Gold prices lose all daily gains as Powell hints that three cuts could be enough for now

New York (Oct 30)  Gold prices gave up all previous daily gains as Federal Reserve Chair Jerome Powell hinted that three rate cuts could be enough “insurance” for the time being.

Powell said that current state of policy "likely to remain appropriate" unless there is “a material re-assessment” of Fed’s outlook.

At the same time, Powell is not ready to start raising rates either. “We would need to see a significant move up in inflation before we could consider raising rates,” he said during the press conference, which followed Fed’s interest rate announcement.

The Fed said it cut rates for the third time this year, lowering the interest rate band to between 1.50% and 1.75%.

After digesting Fed’s move and Powell’s comments, gold prices were flat on the day with December Comex gold last trading at $1,491.30, up 0.05% on the day.

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