Gold Tops $2,050 as Dollar Retreats on Fed Rate Cut Expectations

Published on Jan 04, 2024 13:55

Gold steadied above $2,040 per ounce on Thursday, as investors assessed the evolving outlook for US Federal Reserve monetary policy. Investors now look ahead to the monthly jobs report on Friday for further guidance. The dollar index slipped to near 102 levels, breaking a four-session climb, on increased expectations for significant interest rate cuts from the Federal Reserve in the coming year. December`s Federal Reserve meeting minutes indicated a likelihood of rate cuts in 2024, but uncertainty prevails regarding the timing and extent. The Federal Open Market Committee decided to keep the benchmark rate steady between 5.25% and 5.5%, anticipating three quarter-percentage point cuts by the end of 2024. MCX February bullion futures slipped below Rs 63000 per 10 grams and was last seen trading up Rs 243 per 10 grams.