Tag: Federal Reserve

  • UnitedHealth Lifts Dow as Chip Selloff Pressures NASDAQ and S&P 500

    UnitedHealth Lifts Dow as Chip Selloff Pressures NASDAQ and S&P 500

    The S&P 500 and NASDAQ Composite fell on Thursday as semiconductor shares extended their decline, offsetting gains across much of the market. Strong earnings from UnitedHealth and firm economic data supported the Dow Jones Industrial Average, but technology losses kept pressure on the other major indexes.

    At 10:00 a.m. ET, the Dow rose 82 points, or 0.16%, to 52,740.92. The S&P 500 fell 0.39% to 7,545, while the NASDAQ dropped 1% to 26,100. Eight of the 11 S&P 500 sectors traded higher, showing that weakness remained concentrated in large technology names.

    Chip Stocks Lead the NASDAQ Lower

    Semiconductor shares posted the largest losses after Taiwan Semiconductor Manufacturing released its second-quarter results. Its US-listed shares fell about 2.5%, even though the company reported earnings above forecasts. Traders focused on its higher spending plan for 2026.

    TSMC raised its expected capital spending range to between $60 billion and $64 billion from $52 billion to $56 billion. The increase renewed concern over the cost of expanding artificial intelligence capacity across the chip industry. The Philadelphia Semiconductor Index fell 3.8%. Western Digital and Seagate Technology each dropped 7.3%, while Micron Technology lost 4.8%. Arm Holdings fell more than 6%, and Advanced Micro Devices and Broadcom also moved lower.

    Shiraz Ahmed of Sartorial Wealth said the chip rally is cooling, but “not because AI is losing steam.” He said AI use is still expanding across data centers, energy systems and semiconductor production.

    UnitedHealth Supports the Dow Jones

    UnitedHealth shares rose 7.8% after the health insurer posted better-than-expected second-quarter results and raised its 2026 profit forecast. The move helped keep the Dow Jones positive while the S&P 500 and NASDAQ fell. The healthcare sector gained about 2%, while consumer staples rose 2.1%. Those gains limited the broader decline, even as the information technology sector fell 1.9%.

    Meanwhile, GE Aerospace dropped 4.4% despite reporting earnings and revenue above forecasts. The company posted adjusted earnings of $2.02 per share on revenue of $12.63 billion, compared with forecasts of $1.86 and $11.86 billion. GE Aerospace also lifted its full-year guidance. United Airlines fell 2.8% as rising oil prices added pressure to its third-quarter and full-year profit outlook.

    Retail Sales and Jobless Claims Shape Rate View

    Fresh economic data showed that US consumers kept spending during June. Retail sales rose 0.2%, matching expectations. Lower gasoline prices reduced service-station receipts, while other areas of consumer spending held up. Bill Adams, Chief US Economist at Fifth Third Commercial Bank, said slower headline retail sales growth was “actually positive” since lower fuel prices drove much of the weakness. He added that the report supports second-quarter real gross domestic product growth.

    Weekly jobless claims also came in below forecasts. Initial claims fell to 208,000 for the week ended July 11, compared with expectations of 218,000. The data pointed to resilience in the labor market. Inflation reports released earlier in the week eased concern over tighter Federal Reserve policy. Traders priced an 88% chance that the central bank will leave rates unchanged at its July meeting, according to CME FedWatch data.

    Wider Market Gains Fail to Lift Major Indexes

    The market showed a split between large technology stocks and the wider group of companies. Advancing stocks slightly outnumbered decliners on the New York Stock Exchange, while declining shares held a wider lead on the NASDAQ. The Invesco S&P 500 Equal Weight ETF rose 0.6%, showing that the average company performed better than the market-cap-weighted index. The standard S&P 500 still fell as major chip and technology shares carried greater influence.

    Geopolitical concerns also stayed in focus. Reports said Iran asked Yemen’s Houthi movement to prepare for a possible closure of the Red Sea oil route if the United States strikes Iranian power facilities. The threat kept energy prices and airline costs in view during Thursday’s early trading session.

    Investors will now watch upcoming corporate earnings and economic data for clearer signals on the strength of the US economy and the Federal Reserve’s next policy move. Whether chip stocks stabilize or extend their pullback is also likely to play a key role in determining the broader market’s direction.

  • Gold Prices Slip on MCX Amid Middle East Tensions and Inflation Concerns; Brent Crude Also Declines

    Gold Prices Slip on MCX Amid Middle East Tensions and Inflation Concerns; Brent Crude Also Declines

    Gold futures on the Multi Commodity Exchange (MCX) traded lower on July 16, declining 0.45% to Rs. 1,41,205 per 10 grams, as escalating tensions between the US and Iran fueled inflation worries and reinforced expectations of a Federal Reserve rate hike later this year.

    September silver futures also fell, dropping 0.67% to Rs. 2,19,150. In the energy market, Brent crude futures slipped 0.21% to $84.77 per barrel, while US West Texas Intermediate (WTI) eased 0.09% to $79.53 per barrel.

    According to the CME FedWatch Tool, traders now see a 73% probability of a rate hike by the Fed in December, as the latest geopolitical unrest threatens to keep inflation elevated.

    Domestic Gold Prices

    In the domestic physical market, 24K gold fell by Rs. 28 to Rs. 1,43,290 per 10 grams, while 22K gold declined by Rs. 25 to Rs. 1,31,350. City-wise, Mumbai and Kolkata quoted gold at Rs. 1,43,290, Delhi at Rs. 1,43,400, and Chennai at Rs. 1,43,460.

    US Gold Prices

    Internationally, spot gold dropped 0.6% to $4,034.42 per ounce, and US gold futures for August delivery lost 0.3% to $4,039.90. Spot silver fell 1.1% to $57.14 per ounce. Platinum eased 0.6% to $1,664, while palladium edged 0.3% lower to $1,309.86.

    Key Levels to Watch

    “Gold is declining as the escalating attacks in the Middle East continue to push oil prices sharply higher this week, keeping concerns about inflation alive,” said Jigar Trivedi, Senior Research Analyst at IndusInd Securities. “June’s inflation figures did not reflect the impact of the latest escalation in the US-Iran conflict, as the interim peace union reached last month has effectively unravelled,” Trivedi added.

    Internationally, gold has support at $4,022 and $3,989, while resistance is at $4,084 and $4,110 per troy ounce. Silver has support at $56 and $54.40, with resistance at $58.80 and $60 per ounce. On MCX, gold support is at Rs. 1,41,000 and Rs. 1,40,250, and resistance at Rs. 1,42,650 and Rs. 1,43,300. Silver support is at Rs. 2,17,700 and Rs. 2,14,000, with resistance at Rs. 2,24,000 and Rs. 2,26,600.

  • Wall Street Rises as Bank Profits and Tech Rally Boost Dow, S&P 500, and NASDAQ

    Wall Street Rises as Bank Profits and Tech Rally Boost Dow, S&P 500, and NASDAQ

    Wall Street climbed on Wednesday as investors weighed stronger-than-expected bank earnings and cooling wholesale inflation data. The Dow Jones Industrial Average, S&P 500, and NASDAQ Composite all posted gains, led by financial and technology shares.

    Indexes Gain as Inflation Eases

    The Dow rose approximately 0.4%, the S&P 500 added 0.3%, and the NASDAQ Composite gained 0.4%, supported by consumer discretionary and technology stocks. Nine of the 11 S&P 500 sectors traded in positive territory, with consumer discretionary leading and financials up 0.6%.

    Market sentiment was buoyed by a weaker-than-expected Producer Price Index report, which showed final demand prices fell 0.3% in June against expectations of no change. This followed Tuesday’s softer Consumer Price Index reading, together reducing expectations for an immediate Federal Reserve rate hike.

    Bank Earnings Support Financial Shares

    BlackRock shares surged more than 7% after the asset manager beat quarterly forecasts, reporting earnings of $13.91 per share on revenue of $7.08 billion—above the $6.72 billion expected by analysts. Assets under management rose to $15.35 trillion from $13.90 trillion.

    Morgan Stanley also gained after reporting second-quarter profit above market estimates, extending a strong start to earnings season for financial firms. “The large banks continue to demonstrate the strength of the US consumer and corporate balance sheets,” said Charlie Anderson of UBS Wealth Management, adding that healthy banks support broader economic confidence.

    PayPal Jumps on Reported Takeover Offer

    PayPal shares jumped nearly 14% following reports that Stripe and Advent International submitted a joint acquisition offer valuing the company at approximately $53 billion, or $60.50 per share—a premium of about 28% over Tuesday’s close. The offer comes as PayPal works to improve growth and defend its position in digital payments. Neither party announced a completed agreement during the session.

    Technology Stocks Add to Market Gains

    Large technology stocks supported the broader market. Amazon, Apple, and Microsoft each gained around 3%, while Alphabet rose more than 1%. ASML shares advanced after the Dutch chip equipment maker raised its sales forecast, citing strong demand for systems used in advanced AI chip production. ASML also plans to expand equipment production capacity by 30%, easing supply chain concerns.

    Investors are also watching TSMC, which will report second-quarter earnings on Thursday, with focus on spending plans, AI chip demand, advanced packaging capacity, and its 2-nanometer production schedule.

    Fed Policy and Oil Prices Stay in Focus

    Traders reduced the probability of a July rate hike to about 12%, down from 41% before Tuesday’s CPI release, according to CME FedWatch data. Federal Reserve Chair Kevin Warsh continued his congressional testimony, cautioning that one inflation report is not enough to confirm a lasting trend.

    Oil prices moved higher after the United States launched additional strikes against Iran, with West Texas Intermediate above $80 per barrel and Brent above $85. Higher crude prices limited some of the market’s advance as investors monitored the Middle East conflict for effects on energy costs and future inflation readings.

    Meanwhile, Elevance Health fell more than 8% despite raising its annual profit forecast, as the revised outlook failed to meet investor expectations. Advancing stocks outnumbered decliners on both major US exchanges.

    Disclaimer: Analytics Insight does not provide financial advice or guidance on cryptocurrencies and stocks. This article is for informational purposes only and does not constitute investment advice. Always conduct your own research before making investment decisions.

  • Bitcoin Climbs Near $64,800 as Inflation Eases and Solo Miner Strikes 3.125 BTC

    Bitcoin Climbs Near $64,800 as Inflation Eases and Solo Miner Strikes 3.125 BTC

    Bitcoin rallied to nearly $64,800 on Wednesday after softer U.S. inflation data lowered expectations for another Federal Reserve interest rate hike. Ether and major altcoins also advanced. Separately, a solo miner using a low-cost Bitaxe machine earned 3.125 BTC by validating a Bitcoin block.

    Cooling Inflation Lifts Bitcoin and Ether

    Headline inflation fell to 3.5% in June from 4.2%, beating economists’ forecasts. Core inflation also eased to 2.6% from 2.9%, signaling broader price pressures are weakening. Traders quickly reduced the implied probability of a rate increase this month from 43% to 13%, while the two-year Treasury yield dropped six basis points.

    Bitcoin gained 3.6% over 24 hours and 3.3% for the week, with trading volume reaching about $31 billion. Ether rose 5.3% to nearly $1,880 and gained 7.1% across seven sessions. HYPE added 6.4%, while XRP, Solana, Dogecoin, and BNB also moved higher.

    Higher interest rates typically reduce demand for Bitcoin and other risk assets, as cash and Treasury bonds become more attractive. Cooler inflation reduces pressure on the Fed to raise rates, encouraging investors to move capital back into cryptocurrencies and equities.

    Global Markets Follow Inflation Signal

    Equity markets responded to the same inflation report. The MSCI Asia Pacific index rose 2.3%, its biggest monthly advance as technology stocks led gains. South Korea’s Kospi surged 8.2%, reclaiming its position as the best-performing major benchmark this year. SK Hynix jumped 13% in Seoul.

    Brent crude rose 1% above $85 a barrel for a third consecutive session. President Trump threatened further strikes on Iran, while the United States resumed its blockade of Iranian shipping through the Strait of Hormuz. CoinEx chief analyst Jeff Ko noted that Bitcoin remains a rate-sensitive risk asset rather than a macroeconomic hedge. The report eased immediate pressure but did not confirm a lasting breakout.

    Core inflation remains above the Federal Reserve’s 2% target, giving officials room to hold rates steady rather than a clear reason to cut. Ko identified the September Federal Open Market Committee meeting as the next major test. Dollar movements and sustained Bitcoin exchange-traded fund flows could also influence the market.

    Solo Miner Secures Rare Bitcoin Block

    A solo miner validated Bitcoin block 957382 on Friday using one low-cost Bitaxe machine. The miner received the standard 3.125 BTC subsidy, worth about $200,000. Blockchain data from mempool.space recorded the successful block. Public Pool later linked the result to a single Bitaxe rig through a post on X.

    Bitaxe is a budget, low-power Bitcoin miner with an estimated hashrate near 1 terahash per second. That capacity is extremely small compared with the total Bitcoin network hashrate, which is dominated by large industrial operations. Bitcoin mining depends on probability rather than equipment size alone, so any valid attempt can still solve a block, though the chance is tiny.

    The miner did not receive a special reward; every successful solo miner qualifies for the standard block subsidy after producing a valid block. The result shows that hobby-scale equipment can still occasionally secure a full subsidy, despite the network’s increasingly competitive mining environment.

    What’s Next?

    Bitcoin climbed near $64,800 as cooling U.S. inflation reduced expectations for another Federal Reserve rate increase. Ether and global equities also advanced, while a solo Bitaxe miner secured 3.125 BTC. Traders should now watch interest-rate signals, ETF flows, and broader market momentum.

  • Kevin Warsh Labels Fed’s 2020 Inflation Strategy a Costly Error, Launches Policy Review

    Kevin Warsh Labels Fed’s 2020 Inflation Strategy a Costly Error, Launches Policy Review

    Federal Reserve Chair Kevin Warsh has publicly criticized the central bank’s 2020 inflation framework, calling it a costly policy mistake. During testimony before the House on July 14, Warsh announced the creation of five task forces to reassess how the Fed sets monetary policy. He emphasized a firm commitment to returning inflation to the 2% target, though he offered no clear signals on the timing of future interest-rate changes.

    Rejection of the 2020 Inflation Framework

    The Fed adopted flexible average inflation targeting in 2020, which allowed policymakers to aim for inflation moderately above 2% after periods of below-target price growth. The framework also prioritized employment shortfalls before withdrawing policy support. Warsh told lawmakers this approach was a mistake, stating that the Fed asked for a little more inflation and received much more. Inflation has remained above the 2% goal since 2021, and Warsh stressed that policymakers have no tolerance for persistently elevated inflation.

    The framework was revised in August 2025, before Warsh became chair, replacing the average-inflation makeup strategy with flexible inflation targeting. The update also shifted from a focus on employment shortfalls to a balanced approach considering both inflation and employment gaps.

    Five Task Forces to Review Fed Policy

    Warsh has established five task forces to examine monetary policy operations. These groups cover Fed communications, balance-sheet policy, economic data, productivity and jobs, and inflation frameworks. External advisers will collaborate with Fed staff and present findings to the Federal Open Market Committee (FOMC). The inflation group will study how the Fed identifies and responds to price growth, while the communications group will review how officials explain decisions during uncertain periods. Another panel will assess the timeliness of economic data, and the balance-sheet group will evaluate the Fed’s asset holdings and operating system.

    Warsh has not specified when the reviews will produce proposals. Any new framework would require support from other Fed policymakers. The FOMC makes rate decisions through votes, and members remain divided on whether rates should rise, stay unchanged, or fall later in 2026.

    Uncertain Interest-Rate Path

    June inflation data provides the Fed more time to assess its next move. The Consumer Price Index fell 0.4% for the month, and annual inflation slowed to 3.5% from 4.2%. Core inflation held flat monthly and eased to 2.6% year-over-year. Warsh warned lawmakers against treating one report as proof that inflation is defeated, saying, “There might be some that look at this morning’s data and say, ‘mission accomplished.’ That is not my view.” He offered no clear guidance on whether the Fed will raise rates at its July 28-29 meeting.

    The federal funds rate remains in a 3.5% to 3.75% range after the Fed held it steady in June. Warsh’s second congressional appearance is scheduled for July 15 before the Senate Banking Committee, where lawmakers may seek details on the task forces, the 2% target, Fed independence, and how future policy changes will balance inflation control with maximum employment.

  • Bitcoin Nears $65K Resistance Amid Softer Inflation Data and Surging ETF Inflows

    Bitcoin Nears $65K Resistance Amid Softer Inflation Data and Surging ETF Inflows

    Bitcoin traded near $64,600 on July 15 after hitting an intraday high above $65,100, gaining about 3% in 24 hours. The move brings the leading cryptocurrency close to a key resistance zone, fueled by cooler U.S. inflation data, robust ETF inflows, and short liquidations.

    Cooling Inflation Drives Bitcoin Higher

    The U.S. Consumer Price Index fell 0.4% in June—the largest monthly decline since April 2020. Annual inflation slowed to 3.5% from 4.2% in May, while core inflation remained unchanged and eased to 2.6% annually. The report reduced expectations for a near-term Federal Reserve rate hike, with market pricing dropping from 43% to 13%. Lower rate expectations supported risk assets like Bitcoin, as traders moved away from cash positions.

    Bitcoin’s correlation with the S&P 500 reached 86% during the move, indicating a broad macro reaction rather than a crypto-specific event. Fed Chair Kevin Warsh is addressing Congress this week, and the July policy meeting is scheduled for July 28–29.

    ETF Demand and Liquidations Add Support

    U.S. spot Bitcoin ETFs recorded $181 million in net inflows on July 14, led by BlackRock’s IBIT with approximately $139 million and Fidelity’s FBTC adding roughly $21 million. This fresh demand through regulated investment products coincided with rising prices that forced bearish traders to close leveraged positions. About $107.25 million in Bitcoin shorts were liquidated over 24 hours, adding upward momentum.

    The inflow data followed uneven institutional activity earlier in July. Traders are watching for sustained demand after the CPI-driven move.

    Bitcoin Price Faces a $65K Breakout Test

    Bitcoin now faces resistance at $65,000 and near its 50-day exponential moving average around $65,142. A daily close above that level could open a move toward $68,000, with the next resistance zone between $68,000 and $70,000. Analyst Michaël van de Poppe expects Bitcoin to reach $68,000 within one to two weeks, and possibly $75,000 to $80,000 in August, provided price clears nearby resistance.

    Order-book data shows notable selling interest near $67,000 and above, with buyers supporting between $63,500 and $63,800. A fall below $64,000 could expose $63,000, while a deeper break may bring $61,300 into focus.

    Oil prices add a near-term risk: Brent crude climbed to $85.42 after the U.S. restored a naval blockade on Iranian ports. Further supply disruption could lift inflation expectations and alter the rate outlook that supported Bitcoin’s rally.

  • S&P 500 Gains as June Inflation Slows and Bank Profits Surge

    S&P 500 Gains as June Inflation Slows and Bank Profits Surge

    U.S. stocks climbed on Tuesday after June inflation data came in cooler than expected, easing fears of an imminent Federal Reserve rate hike. The S&P 500 rose 0.5%, the NASDAQ Composite added 1%, and the Dow Jones Industrial Average gained roughly 86 points, or 0.2%. However, a steep drop in IBM shares and rising oil prices capped broader gains.

    June Inflation Data Boosts Market Sentiment

    The Consumer Price Index fell 0.4% in June from the prior month, bringing the annual inflation rate down to 3.5% from 4.2% in May. Economists had anticipated a 0.2% monthly decline and a 3.8% annual rate. The softer data reduced concerns that rising energy costs would push prices higher, and Treasury yields fell in response, lifting technology and housing-related stocks. Builders FirstSource and Lennar both gained as borrowing costs eased.

    Traders also scaled back bets on a July rate increase. According to CME FedWatch data, the probability of a hike dropped to 17% from 42% the previous day. Markets still see a higher chance of tighter policy at the September meeting.

    Bank Earnings Lift Financial Sector

    Major banks kicked off second-quarter earnings season with stronger-than-expected profits. Goldman Sachs rose after beating estimates, driven by dealmaking and equities trading. JPMorgan Chase, Citigroup, and Bank of America also gained on higher quarterly earnings. Wells Fargo traded lower despite reporting profit above expectations. The broader S&P 500 financial sector moved higher, with most major sectors posting gains during early trading.

    Investors are watching earnings reports for insights into consumer spending, business activity, and credit conditions. The reports showed steady card spending and stronger trading revenue, along with fresh data on loan demand.

    IBM Plunge Weighs on Dow

    IBM shares tumbled about 24% after the company warned that second-quarter revenue and profit would miss expectations due to weak demand in software and infrastructure. The decline pressured the Dow and dragged down other software stocks, including Oracle, ServiceNow, and Accenture. CEO Arvind Krishna acknowledged that the company failed to close several large deals on schedule, stating, “We did not adapt and move quickly enough,” while pointing to weaker execution across key businesses.

    Oil Prices Rise Amid Geopolitical Tensions

    Oil prices climbed as tensions between the United States and Iran escalated. U.S. crude traded above $80 per barrel, and Brent crude moved above $85 after President Donald Trump announced plans to restore a blockade on Iranian shipping through the Strait of Hormuz. The move raised concerns about global energy supplies. Higher fuel costs could slow the recent decline in inflation and maintain pressure on the Federal Reserve.

    Skyler Weinand of Regan Capital noted that the inflation surge linked to the conflict may be fading but warned that the relief “may just be temporary” as regional tensions increase.

    Chip Stocks Rebound After Monday’s Losses

    Semiconductor shares recovered after heavy selling in the previous session. The VanEck Semiconductor ETF rose nearly 2%, and the Philadelphia Semiconductor Index gained more than 3%. Applied Materials, Teradyne, Lam Research, Micron Technology, and STMicroelectronics all moved higher. NVIDIA also gained after falling sharply on Monday. The rebound helped the NASDAQ recover part of its previous decline, while investors continued to watch valuations in the volatile AI sector.

    Fed Chair Kevin Warsh prepared to testify before Congress later Tuesday, reiterating that returning inflation to the central bank’s 2% target remains a priority. He did not provide a direct signal about the Fed’s next rate decision.

    Disclaimer: Analytics Insight does not provide financial advice or guidance on cryptocurrencies and stocks. This article is for informational purposes only and does not constitute investment advice. Always conduct your own research before making any investments.

  • US Stock Futures Decline as Middle East Tensions Drive Oil Prices Higher, Stoking Market Anxiety

    US Stock Futures Decline as Middle East Tensions Drive Oil Prices Higher, Stoking Market Anxiety

    US stock futures edged lower on Monday as renewed tensions in the Middle East unsettled investors and sent crude oil prices higher, raising concerns over inflation and global economic growth.

    Nasdaq futures suffered the biggest loss, with S&P 500 and Dow Jones Industrial Average futures indicating the market will open lower as investors weighed the impact of rising energy prices amid uncertainty over the interest rate outlook.

    Oil Rise Puts Pressure on Market Sentiment

    Oil prices increased amid growing tensions between the United States and Iran. Concerns about potential oil supply disruptions have arisen due to the strategically located Strait of Hormuz, which is among the most active oil transportation routes worldwide.

    Brent crude oil has been hovering near $79 per barrel, while West Texas Intermediate has exceeded $74 per barrel. Increased oil prices have caused inflation concerns.

    Tech and semiconductor stocks continued to underperform as investors cut positions in growth sectors. Increasing bond rates have contributed to weakness in tech stocks due to their sensitivity to rate changes.

    Attention Turns to Earnings and Inflation Reports

    Despite geopolitical and market uncertainties, investors are preparing for yet another busy week on Wall Street. Several big US banks are expected to report earnings next week, kicking off the earnings season. Market participants will watch how tech firms perform during earnings in the upcoming days.

    Moreover, investors will consider figures on US inflation and statements by Fed Chair Kevin Warsh, which may have a strong impact on market expectations for further Fed action. Any indications of inflation persistence, especially following the oil price hike, may add to the list of reasons to maintain high interest rates.

    For now, investors are trying to weigh geopolitical influences against company earnings and economic data. It seems that all these issues will play an important role in global markets in the coming days.

  • MCX Gold Drops 1% to Rs 1,42,050 as Middle East Tensions Boost Brent Crude 4%

    MCX Gold Drops 1% to Rs 1,42,050 as Middle East Tensions Boost Brent Crude 4%

    Gold prices on the Multi Commodity Exchange (MCX) fell 1% on July 13, with August futures settling at Rs 1,42,050 per 10 grams. The decline came as escalating tensions between the US and Iran drove crude oil prices higher and strengthened the US dollar, creating headwinds for the precious metal.

    September silver futures also declined, dropping 1.9% to Rs 2,18,439. Meanwhile, Brent crude futures surged 4.05% to $79.09 per barrel, and US West Texas Intermediate (WTI) advanced 4.13% to $74.36 per barrel.

    According to the CME FedWatch Tool, traders now price in a 72% chance of a Federal Reserve rate hike in September, up from 63% last week.

    Domestic Gold Prices

    In the Indian bullion market, 24K gold fell by Rs 142 to Rs 1,42,910 per 10 grams, while 22K gold declined by Rs 130 to Rs 1,31,000. City-wise, Mumbai and Kolkata quoted gold at Rs 1,42,910, Delhi at Rs 1,43,050, and Chennai at Rs 1,44,000.

    US Gold Prices

    US gold prices also declined over 1% on Monday amid concerns over the potential closure of the Strait of Hormuz, which pushed oil prices higher and revived expectations of elevated interest rates. Spot gold dropped 1.5% to $4,059.11 per ounce, and US gold futures for August delivery were down 1.1% at $4,067.10.

    Spot silver declined 2.9% to $58.14 per ounce, platinum shed 1.8% to $1,598.48, and palladium fell 2.3% to $1,247.27.

    Key Levels to Watch

    “Any breakout of violence in the Gulf is accompanied by pressure on gold,” said Nicholas Frappell, global head of institutional markets at ABC Refinery. “The question is, if the Strait of Hormuz remains effectively or partially closed, does that lead to a deflationary effect, further down the road, that might actually be supportive for gold if you have demand destruction leading to lower economic activity,” Frappell added.

    Internationally, gold has support at $4,074 and $4,040, while resistance is at $4,144 and $4,180 per troy ounce. Silver has support at $59.10 and $57.70, with resistance at $61.20 and $62.40 per troy ounce.

    On MCX, gold has support at Rs 1,42,400 and Rs 1,41,100, and resistance at Rs 1,44,400 and Rs 1,45,550. Silver has support at Rs 2,20,000 and Rs 2,16,600, and resistance at Rs 2,26,000 and Rs 2,28,800.

  • Fed Chairman Kevin Warsh Establishes Task Forces to Examine AI and Monetary Policy

    Fed Chairman Kevin Warsh Establishes Task Forces to Examine AI and Monetary Policy

    Federal Reserve Chairman Kevin Warsh has announced the formation of five task forces to review critical areas of U.S. monetary policy and central bank operations. The panels will focus on Fed communications, the inflation framework, the balance sheet, economic data, and new technologies—including artificial intelligence.

    The initiative places AI at the center of Warsh’s early agenda. Several members of the technology panel have publicly argued that AI could boost productivity and alter the trajectory of U.S. growth.

    Warsh stated that the task forces will operate independently with support from Fed staff, providing evidence-based feedback and recommendations to the Federal Open Market Committee by the end of 2026. “The goal is straightforward: to ensure the Fed is best positioned to achieve our objectives in this consequential time,” he said.

    Former Bank of England Governor Mervyn King will co-lead the communications review. Raghuram Rajan, former head of India’s central bank, and Harvard professor Jeremy Stein will lead the balance-sheet panel. The AI task force will be led by Marc Andreessen, Stanford economist Charles I. Jones, and Microsoft executive Asha Sharma—all vocal proponents of AI’s economic potential.

    The AI panel arrives amid debate among Fed officials about how quickly the technology can raise productivity. While some FOMC participants see room for faster growth, others caution over timing and scale. New York Fed President John Williams warned that AI-driven demand has pushed up prices for electricity and semiconductors, describing the price path as a “hockey stick.” He emphasized that supply must expand to keep inflation under control.

    Former Walmart CEO Doug McMillon will help lead the data-quality review, which comes as job-market data faces increased scrutiny due to revisions and lower survey response rates. The task forces are expected to complete their work by the end of 2026.