Gold Skyrockets Above $2,225 on Fed`s Dovish Outlook

Published on Mar 21, 2024 13:59

Gold soared above $2,225 an ounce to hit new record highs as the US Federal Reserve signaled it would maintain its dovish stance with three interest rate cuts this year. The dollar`s sharp decline, falling below 103 on the index, further supported gold`s rally as a dollar-denominated asset. The Fed`s decision to hold rates in March, coupled with expectations of future cuts, boosted gold`s appeal as an inflation hedge. Other central banks, like the People`s Bank of China and the Bank of Japan, maintained their rates, while the Bank of England`s decision is awaited. Domestic gold futures surged to nearly Rs 67,000 per 10 grams on the Multi Commodity Exchange.