US Inflation Expected to Ease in June, but Fed Rate Hike Risks Persist Amid Middle East Tensions 
US Stock Futures Hold Steady as Soft Inflation Data Eases Fed Rate Hike Fears 
South Korea’s KOSPI Enters Bear Market Despite Remaining 2026’s Best-Performing Major Stock Index 
China Home Prices Fall Again in June Despite Slower Pace of Decline 
U.S. Imposes 25% Tariff on Select Brazilian Imports After Section 301 Trade Investigation 
South Korea Raises Interest Rates to 2.75% as Inflation and Weak Won Drive Tightening 
Gold Prices Slip as Oil Rally Fuels Inflation Fears, Strengthens Dollar 
Asian Stocks Rise as Softer U.S. Inflation Boosts Sentiment Despite Middle East Tensions 
Asian Stocks Rally as Cooling U.S. Inflation Boosts Fed Rate Cut Hopes 
Oil Prices Rise as U.S. Strikes on Iran Raise Strait of Hormuz Supply Fears 
Japanese Yen Holds Steady as Intervention Hopes Grow Ahead of U.S. CPI Data 
Goldman Sees Foreign Investors Driving India Stock Market Recovery 
Oil Prices Surge as U.S.-Iran Conflict Escalates and Strait of Hormuz Risks Grow 
IEA Warns China Rare Earth Export Curbs Could Threaten $6.5 Trillion in Global Production 
Gold Price Holds Near $4,000 as Middle East Tensions and Fed Rate Hike Bets Grow 
China Trade Surplus Hits $125.6 Billion as June Exports, Imports Smash Forecasts 
Asian Currencies Hold Steady as Middle East Tensions Offset Weaker US Dollar 
Gold prices slipped slightly in Asian trading on Thursday, easing after a powerful rally earlier in the week as investors grew increasingly confident that the U.S. Federal Reserve will cut interest rates in December. Expectations of a more dovish policy path strengthened further amid speculation that a Fed Chair closely aligned with President Donald Trump could replace Jerome Powell when his term ends in 2026. Weak U.S. economic data also added pressure on the dollar, providing broader support to precious metals.
Spot gold dipped 0.3% to $4,152.35 per ounce in early trading, while gold futures declined 0.4% to $4,184.15 per ounce. Despite the slight pullback, gold remains up more than 2% this week as traders increasingly price in a 25-basis-point rate cut next month. According to CME FedWatch, markets now see a nearly 80% chance of a December cut—an enormous jump from roughly 24% just a week ago.
The shift in sentiment followed comments from two Fed policymakers signaling support for easing monetary policy, alongside disappointing U.S. economic indicators that reinforced concerns over slowing growth. Investors also reacted to geopolitical developments, including limited progress in ceasefire efforts between Russia and Ukraine and growing tensions between Japan and China—both of which boosted safe-haven demand for gold.
Other metals moved lower alongside gold. Spot silver fell 0.7% to $52.9525 per ounce after briefly approaching all-time highs, while platinum outperformed with a 1.7% jump to $1,616.76 per ounce, though the catalyst for its surge was unclear. Lower interest rates generally benefit non-yielding assets such as gold, as investors tend to shift away from government bonds in a declining-rate environment.
Attention is also turning to the potential successor to Fed Chair Jerome Powell. Reports suggest that White House National Economic Council Director Kevin Hassett is the leading candidate. Seen as a close ally of President Trump, Hassett is expected to advocate more aggressively for lower interest rates—a stance that could shape long-term monetary policy if he is appointed.
Several Fed officials have recently emphasized that supporting the labor market may outweigh inflation concerns in the near term, adding further momentum to expectations for rate cuts as price pressures are projected to cool in the coming months.
