Gold Prices Rise Amid Fed Comments and Venezuelan Tensions

According to Odaily, gold prices increased on Tuesday, reaching a one-week high due to dovish remarks from Federal Reserve officials and heightened demand for safe-haven assets amid tensions in Venezuela. Ilya Spivak, Global Macro Director at Tastylive, noted that while the Fed's comments did not negatively impact the market, they did not fundamentally alter market perceptions. This week is crucial, with the employment report set to be released on Friday. On Monday, Federal Reserve's Kashkari stated that inflation is gradually declining, but there is a risk of a sudden rise in unemployment, which could lead to rate cuts. Investors currently anticipate at least two rate cuts this year. Spivak also mentioned that the U.S.-Venezuela situation under Maduro highlights a broader trend of de-globalization. In periods of low interest rates and geopolitical or economic uncertainty, non-yielding assets tend to perform well.