Gold Steadies as Traders Weigh Fed Rate Path and Mideast Tension - Bloomberg.com
Gold Steadies as Traders Weigh Fed Rate Path and Mideast Tension - Bloomberg.com
Source: Bloomberg.com
―
DW NOTE
Gold has fallen 17% from its January peak while the Strait of Hormuz has been closed for 166 days and Fed rates remain unchanged with inflation at 3.5%. The metal priced in a monetary crisis in January that hasn't arrived. What it failed to price was that central banks would hold rates through a supply shock rather than validate the inflation.