Singapore Growth Outlook Brightens for 2025 as Economists Flag AI and Geopolitical Risks 
Silver Prices Hit Record High as Safe-Haven Demand Surges Amid U.S. Economic Uncertainty 
Gold and Silver Surge as Safe Haven Demand Rises on U.S. Economic Uncertainty 
Asian Fund Managers Turn More Optimistic on Growth but Curb Equity Return Expectations: BofA Survey 
Oil Prices Steady in Asia but Headed for Weekly Loss on Supply Glut Concerns 
Oil Prices Rebound as Trump Orders Blockade of Sanctioned Venezuelan Tankers 
Asian Currencies Slip as Dollar Strengthens; Indian Rupee Rebounds on Intervention Hopes 
Canada Signals Delay in US Tariff Deal as Talks Shift to USMCA Review 
Austan Goolsbee Signals Potential for More Fed Rate Cuts as Inflation Shows Improvement 
Yen Near Lows as Markets Await Bank of Japan Rate Decision, Euro Slips After ECB Signals Caution 
Asian Stocks Slide as AI Spending Fears and Global Central Bank Decisions Weigh on Markets 
BoE Set to Cut Rates as UK Inflation Slows, but Further Easing Likely Limited 
Asian Stocks Edge Higher as Tech Recovers, U.S. Economic Uncertainty Caps Gains 
BOJ Poised for Historic Rate Hike as Japan Signals Shift Toward Monetary Normalization 
U.S. Dollar Steadies Near October Lows as Rate Cut Expectations Keep Markets on Edge 
Dollar Holds Firm Ahead of Global Central Bank Decisions as Yen, Sterling and Euro React 
Asian Markets Rebound as Tech Rally Lifts Wall Street, Investors Brace for BOJ Rate Hike 
On Wednesday, gold prices hovered below the flatline after hitting a fresh record high in Asian trading. By 07:07 ET (11:07 GMT), spot gold was down 0.03%, trading at $2,656.24 per ounce. Earlier in the session, the precious metal reached an all-time high of $2,670.43 an ounce.
Interest Rate Prospects and Middle East Tensions Boost Gold
Andrzej Barabasz, CC BY-SA 4.0, via Wikimedia Commons
The prospect of declining interest rates supported gold, as traders priced in a reduced opportunity cost for investing in non-yielding assets. Tensions in the Middle East, following Israeli strikes in southern Lebanon, also increased demand for the safe-haven asset. Furthermore, China’s recent economic stimulus measures added further support to gold prices, as supported by an article from BBC.
Market Awaits Fed Commentary and Inflation Data
Traders are closely watching Federal Reserve officials' comments and the release of the central bank's preferred inflation gauge on Friday for clues about U.S. monetary policy. Citi analysts predict 125 basis points in rate cuts by the Fed this year, while Goldman Sachs anticipates 25 basis point cuts at each meeting from November through June 2025.
Contrasting Views on Rate Cuts and Gold’s Future
Fed Governor Michelle Bowman cautioned against steep rate reductions, noting that key inflation indicators remain “uncomfortably above” the Fed’s target, according to an article from CNBC. Her stance contrasts with other Fed officials who argue that rate cuts are needed to ease economic pressures.
The authors are unknown, but the pictures belong to the Alliance for Responsible Mining., CC BY-SA 4.0, via Wikimedia Commons
"The scenario outlined by Ms. Bowman, while possible and gold bearish, is not one adopted by gold investors who, by initiating repeated record highs, are showing faith in more rapid rate cuts and what that means for gold," wrote HSBC analysts.
