Markets in Motion: Gold Shines, Wall Street Climbs 🚀

 

Gold hit a 5-week high on August 28, closing at $3,416/oz, up $20 in a day. The drivers?

  • A weaker USD (Dollar Index down 0.5%).

  • Rising demand for safe havens amid fears over Fed’s independence, as Governor Lisa Cook sues President Trump over his attempt to remove her.

Traders are betting big on rate cuts: 87% probability of a Fed cut in September (CME FedWatch). Lower rates = cheaper money = stronger gold.

Wall Street meanwhile shows no sign of slowing:

  • S&P 500: +0.3% → 6,501 (record high)

  • DJIA: +0.16% → 45,636 (record high)

  • Nasdaq: +0.53% → 21,705

Sector winners: telecoms & energy.
AI still the main rocket fuel:

  • Snowflake +20% (massive AI-driven revenue outlook for FY2026)

  • HP +4.6% (PCs with AI boost forecasts)

  • Alphabet, Amazon, Broadcom +1-3%

Laggards:

  • Nvidia -0.8% (China trade uncertainty)

  • Nike -0.2% (cuts ~1% of workforce to regain market share)

📌 Takeaway:
Markets are being pulled in two directions—gold loving Fed uncertainty, while equities keep partying on AI euphoria. The real test? Today’s US PCE inflation data. If prices heat up, the Fed’s hand may be forced… and both gold and stocks could feel the shake.

LeChat

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