Gold Holds Above $4,600 as PCE Data and Warsh Speech Threaten Fresh Volatility
Updated
Updated · Kitco NEWS · Aug 21
Gold Holds Above $4,600 as PCE Data and Warsh Speech Threaten Fresh Volatility
3 articles · Updated · Kitco NEWS · Aug 21
Summary
$4,600 gold and $70 silver are heading into next week with traders bracing for sharp swings around July Core PCE data and Fed Chair Kevin Warsh's Jackson Hole speech.
Bullion surged this week as the U.S. dollar weakened, September rate-hike expectations faded and U.S. fiscal worries deepened; gold also broke above $4,500 after Wednesday's Treasury buyback announcement.
Wednesday's Core PCE, Q2 GDP revision and durable goods orders will test whether inflation is cooling and growth is slowing after advance GDP showed a 1.5% annualized expansion, down from 2.1% in the first quarter.
Friday's Jackson Hole remarks, alongside the annual payroll benchmark revision, could reshape September Fed expectations if Warsh sounds hawkish or the labor-market revision points to materially weaker hiring.
For metals, softer inflation, weaker consumer data or a downward jobs revision would support a Fed hold, while firmer growth or sticky prices could create near-term headwinds.