Gold Falls for 2nd Day


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Gold fell below $4,950 per ounce on Tuesday, extending losses into a second straight session amid thin trading volumes driven by public holidays in key markets. Financial markets in China and several other Asian economies remained closed for the Lunar New Year, following a US holiday on Monday.

Last Friday’s softer-than-expected US inflation data strengthened expectations for additional monetary easing by the Federal Reserve later this year. Futures markets are now pricing in a little more than two rate cuts, with July emerging as a likely starting point.

Investors are now looking ahead to the release of the Fed’s meeting minutes, the advance estimate of US GDP, and the latest PCE inflation figures for clearer guidance on the policy trajectory. At the same time, geopolitical risks remain in focus: US–Iran nuclear talks are due to resume later today amid heightened tensions, while negotiations between Russia and Ukraine are set to begin against the backdrop of continued fighting.




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