Gold steady after Powell flags cautious approach to rate cuts
Gold was steady after a modest gain as the market digested remarks from the head of the Federal Reserve before data that may influence the central bank’s next interest-rate decision.
Bullion traded near $2,650 an ounce after Fed Chair Jerome Powell said he expects officials can move cautiously as they continue to lower rates. US nonfarm payroll figures due Friday are the next major data point before policymakers meet on Dec. 17-18 in Washington, with swaps markets pricing in a 25-point cut.
The precious metal has been trading in a narrow range since early last week as investors look for fresh catalysts. It’s fallen 5% from a record high in late October, as the dollar rallied following Donald Trump’s election win and tensions eased in the Middle East. Still, prices remain 28% higher this year, supported by US rate cuts and central-bank buying.
Spot gold was little changed at $2,649.27 an ounce as of 8:21 a.m. Singapore time, after closing 0.2% higher on Wednesday. The Bloomberg Dollar Spot Index was flat. Silver and palladium were steady, while platinum edged higher.
