Gold price is profiting from speculation about an end to the Fed rate hikes. Economists at Commerzbank analyze XAU/USD outlook.
Fed will hike interest rates for the last time by 25 bps next week
The recently weaker economic data and declining inflation suggest that the Fed will hike interest rates for the last time (for now) by 25 basis points next week.
That said, Fed Chair Powell will presumably leave the door open for another rate hike, meaning that the relevant data could well spark repeated speculation about another rate increase in the coming weeks. The Gold price will not be immune to setbacks, in other words.
Source: https://www.fxstreet.com/news/gold-price-forecast-xau-usd-setbacks-are-certainly-possible-in-the-coming-weeks-commerzbank-202307211306