Gold Eases as Oil Prices Recover
Gold slipped toward $4,150 an ounce on Wednesday, giving back some of the previous session’s gains as oil prices rebounded on persistent risks to Middle East supply, keeping inflationary risks and rate hike concerns in focus. Oil prices advanced as Iran intensified attacks on tankers in the Strait of Hormuz in recent days, while Saudi forces continued to clash with the Houthis. Treasury yields also remained near multi-decade highs amid concerns over persistent inflation, rising fiscal risks and elevated AI-related debt issuances. Meanwhile, markets are pricing in nearly an 80% chance that the US Federal Reserve will keep rates unchanged this month following weaker-than-expected job growth in September and downward revisions to payrolls for the prior two months. Investors now await minutes from the Fed’s latest meeting for further clues on the monetary policy outlook.
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Gold slipped toward $4,150 an ounce on Wednesday, giving back some of the previous session’s gains as oil prices rebounded on persistent risks to Middle East supply, keeping inflationary risks and rate hike concerns in focus. Oil prices advanced as Iran intensified attacks on tankers in the Strait of Hormuz in recent days, while Saudi forces continued to clash with the Houthis. Treasury yields also remained near multi-decade highs amid concerns over persistent inflation, rising fiscal risks and elevated AI-related debt issuances.
Meanwhile, markets are pricing in nearly an 80% chance that the US Federal Reserve will keep rates unchanged this month following weaker-than-expected job growth in September and downward revisions to payrolls for the prior two months. Investors now await minutes from the Fed’s latest meeting for further clues on the monetary policy outlook.