Treasury Secretary Janet Yellen has introduced a plan to increase financial inclusion in the United States. The strategy aims to ensure more Americans have access to bank accounts and affordable credit, which Yellen believes will lead to a stronger and more equitable economy. The plan includes encouraging account openings, expanding affordable banking options, improving credit access, and enhancing retirement and emergency savings opportunities.
HSBC introduced its gold token at Hong Kong Fintech Week, representing the first bank-issued real-world asset token linked to physical gold. Launched in June 2024 for Hong Kong residents, each token equals 0.001 ounces of gold and is based on a private distributed ledger. The token allows for fractional gold ownership, easier buying and selling, and has attracted 20,000 holders, with 90% being new to gold investments.
The upcoming October jobs report is expected to show muted employment growth due to the impacts of Hurricanes Helene and Milton, as well as ongoing strikes at Boeing. With estimates ranging widely from job losses to modest gains, the report will be difficult to interpret clearly. This complicates the Federal Reserve's decision-making ahead of its November meeting and adds uncertainty to the economic narrative just before the presidential election.
Corporate America is signaling a potential turnaround in earnings, with CEOs indicating that the current quarter may represent the bottom. This sentiment, particularly among cyclical companies, suggests that the stock market rally could extend beyond technology shares. As the economic environment improves and the Federal Reserve eases its stance, there's growing optimism for a broader recovery in earnings across various sectors.
The oil market is rebalancing as geopolitical concerns subside, causing traders to refocus on supply and demand dynamics. After a sharp decline, oil prices have begun to recover, but the market remains influenced by factors such as sluggish Chinese demand growth and ample supply. Key upcoming events, including the US presidential election and OPEC+ production plans, are expected to play crucial roles in shaping the market's future direction.
Gold prices are approaching record highs as investors focus on the upcoming U.S. presidential election and key economic data releases. The precious metal's value has increased by about a third this year, driven by central bank purchases and safe-haven demand amid global conflicts. The tight race between Kamala Harris and Donald Trump is creating uncertainty, further highlighting gold's role as a safe investment.
Mohamed El-Erian attributes the recent surge in gold prices to a deliberate move by global financial institutions to diversify away from the US dollar. This trend is driven by central banks slowly reducing their dollar reserves and a gradual shift away from the dollar-based payment system. Recent events, such as Russia's economic resilience despite sanctions and perceptions of inconsistent US foreign policy in the Middle East, have accelerated this diversification process.
As interest rates decline, the relative appeal of gold is increasing, according to BlackRock's Karim Chedid. He notes that gold's non-yielding nature is less of a drawback in this environment, positioning it as a valuable diversification hedge for investors seeking to balance their portfolios.
China's gold consumption dropped 11.18% in the first three quarters of 2024 due to high prices deterring jewelry purchases. While gold jewelry demand fell 27.53%, purchases of gold bars and coins increased by 27.14%. Despite a slight dip in domestic gold production, overall output rose 3.2% year-on-year.
Gold prices retreated slightly from record highs after Israel's restrained strikes on Iran eased geopolitical tensions and reduced safe-haven demand. While gold remains supported by factors like expected Fed rate cuts and central bank buying, the targeted nature of Israel's response has opened the door for potential de-escalation in the Middle East conflict.
Gold prices dipped slightly Monday morning as investors await key U.S. economic data that could influence the Federal Reserve's interest rate decisions. Despite reaching record highs recently, gold faced pressure from a stronger dollar and rising Treasury yields. Analysts remain optimistic, with UBS projecting gold to hit $2,900/oz within 12 months, driven by expectations of lower U.S. interest rates.
If you can’t BEAT ’em, JOIN ’em. In this update, maybe it’s time for me to stop being objective and go along to get along. That said, the Business Cycle is now DEAD, and Everything is going higher from here...
The Oracle's favorite market metric hits unprecedented levels. Meanwhile, physical metals outshine mining stocks in the gold rush.
Gold miners are struggling to capitalize on record-high gold prices due to rising operational costs, particularly in labor and other expenses. Newmont Corp., the world's largest gold miner, reported disappointing earnings, revenue, and profit margins in the third quarter, causing its stock to plummet. This suggests that the gold mining industry may be facing challenges in translating high gold prices into increased profitability, as inflationary pressures continue to impact their operations.
Silver prices have reached historic highs on the Multi Commodity Exchange. Anil Agarwal from Vedanta Group highlighted the increasing industrial importance of silver. Demand has doubled, driven by its use in various industries. Hindustan Zinc, part of Vedanta, is a significant producer, and a new industrial park in Rajasthan aims to boost local industries and job creation around silver production.
Russia's central bank has raised its key interest rate to a record-high 21% in response to persistent inflation, which reached 8.6% year-on-year in September. The bank cited strong domestic demand outpacing supply capabilities and increasing inflation expectations as reasons for the rate hike. This move comes as Russia's economy continues to grow, driven by oil export revenues and increased government spending, particularly on military expenses related to the ongoing conflict in Ukraine.
After reaching an all-time high of $2,758.37 per ounce on Wednesday, gold experienced a modest decline on Friday due to profit-taking. The precious metal's price fell 0.4% to $2,724.50 per ounce, though its downward movement was limited by persistent geopolitical concerns and the approaching U.S. presidential election.
Gold prices dipped slightly on Friday but remained near record highs as uncertainty surrounding the upcoming U.S. presidential election and escalating tensions in the Middle East fueled safe-haven demand. Despite pressure from a stronger dollar and higher Treasury yields, gold was on track for its third consecutive week of gains, with spot gold rising about 0.2% for the week after hitting a record high of $2,758.53 an ounce.
While U.S. shale oil production remains at a high plateau, shale gas production continues to trend lower. What’s going on with the U.S. shale gas supply...
In this exclusive interview from the Limitless Expo, Mike Maloney and Robert Helms, host of The Real Estate Guys, dive deep into the mindset ....