Gold prices give up gains after Fed minutes release as market focuses on interest rate path clues

Jinse Finance reported that after the release of the latest Federal Reserve meeting minutes, gold prices gave back some of their gains as market participants focused on upcoming U.S. economic data to seek new clues about the path of U.S. interest rates. The minutes from the Federal Reserve's October policy meeting showed that, despite policymakers warning that lowering borrowing costs could impact efforts to control inflation that has remained above the 2% target for four and a half years, the divided Fed still decided to cut rates last month. Federal Reserve Chair Jerome Powell stated at the post-meeting press conference in unusually blunt terms that a rate cut at the December meeting is "not a foregone conclusion." Marex analyst Edward Meir pointed out: "The meeting minutes are already a settled fact; what’s more important is to observe the dynamics in December. The Fed needs more data to make a decision. The sporadically released data will become the focus of the market." The CME FedWatch Tool shows that traders currently see only a 30% probability of a rate cut in December.