Gold Rises Amid Hopes of Interest Rate Cuts by the Federal Reserve

Gold Rises Amid Hopes of Interest Rate Cuts by the Federal Reserve: Gold rose to around $2360 per ounce, nearing its highest level in four weeks,
after new U.S. economic data bolstered expectations of the Federal Reserve cutting interest rates.

 

Content

Slowdown in the Construction Sector Growth in the UK

Unemployment Rate in Switzerland Higher than Expected

Gold Rises 

 

 

 

Slowdown in the Construction Sector Growth in the UK

The UK’s global construction sector PMI from Standard & Poor’s fell to 52.2in June 2024 from 54.7 in May,
below the forecast of 53.6.
This indicates an increase in construction activity for the fourth consecutive month but at a slower pace.
The main growth driver continued to be commercial activity, which increased significantly.
Civil engineering activity also increased slowly,
while housing activity returned to contraction after the first increase in 19 months in May.
New orders grew slower, sometimes linked to election uncertainty, but the pace of job creation rebounded.
Meanwhile, the rate of input cost inflation accelerated from May but remained subdued.

 

Unemployment Rate in Switzerland Higher than Expected

Switzerland’s unemployment rate was 2.3% unadjusted seasonally in June 2024,
unchanged from the previous two months and slightly above market expectations of 2.2%.
The number of unemployed decreased by 947 from the previous month to 104,518.
Meanwhile, the youth unemployment rate, which measures job seekers between the ages of 15 and 24,
remained unchanged at 2.0%, with the number of unemployed youth rising by 24 to 8,948.
The number of reported job vacancies decreased by 513 to 39,592 during the month.
After seasonal adjustments, the unemployment rate was 2.4% in June.

 

 

 

Gold Rises Amid Hopes of Interest Rate Cuts by the Federal Reserve

Gold rose to around $2360 per ounce, nearing its highest levels in four weeks
after new U.S. economic data bolstered the Federal Reserve’s expectations of interest rate cuts.
Federal Reserve officials pointed to a slowdown in the U.S. economy
in their meeting yesterday but recommended a cautious approach before deciding on interest rate cuts,
according to the minutes of the latest FOMC meeting.
Safe-haven demand for the yellow metal was also boosted by escalating tensions
in the Middle East after reports indicated that the Israeli entity killed a senior Hezbollah leader,
prompting Hezbollah to respond near the border.

 

Gold Rises Amid Hopes of Interest Rate Cuts by the Federal Reserve