Fed rate cut expectations rise, gold price surges above $3,470 per ounce

ChainCatcher News, according to Golden Ten Data, gold prices rose to a more than four-month high on Monday as expectations for a Federal Reserve rate cut this month increased, boosting the appeal of gold. The price of gold once touched $3,470 per ounce, with an intraday increase of about 0.4%. Data shows that U.S. consumer spending in July grew steadily, and core inflation rebounded as import tariffs pushed up the prices of some goods. However, this data may not prevent the Federal Reserve from cutting rates this month.

In addition, U.S. PCE data rose 0.2% month-on-month and 2.6% year-on-year, both in line with expectations. CME FedWatch shows that traders expect an 87% probability that the Federal Reserve will cut rates by 25 basis points later this month.