Economic Indicators and Political Shifts Propel Gold Above $2,425

24 July 2024

Gold prices increased on Wednesday due to a weakening dollar and anticipation of upcoming U.S. economic data that could influence the Federal Reserve’s interest rate decisions.

Investors are closely watching GDP and personal consumption expenditure reports for clues on potential rate cuts, with markets currently expecting a rate cut in September. Additional factors supporting gold prices include lower U.S. stock prices, higher crude oil prices, and India’s recent reduction of import duties on gold and silver.

Gold’s appeal is further bolstered by expectations of earlier Fed rate cuts and ongoing political developments in the U.S.

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