Make Kitco Your Homepage

Gold Price Responds To Fed Minutes

Commentaries & Views

(Kitco News) - Release of the Fed meeting minutes yesterday indicated a lack of unity on the speed and aggressiveness of Fed rate hikes. Comments indicated a concern about the level of inflation, the key metric for higher rates. The Fed seems perplexed on the stubborn, below-target, inflation numbers, and the minutes showed a growing divide between the voting members on when and how aggressively the Fed should tighten. The dovish minutes spurred selling in the dollar and gold broke above the $1,287 resistance level and came close to testing the $1,300 print overnight. I would suspect gold will not push through the $1,300 level today, as traders will await inflation data due out tomorrow. A spike in the number will create possibly large liquidation in gold but a muted number should be enough to re-establish gold above the $1,300 level.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

Precious Metal Charts

Follow Kitco News

Gold & Silver Philharmonic Coin