Fed's Cut Puzzle and Gold

From sunshineprofits.com

At the end of July, the Fed trimmed the federal funds rate. However, the dovish U-turn within the FOMC - just half a year after an interest rate hike - remains a mystery. After all, the data indicates that the labor market remains strong - unemployment rate is still at the record low - while the GDP has been rising at a moderate rate. While the inflation rate is below the target, it's still significantly above the deflation zone. So why the heck did the Fed cut rates? The answer to this question is of great importance as long-term implications for gold differ depending on the possible reason. First, the U.S. central ... (full story)