All articles tagged with #fed rate expectations
Gold rose to seven-week highs as softer July ADP payrolls reduced the likelihood of a September Fed rate hike, while talks of reopening the Strait of Hormuz and a weaker dollar supported prices. Spot gold traded around $4,268 per ounce after peaking near $4,295, with futures near $4,329, leaving gold roughly 20% below its January peak.
US stocks slipped on Friday as AI jitters weighed on tech names, with the Nasdaq about 0.2% lower and the S&P 500 marginally down, snapping a two-week win streak; reports that OpenAI may delay its mega-IPO to 2027, along with a memory-chip cost squeeze and hotter-than-expected PCE inflation data, kept the AI trade under pressure, while Micron’s results underscored ongoing squeezes and Apple’s price hikes added to inflation fears. The Dow finished roughly flat for the week as oil prices fell on ongoing Middle East tensions, with Brent near $72 and WTI near $69.
US stocks were volatile on Friday as a New York Times report that OpenAI may delay its mega-IPO weighed on tech shares, leaving the Nasdaq near flat while the Dow and S&P 500 edged higher around 0.1%. Memory-chip cost pressures and Apple's price hikes signaled ongoing device-maker headwinds, with Micron’s earnings hinting the squeeze could persist. The OpenAI delay chatter, coupled with stronger May PCE inflation data, kept rate-hike bets alive, while oil slid about 3% amid Strait of Hormuz tensions.
Gold stayed near $5,000 an ounce on Tuesday (spot about $5,001.36, US futures around $5,005.20) as the Iran war entered its 18th day. Analysts say the flat move reflects a stronger dollar, expectations the Federal Reserve may pause or raise rates, and gold’s already elevated level earlier this year, along with higher oil prices that could heighten inflation and keep dollar assets attractive. Some observers also note gold is behaving more like a speculative asset than a hedge amid the volatility.
Markets brace for AI-driven disruption as a busy week unfolds with the February jobs report due March 6 and the tail end of Q4 earnings (Broadcom, retailers); Nvidia’s moves underscore AI-spending risk and the question of who benefits. Investors will weigh whether solid payrolls align with expectations for rate cuts, with February payrolls expected to rise about 60,000 after January’s 130,000.
U.S. stocks turned higher after the Supreme Court struck down Trump’s 2025 tariffs, with the S&P 500 up about 0.4%, the Dow roughly 0.6% higher, and the Nasdaq up about 0.6% as investors digest hotter December PCE inflation and weaker Q4 GDP, prompting a rethink of near‑term Fed rate-cut bets.
Gold edged lower as rising risk appetite boosted equities and investors awaited crucial U.S. payrolls and inflation data that could shape Federal Reserve policy; the dollar ticked higher and spot gold traded near $5,055 per ounce with April futures around $5,078.