Why are ASX gold shares rising?
Investors have been bidding gold stocks higher today after the price of the gold price stormed to a record high overnight.
According to CNBC, the spot gold price settled up 1.6% at an all-time closing high of US$2,467.8 an ounce. And during the session, the precious metal hit a new intraday record high of US$2,474.5 an ounce.
This was driven by optimism over the outlook for interest rates after June’s softer US inflation data and some recently dovish comments from the US Federal Reserve Chair, Jerome Powell.
In fact, the share market is so confident that rates are going lower that they are now pricing in a 100% probability of a rate cut in September according to the CME FedWatch tool.
Source: msn
