WASHINGTON (dpa-AFX) - Gold traded lower on Wednesday to extend losses from the previous session as hawkish signals from Fed and ECB officials raised more doubts about the prospects for early rate cuts.
Spot gold dipped 0.3 percent to $2,022.60 per ounce while U.S. gold futures were down 0.2 percent at $2,026.20.
The dollar steadied at a one-month high amid a risk-off market mood after Federal Reserve Governor Christopher Waller indicated in a speech that inflation is nearing its target, but the timing and rate cuts will depend on incoming data.
Several ECB policymakers also warned that markets are getting ahead on rate cut expectations.
ECB President Christine Lagarde said that market bets on aggressive rate cuts are a distraction.
Dutch central bank chief Klass Knot said that financial markets are getting ahead of themselves on rate cuts and that might become self-defeating in the end.
U.K. inflation picked up unexpectedly for the first time in 10 months, prompting traders to scale back their expectations for rate cuts from the Bank of England.
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