Gold prices briefly fell below $2,400 per ounce in Asian trading after minutes from the latest Federal Open Market Committee meeting revealed that several officials remained concerned about sticky inflation and were in no rush to cut interest rates.
The minutes indicated that while progress on disinflation has been notable, more evidence is needed before the Fed gains confidence that inflation is sustainably moving toward its 2% target. Participants also discussed the risks of easing policy too soon, which could reignite price pressures.
The precious metals complex sold off immediately after the release, with silver and platinum following gold lower. However, bargain hunting emerged in Shanghai and Mumbai, limiting the downside. By the London open, gold had recovered partially to trade near $2,405.
The market now sees roughly 60% probability of a September rate cut, down from nearly 80% before the minutes. Treasury yields edged higher and the dollar strengthened, weighing on dollar-denominated commodities.
MetalSemi Asia views the pullback as a healthy consolidation within a broader uptrend. Key support is seen near $2,360, and a close below that level would raise questions about the near-term bullish structure.
