XAU/USD climbs 0.92% after the Dollar falls on suspected Japanese forex intervention, lifting Fed rate cut expectations.
Gold prices rose 0.92% to $4,100 on Thursday as the US Dollar weakened following suspected intervention by Japanese authorities in currency markets. The Yen surged to a near two-month high against the Dollar, pressuring the Greenback and boosting demand for the non-yielding metal.
Prior to the move, XAU/USD had dipped to a daily low before rebounding sharply. The Dollar’s decline also fueled speculation of potential Federal Reserve rate cuts, further supporting gold’s rally.
Markets reacted swiftly, with gold futures and spot prices extending gains as traders adjusted positions amid shifting Fed policy expectations.