Tag: Federal Reserve

  • MCX Gold Slips 0.27% to Rs 1,48,800 Amid US-Iran Tensions and Rising Oil Prices

    MCX Gold Slips 0.27% to Rs 1,48,800 Amid US-Iran Tensions and Rising Oil Prices

    Gold prices on the Multi Commodity Exchange (MCX) declined on September 29 as geopolitical tensions between the United States and Iran over the Strait of Hormuz continued to push energy costs higher, increasing pressure on the Federal Reserve to maintain elevated interest rates.

    October gold futures fell 0.27% to Rs 1,48,500 per 10 grams, while September silver futures dropped 0.46% to Rs 2,46,130. In the international market, Brent crude futures rose 1.80% to USD 107.2 per barrel, and US West Texas Intermediate (WTI) gained 1.75% to USD 94.22 per barrel.

    Domestic Gold Prices

    In India, 24K gold fell by Rs 137 to Rs 1,48,800 per 10 grams, and 22K gold declined by Rs 125 to Rs 1,36,400. City-wise, Mumbai and Kolkata reported prices of Rs 1,48,800, Delhi at Rs 1,48,950, and Chennai at Rs 1,49,080.

    US Gold Prices

    In the United States, gold prices edged higher on Tuesday but remained near their lowest level in over seven weeks amid concerns that the Fed could keep rates higher for longer. Spot gold rose 0.4% to USD 4,130.58 per ounce, while US gold futures fell 0.2% to USD 4,162.20. Spot silver declined 0.9% to USD 60.42, platinum slipped 1.3% to USD 1,697.71, and palladium lost 0.8% to USD 1,205.27.

    Key Levels to Watch

    Christopher Tahir, senior market strategist at Exness, noted: “Geopolitical developments will remain crucial for gold, as continued tensions could keep energy prices and yields elevated, while meaningful progress toward de-escalation could ease pressure. Persistent price pressures combined with resilient activity would reinforce expectations that central banks need to remain restrictive, keeping yields elevated and leaving gold vulnerable to further losses.”

    On the daily chart, XAU/USD trades at USD 4,130, holding below the 20-day, 50-day, and 100-day simple moving averages clustered between roughly USD 4,290 and USD 4,330, which keeps the near-term bias bearish. The Relative Strength Index (14) near 36 suggests weak momentum but not outright oversold conditions, hinting that bears retain control.

    Immediate support is seen at the rising trend-line base near USD 3,990, where dip-buying interest could emerge if the current pullback extends. On the upside, the first resistance band is defined by the 100-day SMA at USD 4,292, followed closely by the 50-day SMA at USD 4,321 and the 20-day SMA at USD 4,325, forming a dense supply zone that gold would need to reclaim to ease bearish pressure.

  • Bitcoin Faces Pivotal $84K Test as PCE, Jobs, and ISM Data Loom

    Bitcoin Faces Pivotal $84K Test as PCE, Jobs, and ISM Data Loom

    Bitcoin Holds Above $82.5K Support Entering Data-Heavy Week

    Bitcoin entered a critical U.S. data week near $84,000 after dipping to $82,563 on September 28. A string of inflation, manufacturing, and labor market reports could reshape expectations for interest rates and risk assets.

    Rising Treasury yields, oil prices above $90 a barrel, and volatile bond markets are adding pressure. The week begins with August personal income and outlays on September 30, followed by the ISM manufacturing report on October 1 and the September employment report on October 2.

    Glassnode Levels Provide Key Reference Points

    Glassnode analysts have highlighted the $84,000 to $85,000 range as a dense cluster of long-term holder acquisition prices. Bitcoin briefly slipped below that zone during Monday’s drop, making a close back above it a constructive signal.

    Additional market levels include the True Market Mean near $77,000 and the mean MVRV reference around $96,700. Glassnode’s September 21 Market Pulse also noted net spot taker buying, rising trading volume, and elevated futures leverage, while weekly ETF flows remained negative.

    The quality of any bounce matters. Fresh spot demand, stronger volume, and renewed ETF buying would offer more durable support than a short-term futures-driven recovery.

    Will September Break Its Historical Pattern?

    Bitcoin has gained about 7% in September after rallying 25% in August. Historically, every positive August since 2013 has been followed by a negative September. With two days left in the month, a positive September would break that sequence and mark a third consecutive monthly gain.

    Oil and Supply Chain Risks Could Influence the Inflation Outlook

    Energy markets remain a wildcard. The Energy Information Administration estimated Brent spot crude averaged $91 a barrel in August, up $7 from July. The International Energy Agency also pointed to severe restrictions on Gulf diesel and gasoil exports during August, while shipping incidents near Hormuz were reported on September 21 and 23.

    Because the August PCE report lands on September 30, it will not fully reflect late-September changes in fuel, freight, or factory costs. The ISM manufacturing report on October 1 may therefore offer a timelier inflation signal. ISM’s August Prices Index stood at 71.1, while Supplier Deliveries reached 59.3. A higher September Prices Index, slower deliveries, or stronger cost comments would point to renewed pressure on manufacturers.

    Jobs Data and Fed Rate Expectations Take Center Stage

    Labor market data begins with the August JOLTS report on September 29, followed by September payrolls on October 2. The Federal Reserve raised its target range to 3.75% to 4% on September 16, citing elevated inflation and steady job gains.

    A moderate cooling in labor conditions could reduce pressure on the Fed. However, a sharply weaker employment report might shift attention from inflation toward growth risks.

    Bond Volatility and Q4 Liquidity Concerns

    The 10-year Treasury yield is above 5.2%, and the MOVE index has moved above 100, near its year-to-date highs. Oil above $90 adds another inflation worry, while gold fell about 3% on Monday to just above $4,000 an ounce.

    Despite these headwinds, Bitcoin’s quarter remains strong. A positive September would put Q3 2026 more than 40% higher and mark the first positive third quarter since Q3 2025. Historical CoinGlass data shows Bitcoin’s average fourth-quarter gain is around 77%, but Q4 could bring fresh tests for liquidity and risk appetite.

    Anthropic’s reported November IPO plans and the U.S. midterm elections could add further volatility. The clearest cross-market test may come from a soft August PCE reading followed by a higher September ISM prices reading. That sequence could initially ease Treasury yields before renewed cost concerns push rate expectations higher.

    This article is for informational purposes only and does not constitute investment advice. Always conduct your own research before making investment decisions.

  • How Federal Reserve Policy Moves Bitcoin Prices: Rates, Inflation, and Liquidity Explained

    How Federal Reserve Policy Moves Bitcoin Prices: Rates, Inflation, and Liquidity Explained

    Bitcoin was designed to operate outside the control of any central authority, including the U.S. Federal Reserve. Yet in practice, the cryptocurrency’s market price remains tightly linked to the Fed’s policy decisions. Interest rates, liquidity conditions, inflation expectations, and bond yields all shape how investors allocate capital between Bitcoin and traditional financial assets.

    Fed’s September Rate Hike and Its Impact on Bitcoin

    On September 16, 2026, the Federal Reserve raised its target federal funds rate by 25 basis points to a range of 3.75%–4.00%. Citing persistently elevated inflation, the central bank said the move was intended to steer inflation back toward its 2% objective. For Bitcoin, the decision is significant because interest rates directly affect the returns available from other investments.

    Why Higher Rates Can Pressure Bitcoin

    Bitcoin does not yield contractual interest. When Treasury bills, bonds, and cash-equivalent instruments offer higher yields, investors can earn meaningful returns without taking on the price volatility inherent in cryptocurrencies. Higher borrowing costs also tend to reduce liquidity across the financial system and discourage leveraged speculation. These conditions can create downward pressure on risk assets, including equities and digital currencies. As institutional participation in Bitcoin grows, macroeconomic variables increasingly influence BTC in tandem with conventional markets.

    Why Lower Rates Can Encourage Risk-Taking

    When monetary policy becomes less restrictive, the dynamic shifts. Declining interest rates reduce the yields on cash and short-term government securities, prompting investors to seek higher returns in stocks, commodities, and cryptocurrencies. Easier access to credit further improves overall liquidity. However, Bitcoin does not automatically rally when rates fall. Regulatory news and other crypto-specific developments can sometimes overshadow the impact of lower rates.

    Inflation: A Double-Edged Sword for Bitcoin

    Bitcoin’s fixed maximum supply of 21 million coins has led many to compare it to scarce assets like gold. Persistent inflation can therefore strengthen Bitcoin’s appeal as a hedge against currency debasement. But unexpectedly high inflation can also prompt the Fed to raise rates, creating a tug-of-war: a stronger scarcity narrative versus tighter monetary conditions. These competing forces make Bitcoin’s response to inflation complex and sometimes unpredictable.

    Other Drivers of Bitcoin’s Price

    Federal Reserve policy is just one factor among many. Spot ETF flows, institutional adoption, regulatory developments, leverage levels, mining economics, and Bitcoin’s roughly four-year halving cycle all contribute to crypto-specific supply and demand dynamics. This is why Bitcoin does not maintain a permanent inverse relationship with interest rates. Sometimes crypto-native catalysts outweigh the influence of monetary policy.

    Key Takeaways

    • Higher interest rates make yield-bearing assets more attractive and can reduce appetite for volatile investments like Bitcoin.
    • Lower rates and easier liquidity conditions generally support risk assets, but Bitcoin’s response is not guaranteed.
    • Inflation boosts Bitcoin’s scarcity narrative but may also trigger rate hikes that pressure prices.
    • ETF flows, regulation, mining economics, and halving cycles are equally important price drivers.

    Frequently Asked Questions

    1. How do Federal Reserve interest rates affect Bitcoin?

    Higher rates make bonds and cash-like assets more attractive while increasing borrowing costs and tightening liquidity. These conditions can reduce investor appetite for volatile assets such as Bitcoin.

    2. Why can lower interest rates support Bitcoin prices?

    Lower rates reduce yields on cash and short-term government securities while potentially improving financial-system liquidity. This can encourage investors to increase exposure to risk assets, including cryptocurrencies.

    3. Does Bitcoin always fall when the Federal Reserve raises rates?

    No. Bitcoin is also influenced by ETF flows, institutional demand, regulation, leverage, and crypto-specific market conditions. These factors can sometimes outweigh the effects of tighter monetary policy.

    4. How does inflation affect Bitcoin?

    Bitcoin’s maximum supply of 21 million BTC supports its scarcity narrative during periods of inflation. However, persistent inflation can also trigger higher interest rates, potentially creating pressure on Bitcoin and other risk assets.

    5. What other factors influence Bitcoin besides Federal Reserve policy?

    Spot Bitcoin ETF flows, institutional adoption, mining economics, regulation, market liquidity, and Bitcoin’s halving cycle can all affect BTC. Monetary policy is therefore one important factor rather than a standalone price indicator.

  • US 30-Year Bond Yield Reaches Highest Level Since 2004 Amid Sustained Selloff

    US 30-Year Bond Yield Reaches Highest Level Since 2004 Amid Sustained Selloff

    Overview

    The 30-year US Treasury yield climbed to 5.444% on Thursday, marking its highest level since 2004. The rise came as persistent selling pressure in global bond markets, combined with stronger-than-expected US economic data, renewed fears of inflation and further interest rate hikes by the Federal Reserve.

    The 10-year Treasury yield also rose, reaching 5.145%. Bond prices move inversely to yields, so the increase reflects continued weakness in Treasury prices.

    Strong US Data Fuels Rate Hike Bets

    The yield surge followed better-than-expected US economic figures. The S&P Global Purchasing Managers’ Index for services climbed to 58.7 in September from 56.5 in August, the highest level in nearly five years. The Manufacturing PMI also rose to 56.7, the highest in more than four years.

    According to market estimates, the Federal Reserve now has a 66% chance of raising interest rates in October, up from 53% earlier in the day. Just one month ago, the probability stood at less than 10%. The Fed increased rates during the previous week for the first time since 2023.

    Global Bond Markets Remain Under Pressure

    The pressure extends beyond US Treasuries. Bond markets worldwide have faced selling pressure for months due to higher energy prices, resilient economic growth, and concerns about elevated government debt. The US-Israeli war on Iran has pushed up energy prices, adding another source of inflationary pressure.

    Investors are closely watching Treasury auctions after a weak five-year note auction on Wednesday. The seven-year note auction later Thursday was expected to provide further clues about investor demand. The two-year US Treasury yield fell 1.8 basis points to 4.877%, while the gap between two- and 10-year yields stood at a positive 24.7 basis points.

    Jefferies chief US economist Thomas Simons noted that the long end of the Treasury market was ‘trading a bit better’ as investors assessed the latest moves.

  • US Stock Futures Decline as Traders Increase Bets on October Fed Rate Hike

    US Stock Futures Decline as Traders Increase Bets on October Fed Rate Hike

    US stock futures fell Thursday, September 24, as rising Treasury yields and oil prices renewed concerns about inflation and further Federal Reserve rate increases. A drop in Oracle shares added pressure on technology stocks before the opening bell.

    Why are US Stock Futures Falling?

    NASDAQ-100 futures fell about 1% in early trading. S&P 500 futures lost 0.6%, while Dow Jones Industrial Average futures declined 159 points, or 0.3%. The moves pointed to a second day of losses for the US stock market after all three major indexes closed lower on Wednesday.

    The S&P 500 ended Wednesday at 7,706.03, down 0.75%. The NASDAQ Composite fell 1.13% to 26,936.04, and the Dow dropped 352.10 points to 51,511.59. Thursday’s futures figures remained subject to change before regular trading began.

    Oracle shares fell more than 5% before the bell after Bloomberg reported that the company had cited force majeure in connection with a New Mexico data center project. According to the report, the provision could protect Oracle if construction faces delays. The reported step drew attention to the timing and cost of data centers used for artificial intelligence.

    How are Treasury Yields and Oil Prices Affecting Stocks?

    The 10-year Treasury yield rose to about 5.15%, near a level last reached in 2007. Meanwhile, the 30-year yield touched 5.446%, its highest level since 2004. Bond yields rise when prices fall, and higher yields can increase borrowing costs for households and businesses.

    Oil also moved higher. Brent crude futures gained approximately 1% to USD 105 a barrel, while West Texas Intermediate futures rose about 1% to around USD 93. Higher fuel and transport costs can feed into the prices companies charge customers.

    Traders increased their expectations for another Federal Reserve rate increase. CME FedWatch pricing put the chance of an October hike above 70%, compared with roughly 55% a week earlier. These figures reflect market positions and can change quickly; they do not indicate a decision by the Fed.

    UBS Global Wealth Management strategists said Thursday that they expected energy disruption to remain limited. They also cautioned that market volatility could continue as investors assessed inflation, government debt and spending on artificial intelligence.

    What Did the US Jobless Claims Report Show?

    The Labor Department reported 197,000 initial unemployment claims for the week ending September 19. That was 1,000 fewer than the previous week’s revised total of 198,000. The earlier figure had first been reported as 196,000, which explains why some accounts described the new total as an increase.

    Continuing claims reached 1.719 million for the week ending September 12, up 2,000 from the revised prior-week figure. The four-week average of initial claims fell to 202,250. Together, the figures showed that claims remained low even as investors watched for any change in hiring or layoffs.

    Investors also weighed strong readings from S&P Global’s US business surveys. In a Wednesday note, BMO Capital Markets strategist Vail Hartman said the data gave policy rates and Treasury yields room to move higher. He warned that stronger demand could add to inflation pressure, although that outcome remains uncertain.

    What Else are US Stock Market Investors Watching?

    President Donald Trump and Xi Jinping were due to meet Thursday in Washington. Trade, artificial intelligence, Taiwan and the Iran war were among the expected topics. US Treasury Secretary Scott Bessent said the countries had agreed to extend their trade truce through January 10, beyond its previous November expiry. Investors awaited further details from the meeting.

    Corporate results offered another focus. Darden Restaurants shares fell after its quarterly results missed expectations, while Costco was scheduled to report after Thursday’s closing bell. The combination of earnings, bond yields and oil prices gave investors several developments to assess as regular US trading approached.

    Disclaimer: Analytics Insight does not provide financial advice or guidance on cryptocurrencies and stocks. Also note that the cryptocurrencies mentioned/listed on the website could potentially be risky, i.e. designed to induce you to invest financial resources that may be lost forever and not be recoverable once investments are made. This article is provided for informational purposes and does not constitute investment advice. You are responsible for conducting your own research (DYOR) before making any investments. Read more about the financial risks involved here.

  • Stock Futures Hold Near Flat Ahead of Trump-Xi Summit and Iran Negotiations

    Stock Futures Hold Near Flat Ahead of Trump-Xi Summit and Iran Negotiations

    U.S. stock futures were little changed early Wednesday, September 23, following a record close for the Nasdaq Composite. Investors kept their focus on oil price movements, ongoing U.S.-Iran discussions, and the anticipated meeting between President Donald Trump and Chinese President Xi Jinping.

    Futures Show Modest Declines

    At 7:50 a.m. ET, Dow futures slipped 31 points, or 0.31%, while S&P 500 futures gave back 0.13% and Nasdaq-100 futures fell 0.33%. All three contracts remained close to Tuesday’s closing levels as markets awaited fresh catalysts from geopolitics and economic data.

    The flat open followed a mixed session on Wall Street. The Nasdaq Composite rose 0.45% to 27,244.28 for its second consecutive record close, while the S&P 500 finished essentially unchanged at 7,764.64. The Dow Jones Industrial Average dropped 0.36% to 51,863.69. Chip stocks outperformed, with Micron advancing about 5% and SanDisk gaining nearly 7%.

    However, gains were uneven. Six of the S&P 500’s 11 sectors fell on Tuesday, led by financials. JPMorgan Chase and Wells Fargo each lost more than 3%. The divergence between tech strength and financial weakness remained a key theme on Wednesday.

    Oil Prices and U.S.-Iran Talks

    Brent crude traded below $100 per barrel during the morning, easing 0.40% to $98.83. Reports indicated that Saudi Arabia had restarted operations at its East-West Pipeline and might resume exports from the Red Sea port of Yanbu, helping to ease supply concerns.

    Market participants were also parsing the latest U.S.-Iran talks held on the sidelines of the United Nations General Assembly. President Trump described the meeting as “very good,” but his U.N. speech mentioned a choice between reaching a deal and “annihilating” the country, leaving traders uncertain about the path to an agreement. Oil prices are a key market driver because fuel costs influence business expenses and inflation readings.

    Trump-Xi Meeting on Trade and AI

    President Xi is scheduled to arrive in Washington on Wednesday ahead of a Thursday meeting with Trump. The agenda is expected to cover the U.S.-China trade truce, artificial intelligence regulation, and U.S. arms sales to Taiwan. Xi is also slated to meet executives from General Motors, Meta, Apple, Amazon, and Tesla.

    The talks come as AI-related stocks boost the Nasdaq. Strong interest in Meta’s Muse assistant has supported AI infrastructure providers, while some investors worry that task-performing assistants could disrupt consumer businesses, contributing to losses in financial and travel-related shares on Tuesday.

    Investors are watching the summit for any policy announcements, though no new agreement has been confirmed. The Nasdaq’s record close remains the most recent confirmed market result.

    Economic Data and Fed Speakers Ahead

    S&P Global’s September purchasing managers’ index is due Wednesday, with economists polled by Reuters expecting continued expansion in U.S. business activity. Federal Reserve Governor Michael Barr is also scheduled to speak, offering further clues on monetary policy after last week’s rate increase.

    Boston Fed President Susan Collins expressed support for the rate hike due to inflation concerns. According to CME Group’s FedWatch tool, futures traders currently price in a high chance of another 25-basis-point hike next month, a view that could shift with upcoming data and Fed commentary.

  • US Stocks Decline as 10-Year Treasury Yield Reaches Highest Level Since 2007

    US Stocks Decline as 10-Year Treasury Yield Reaches Highest Level Since 2007

    US stocks fell on Wednesday as the benchmark 10-year Treasury yield soared to its highest level since 2007, following stronger-than-expected business activity data that revived expectations of further interest rate hikes.

    The S&P Global flash US Composite PMI Output Index rose to 58.4 in September from 56.0 in August, marking its highest reading since July 2021. The surge was fueled by a sharp increase in new orders, with factory hiring rising at its fastest pace since February 2021.

    Treasury Yields Rise on Rate Hike Bets

    The robust business activity data reinforced bets that the Federal Reserve could raise rates again, as inflation remains above the central bank’s 2% target. The 10-year Treasury yield jumped 8.7 basis points to 5.054%, its highest level since 2007. The two-year yield, sensitive to interest rate expectations, rose 8.49 basis points to 4.862%, its highest since June 2024.

    Fed funds futures traders now price in a 73% probability of an October rate hike, up from 53% earlier. Federal Reserve Governor Michael Barr stated that the central bank had taken an important step to ‘recalibrate’ short-term borrowing costs and would likely need to deliver additional rate hikes to bring down inflation.

    Wall Street Ends Lower

    Stocks came under pressure as Treasury yields climbed. The Dow Jones Industrial Average fell 0.18%, the S&P 500 dropped 0.53%, and the Nasdaq Composite declined 1.05%. The pan-European STOXX 600 index slipped 0.27%, while an MSCI index of global stocks declined 0.51% after four consecutive sessions of gains.

    Adam Button, chief currency analyst at investingLive, noted that services continued to lead the economy while manufacturing output picked up sharply, with factory hiring accelerating at its quickest pace since February 2021.

    Dollar Gains, Gold Falls

    The prospect of higher US interest rates supported the dollar, which reached multi-week highs against the euro, sterling, and Canadian dollar. The euro fell 0.5% to USD 1.1389, its lowest level since July 29. The dollar rose 0.56% against the yen to 158.25. Spot gold dropped 1.55% to USD 4,287.05 an ounce.

    Market participants are closely watching upcoming Fed meetings and economic data for further direction.

  • Gold Price Update: MCX Gold Holds Steady at Rs. 1,53,171 as Oil Prices Decline, Brent at $101.6

    Gold Price Update: MCX Gold Holds Steady at Rs. 1,53,171 as Oil Prices Decline, Brent at $101.6

    Gold traded flat on MCX on September 22 amid a continued decline in oil prices over the past few sessions, which reduced expectations of further interest-rate hikes by the Federal Reserve. October gold futures rose 0.05% to Rs. 1,53,171 per 10 grams, while September silver futures advanced 0.13% to Rs. 2,39,620.

    Meanwhile, Brent crude futures rose 1.25% to USD 101.6 per barrel. US West Texas Intermediate (WTI) edged higher by 0.96% to USD 93.26 per barrel.

    Domestic Gold Prices

    24K gold rose by Rs. 17 to Rs. 1,54,750 per 10 grams, while 22K gold also advanced by Rs. 15 to Rs. 1,41,850. By city, Mumbai and Kolkata mirrored prices at Rs. 1,54,750, while Delhi was at Rs. 1,54,900 and Chennai at Rs. 1,54,750.

    US Gold Prices

    US gold prices struggled for momentum on Tuesday as expectations of interest rates staying higher for longer weighed on sentiment, with investors awaiting comments from US Federal Reserve officials for policy clues. Spot gold declined 0.08% at USD 4,340.26 per ounce. US gold futures fell 0.18% at USD 4,376.20. Spot silver fell by 0.12% to USD 65.95 per ounce while platinum dipped 0.81% to USD 1,789.83 and palladium declined 0.94% at USD 1,295.78 per ounce.

    Key Levels to Watch

    With US economic data limited this week, investors will focus on comments from Fed officials for signs of whether the central bank is leaning toward another rate increase in October, as well as on crude oil prices, said Chris Weston, head of research at Pepperstone.

    “While crude has come modestly off its recent highs, a reversal higher that builds inflation expectations would only intensify the rates story, and gold would likely continue to face headwinds,” said Weston.

    XAU/USD traded around USD 4,340 on the daily chart, holding just above the medium-term moving averages. The 50-day simple moving average (SMA) at USD 4,300 and the 100-day SMA at USD 4,320 sit below price and suggest underlying trend support, while USD 4,400 acts as immediate resistance. The ongoing test of the rising support trendline around USD 4,340 keeps the broader uptrend intact, and a neutral near-term bias is supported by the Relative Strength Index (RSI) hovering close to the 50 line at 48.5.

    On the topside, immediate resistance emerges at USD 4,400, with a more significant barrier at the 200-day SMA around USD 4,542. On the downside, support clustered around USD 4,340 is the first level to watch; a daily close below it would expose USD 4,320.

  • MCX Gold Holds Steady at Rs.1,52,795 as Oil Prices Decline and Fed Rate Outlook Shifts

    MCX Gold Holds Steady at Rs.1,52,795 as Oil Prices Decline and Fed Rate Outlook Shifts

    Market Overview

    On September 23, MCX gold futures traded slightly higher, with October contracts rising 0.05% to Rs.1,52,795 per 10 grams. This modest gain came as oil prices continued their decline, reducing expectations of further interest-rate hikes by the Federal Reserve. September silver futures also advanced 0.47% to Rs.2,41,025.

    Oil Price Movement

    Brent crude futures fell 1.10% to USD98.16 per barrel, while US West Texas Intermediate (WTI) edged lower by 1.67% to USD89.01 per barrel.

    Domestic Gold Prices

    In India, 24K gold rose by Rs.87 to Rs.1,54,200 per 10 grams, and 22K gold advanced by Rs.80 to Rs.1,41,350. By city, Mumbai and Kolkata both quoted at Rs.1,54,200, Delhi at Rs.1,54,350, and Chennai at Rs.1,54,200.

    US Gold Prices

    US gold prices fell on Tuesday under pressure from hawkish Federal Reserve signals, reinforcing expectations of higher rates for longer. Spot gold declined 0.32% to USD4,344.51 per ounce, while US gold futures rose 0.12% to USD4,381.55. Other precious metals also slipped: spot silver fell 0.49% to USD66.68 per ounce, platinum dipped 0.89% to USD1,819.12, and palladium declined 0.68% at USD1,303.40 per ounce.

    Analst Views and Key Levels

    Standard Chartered highlighted firm demand, while Goldman Sachs retained its end-2027 gold forecast at USD5,400 per ounce, noting that tighter policy may slow the rally rather than derail the longer-term trend. Goldman Sachs warned that three additional rate hikes could push gold toward USD4,070 before recovering toward USD4,200 by end-2026, supported by continued central-bank purchases.

    On the daily chart, XAU/USD trades near USD4,345, hovering between the 50-day and 100-day simple moving averages at USD4,307.31 and USD4,313.57. Immediate upside pressure is around USD4,390, making the near-term bias neutral. Downside support is seen at the short- and medium-term SMAs near USD4,313-USD4,307, ahead of the rising trend-line base near USD3,999. A daily close above USD4,390 would be required for bulls to regain control.

  • Stock Futures Flat as Oil Prices Exceed $100, Fed Rate Hike Fears Intensify

    Stock Futures Flat as Oil Prices Exceed $100, Fed Rate Hike Fears Intensify

    US stock futures remained largely unchanged on Tuesday following a sharp rally on Wall Street Monday, as brent crude surged above $100 per barrel, stoking inflation concerns and reviving expectations of another Federal Reserve interest rate hike. Meanwhile, traders are monitoring Middle East tensions, President Donald Trump’s speech at the United Nations, and Alibaba’s unveiling of a new AI chip.

    Dow Jones Futures Flat

    Dow Jones futures were down by 25 points, or 0.1%, at 3:09 AM ET (7:09 GMT), while futures linked to the S&P 500 and NASDAQ 100 held largely steady. The flat start came after the S&P 500 posted its best performance since August on Monday, driven by gains in technology and artificial intelligence stocks. Meta Platforms advanced on its new AI model, and chipmakers like AMD and Intel rose as investors focused on AI processing technologies. The US 10-year Treasury yield slipped slightly on Tuesday.

    Oil Prices Cross USD 100

    Brent crude futures climbed about 1% to $101.36 a barrel, crossing the $100 threshold as investors worried about supply disruptions from ongoing tensions in the Middle East. The focus also remains on President Trump’s planned address to the United Nations General Assembly in New York, expected to cover international security, conflicts in the Middle East and Ukraine, and AI safety.

    Fed Rate Hike Fears Return

    Federal Reserve rate hike concerns added another layer of uncertainty. St. Louis Federal Reserve President Alberto Musalem said the central bank may need to raise interest rates again as higher energy prices add to inflation pressures. The Fed raised rates by 25 basis points last week, and updated projections from Chair Kevin Warsh hinted at the possibility of another increase before the end of 2026.

    Alibaba Unveils New AI Chip

    At its annual Apsara Conference in Hangzhou, Alibaba unveiled the Zhenwu V900 AI accelerator. CEO Eddie Wu said the chip delivers three times the performance of its predecessor, the Zhenwu M890. Alibaba noted that the V900 can be used in clusters of up to 500,000 chips for training advanced AI models.