Gold inches up as dollar dips ahead of Fed meeting minutes
Gold prices crept up on Wednesday amid a softer dollar, with investors remaining cautious ahead of the release of minutes from the U.S. Federal Reserve’s last meeting, which could offer hints on the outlook for the central bank’s monetary policy.
…”We are not really sure that this (Fed meeting minutes) will have much of an impact given that the decision to raise rates in December is pretty much a forgone conclusion,” INTL FCStone analyst Edward Meir said.
“Nevertheless, we suspect that investors will want to see what policymakers are thinking about the rate situation and how aggressive they will be on this front going forward.”
PG View: The market thinks a December rate hike is a foregone conclusion, but does the Fed? What if PCE data out next week reflects continued weakness in inflation? That’s the reason the Fed put the tightening cycle on pause back in September.