As alerted in advance for the $2700-$2715 Range Sell Target Achieved with a low of $2703
Surprise Fed Statements: Potential March Rate Cut
Federal Reserve Governor Christopher Waller suggested in a CNBC interview that if December’s positive inflation trend continues, a rate cut could occur in the first half of the year, possibly even in March.
Waller hinted at the possibility of up to three or four cuts this year if inflation declines further. He noted that inflation has returned to its prevailing trend and expressed optimism that it will reach the Fed’s target. Regarding the labor market, Waller described it as strong but not booming, considering the latest jobs data as a mix of previous weaker readings. Waller downplayed concerns about potential tariffs under a future Trump presidency, suggesting they may not significantly impact inflation.
UBS: Fed Unlikely to Cut Rates Before June
UBS analysts predict that the Federal Reserve will hold off on rate cuts until June, following a weaker-than-expected core inflation reading.
Headline CPI rose 0.4% in December, slightly up from 0.3% in November. The annual CPI increase was 2.9%, compared to 2.7% in November, suggesting inflation is still higher than the Fed’s comfort zone.
XAUUSD CMP $2723
Major Sell Zone: $2,745–$2,765–$2,787🔻
XAUUSD CMP $2704
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