Gold Holds Gain After Soft US Jobs Data Eases Rate-Hike Concerns - Bloomberg.com
Gold Holds Gain After Soft US Jobs Data Eases Rate-Hike Concerns - Bloomberg.com
Source: Bloomberg.com
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DW NOTE
The jobs report matters less than the persistent 5.5% producer price inflation the Fed cannot acknowledge. Soft hiring data allows markets to pretend rate cuts are coming, but wholesale inflation at that level means businesses will either pass costs through or contract. Gold holding gains on dovish speculation ignores the scenario where stagflation forces the Fed to choose between credibility and employment.