On Thursday, gold prices fell to their lowest point in over two weeks, with spot gold at $2,885.13 per ounce, down 1.1%. Gold hit its lowest level since February 12th earlier in the trading session, after reaching a historic high of $2,956.15 on Monday, driven by a flow of safe-haven investments. Meanwhile, U.S. gold futures also declined by 1.2%, settling at $2,895.9. Despite experiencing short-term fluctuations and profit-taking, the overall trend remains clear, with these fluctuations being a common component of the cycle.
Investors are now focusing on the upcoming U.S. Personal Consumption Expenditures (PCE) price index. According to surveys, this index is expected to maintain a month-on-month increase of 0.3%. The market widely anticipates that the Federal Reserve will cut rates at least twice this year and expects a total rate cut of about 55 basis points by 2025. In the meantime, investors are also awaiting speeches from several Fed officials, which could provide more insights into the Fed's future monetary policy.
Additionally, U.S. President Trump stated on Thursday that his proposal to impose a 25% tariff on goods from Mexico and Canada will take effect as scheduled on March 4th, further affecting market sentiment.
