Gold dips slightly after surge amid Fed rate cut speculation – London Business News | Londonlovesbusiness.com

Gold prices were slightly down today after surging past the $2,400 mark on Thursday.

This surge followed the release of softer-than-expected US consumer inflation figures, which lifted bets for a September interest rate cut by the Federal Reserve.

The Consumer Price Index (CPI) dipped in June, with the yearly rate decelerating to 3% from 3.3% in May.

The yield on the benchmark 10-year US government bond tumbled to its lowest level since March, dragging the US dollar to a three-month trough and providing a strong boost to the yellow metal.

Political uncertainty in the US and Europe, along with geopolitical risks and concerns about a global economic slowdown, also contribute to the bullish outlook for gold. Additionally, the start of an easing cycle by central banks and their continuous demand for gold may further support the precious metal.