Gold prices suffer profit taking ahead of likely Fed cut; PCE inflation due

Stocks have risen as investors anticipate potential interest rate cuts by the Federal Reserve, marking a positive shift in market sentiment. The U.S. dollar, however, is on track for a 10-day losing streak, reflecting growing concerns about the Fed's monetary policy direction.

U.S. stocks have experienced a rally driven by expectations of potential interest rate cuts by the Federal Reserve, despite ongoing concerns about economic conditions. This rally has been characterized as irrational, reflecting investor sentiment rather than solid economic indicators.

Silver prices have remained near an all-time high following the release of US payroll data, which has strengthened expectations for an interest rate cut by the Federal Reserve in its upcoming policy meeting. Gold prices showed little change during this period.

Copper, gold, and silver prices have surged recently, driven by a rush into haven assets and tightening global supplies, marking one of the strongest metals rallies in years. Gold prices on the Comex market have settled higher, reflecting a positive trend in precious metals. Silver has also reached new record highs amid ongoing supply tightness.

Stocks gained while U.S. yields dropped as markets reacted to expectations of a potential Federal Reserve interest rate cut. This shift in sentiment was influenced by recent economic data, including a decline in private payrolls, which raised concerns about the labor market's health.

Bond investors have raised alarms regarding the potential appointment of Kevin Hassett as the next chair of the Federal Reserve, expressing concerns that his decisions on interest rates may be influenced by former President Trump. This warning comes amid fears of a possible interest rate cut, which could have significant implications for the bond market.

Treasury yields have declined as recent data indicates a rapid weakening in U.S. employment, supporting expectations for a third consecutive interest rate cut by the Federal Reserve next week. This trend is underscored by a reported drop in private payrolls, which fell by 32,000 jobs in November, raising concerns about the labor market's health.

Gold prices have extended their gains following the release of weaker U.S. private payroll data, which has bolstered expectations for a potential interest rate cut by the Federal Reserve in December. This development reflects a growing sentiment among investors who are reacting to the labor market's performance.