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Gold Prices Aim Higher as Fed Rate Cut Bets Weigh on the US Dollar
Stock markets steadied as US producer price index (PPI) data showed a smaller-than-expected rise in wholesale inflation, breathing new life into Federal Reserve interest rate cut speculation. Treasury bonds rose as rates fell across the yield curve, gold prices rallied, and the US dollar slumped against major currencies. The report showed that PPI rose 0.1% in May, falling short of median forecasts calling for a rise of 0.2%. The core wholesale inflation rate excluding food and energy prices fell to 3% year-on-year, the lowest since August 2024. The headline rate edged up to 2.6% from 2.5% in April, in line with ... (full story)