Safe-haven demand drops; USD falls, gold hits record highs.
On Wednesday, the US data was mixed, and Federal Reserve officials spoke cautiously. The US dollar index continued to decline, closing down 0.36% at 107.62. The yield of US two-year treasury bond bonds fell to the lowest level since December 12 last year, closing at 4.19%. The benchmark 10-year US Treasury yield fell to its lowest point since mid December last year, closing at 4.42%. The yield spread between two-year and 10-year treasury bond bonds was the narrowest since December 23.
Gold prices continued to hit a historic high on Wednesday, reaching a high of $2882.25 per ounce and closing at $2867.31 per ounce. This was due to investors seeking safe haven assets amid escalating concerns about international trade conflicts and their potential impact on economic growth. On the other hand, the January ISM Services PMI in the United States performed worse than expected, with 10-year US Treasury yields falling more than 2% to a nearly one and a half month low, providing upward momentum for gold prices.
EUR/USD Gains Ground Amid Fresh Doubts Over the Fed
Calm before the storm in markets ahead of pivotal US data
The crypto market continues to send alarming signals
What policy divergence and politics mean for EUR USD in September 2025
Gold Surges to Five-Month Highs as Fed Cut Bets Lift Precious Metals; Dollar Steady, Oil Pressured | 1st September 2025
Inflation in the US will not make the Fed's rate cut in September comfortable
Gold approached the upper limit of the 4-month trading range
