Gold Hits a Record High Once Again. What’s Driving The Surge?
Gold () prices have climbed to a historic peak—a solid 0.8% gain on the day. But what’s fuelling this rally—and can it last? Find out in our analysis.
- Events. Gold surged to an all-time high today, trading around $3,789 per ounce with U.S. gold futures hovering near $3,801. Meanwhile, the (DXY) slipped by 0.4% to around 97.82, making gold more attractive to global buyers.
- Background. Several factors are supporting the rally. The latest inflation reading () came in softer than expected at 0.2%, raising hopes for a potential by the U.S. Federal Reserve (Fed). A weaker and continued gold buying by central banks—especially China—also boost demand.
- Possible outcome. The online monitor tool CME FedWatch estimates the probability of a 0.25% rate cut in December at 65%. If inflation remains under control and the dollar stays soft, gold could hold its gains—or even rise further.
Watch the $3,750–3,760 support zone closely. If prices stay above that range, gold’s momentum may continue. Also, keep an eye on inflation reports and Fed updates—they’re key to XAU/USD’s next move.
Euro Holds Ground Amid Rate Cut Doubts. Here’s What This Means for Traders
rose above $1.17 in late September, giving up earlier gains. Where is it headed next? Find out in our analysts’ insights below.
- Events. The European Central Bank kept interest rates unchanged for the second meeting in a row, suggesting its easing phase might be over. This decision helped the euro remain stable.
- Background. Europe’s economy remains mixed. Services are slowly rebounding, while manufacturing struggles. Meanwhile, news of potential E.U. 25–50% tariffs on Chinese steel imports and U.S. tariffs on pharma and trucks reignited trade concerns. In the worst-case scenario, these regulations could limit the Eurozone’s economic growth.
- Possible outcome. Investors await at least two additional 0.25% interest rate cuts by the U.S. Federal Reserve (Fed) before the year’s end. However, based on recent economic reports, it seems the Fed can’t continue easing its policy without fuelling inflation.
Keep an eye on the $1.17 level. If the euro holds above it, momentum could build—but if U.S. data surprises on the upside, the dollar might regain strength. Also, watch for shifts in ECB and Fed messaging for early clues in their next moves.
Pound Pushes Higher as Fed Cut Pressures the Dollar. Here’s What This Means
rose after fresh U.S. inflation reports reinforced expectations of more rate cuts from the Federal Reserve (Fed). Learn how it might impact your trades in our breakdown below.
- Events. The pound strengthened past 1.3400 against the U.S. dollar after August’s PCE inflation data matched forecasts and the Fed cut rates for the first time this year.
- Background. As expected, U.S. inflation rose to 2.7% year-over-year, up from 2.6% in the previous PCE report. In response to the rising inflation, the Fed cut interest rates by 0.25%, weakening the dollar.
- Possible outcome. Markets estimate there’s an 88% chance the Fed will cut again in October and a 65% chance of a policy easing in December. In contrast, the Bank of England might hold rates steady at 4.0% through year-end, which supports the pound.
Watch for comments from Fed policymakers today. GBP/USD might stay supported if Fed officials sound cautious in upcoming speeches. However, any surprises could lift the dollar and limit further gains in the pair.