prevent a downturn in the labor market. Following Williams' dovish remarks, the probability of a rate cut next month surged from 40% to 72%, according to CME FedWatch.