Gold pulls back from $3,357 all-time high as Powell warns Fed’s goals may conflict, raising stagflation concerns.
by Christian Borjon Valencia
FX Street
Gold retreated on Thursday ahead of the Good Friday Easter holiday, losing 0.60%, after enjoying a rally of close to $400 gains during the last seven trading days on uncertainty about the United States’ (US) trade policies. /USD trades at $3,319 after hitting a record high of $3,357 earlier in the session.
Market mood closed the last trading day of the week mixed, with two of the three main US indices posting gains, while the UnitedHealth Group plunge hit the Dow Jones. Wednesday’s speech by the Federal Reserve (Fed) Chair Jerome Powell continues to be digested by the markets.
Fed Chair Powell turned hawkish, revealing that a weak economy and high inflation could conflict with the central bank’s two goals, making a stagflationary scenario possible.