Commodities
Gold Extends Drop After Fed Officials Express Inflation Concern
- Comments reinforce view of slower pace of rate cuts in 2025
- Bullion trades near $2,630 following an 0.7% drop on Friday
This article is for subscribers only.
Gold fell for a second day as comments from Federal Reserve officials over the weekend reinforced the view the US central bank will take a more cautious approach to cutting rates in 2025.
Bullion traded near $2,630 an ounce after San Francisco Fed President Mary Daly and Fed Governor Adriana Kugler emphasized the need to finish off the fight against inflation and reach the authority’s 2% target. Lower rates tend to benefit gold, as it doesn’t pay interest.