Gold and Oil - Review from 08/30/2024

Financial and commodity markets analytics


Gold

Prices remain at a peak, increasing tension among traders. Market participants' attention is focused on the US Personal Consumption Expenditure (PCE) index, which is preferred for assessing inflation from the perspective of the Federal Reserve, and is expected to be published soon. The publication could cause an increase in volatility, as the expected data influence the nature of the Fed's decisions regarding the key rate and the yield of debt instruments. A more aggressive than expected rate cut by the Federal Reserve could trigger a weakening of the US dollar and a breakthrough in gold quotations beyond the achieved maximum. Conversely, the absence of significant changes in policy could lower interest in gold.

Oil

Meanwhile, oil prices remain in the middle of the range, complicating the making of short-term trading decisions with acceptable risks.