FX.co ★ Gold Extends Gains

On Thursday, gold prices increased to approximately $3,320 per ounce, building on the gains from the previous session. This upward trend was bolstered by a weaker dollar, as investors kept a close eye on trade developments and examined the latest Federal Open Market Committee (FOMC) minutes. The market's attention remains on a series of tariff impositions initiated by President Trump. Following earlier threats regarding copper imports and other nations, Brazil is now the latest country to encounter significant tariffs, heightening worries about widespread trade interruptions. Meanwhile, the minutes from the Fed’s June meeting revealed that officials were split on the timing and scale of possible interest rate cuts. While the majority predicted some monetary easing later in the year, opinions varied from advocating for a reduction as soon as July to opposing any cuts before the year's end. The Fed adopted a cautious approach, guided by data, amidst mixed economic indicators such as inflation risks related to tariffs, declining consumer spending, and a still robust labor market.