21 December 2023
Gold prices have remained steady in Asian trade, fluctuating within a $2,000 to $2,050 an ounce range established over the past week. This stability comes amidst market speculation regarding the timing of the Federal Reserve’s interest rate reductions. While dovish signals from the Fed initially propelled gold above $2,000 an ounce, further gains were limited due to improved risk appetite and doubts about early rate cuts. Comments from several Fed officials, suggesting that expectations for an early rate cut might be overly optimistic, have also contributed to the dollar’s recovery from recent lows and restrained significant gains in gold prices.