Gold ticks up as softer Fed rate expectations offset higher yields - Kitco
Gold ticks up as softer Fed rate expectations offset higher yields - Kitco
Source: Kitco
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DW NOTE
Gold rose slightly as traders bet on slower Fed rate increases, though the move hardly matters when Treasury yields are climbing anyway. The 10-year is at 5.31% — up 27% in a year — because the US ran a $1.97 trillion deficit through June and markets now see a quarter chance of an October hike. Higher real rates should crush gold, but eight months of Hormuz closure and intensifying strikes on Ukrainian infrastructure keep the bid intact. The metal is hedging fiscal reality, not Fed rhetoric.